MFs offload equities worth Rs. 21.69 billion in June 2013
Mutual funds offloaded investments worth Rs. 259.09 billion in the secondary market in July 2013 compared to net investment of Rs. 646.33 billion in June 2013, according to SEBI (Securities and Exchange Board of India) data.
The fund houses sold Rs. 21.69 billion in equity compared to Rs. 2.69 billion in June 2013. Mutual funds sold Rs. 237.40 billion in debt market in July 2013 as against Rs. 646.02 billion invested in June 2013.
As on July 31, 2013 there were a total of 1,172 schemes under mutual funds of which income/debt oriented schemes were 739 (63.05%), growth/equity oriented scheme were 345 (29.44%), exchange traded funds were 37 schemes (3.16%), balanced schemes were 30 (2.56%) and fund of funds investing overseas schemes were 21 (1.79%)... Read more
Mutual funds report net outflow of Rs. 484bn in June 2013
In June 2013, mutual funds saw a net outflow of Rs. 500.67 billion as compared to a net outflow of Rs. 484.03 billion, according to SEBI (Securities and Exchange Board of India) data.
The private sector mutual funds registered an outflow of Rs. 516.25 billion, while public sector mutual funds saw inflow of Rs. 15.58 billion in June 2013, it added.
During June 2013, private sector mutual funds reported outflow of Rs. 407.21 billion, while public sector mutual funds saw outflow of Rs. 76.82 billion... Read more
Indian market has undergone major changes: SEBI tells IOSCO
In its detailed assessment report on Indian stock market, the International Organisation of Securities Commissions (IOSCO) had suggested that SEBI should strengthen the stress-testing procedures of the central counter parties (CCPs) and should improve the liquidity risk management.
Releasing the IOSCO report, SEBI on Monday said that it has initiated the process to strengthen the stress testing procedures of CCPs. SEBI also said that it is carrying out theme-based inspection of various market intermediaries, mutual funds, depositories and stock exchanges among others.
"SEBI has built the reputation of a credible enforcement agency. The level of enforcement action taken by SEBI is very high," the Indian market regulator said... Read more
SEBI revises circuit limit system for Sensex, Nifty
SEBI directed stock exchanges to implement an index based market wide circuit breaker system.
The new calculation would apply for 10%, 15% and 20% circuit limits in Sensex and Nifty, with effect from October 1, 2013.
SEBI said: "The stock exchange on a daily basis shall translate the 10 per cent, 15 per cent and 20 per cent circuit breaker limits of market-wide index variation based on the previous day's closing level of the index"... Read more
Co-op banks to short-sell govt bonds on intra-day basis: RBI
The Reserve Bank of India (RBI) has allowed urban cooperative banks to undertake short selling of government bonds on an intra-day basis.
“It has been decided to permit well-managed urban cooperative banks, who are members of negotiated dealing system-order matching (NDS-OM) and have regular concurrent audit of their treasury operations, to undertake intra-day short selling of government securities,” said RBI in a notification on Wednesday... Read more
RBI allows premature encashment of 8% Savings Taxable Bonds
The Reserve Bank of India has allowed premature encashment of 8% Savings (Taxable) Bonds for individual investors who are 60 years and above.
Lock-in period for investors in the age bracket of 60 to 70 years shall be 5 years from the date of issue, RBI said in a notification on Friday... Read more
NSEL: Panel to submit report to Dept of Economic Affairs
The two working groups formed to study the violations by National Spot Exchange Ltd (NSEL) are likely to submit their reports to the Department of Economic Affairs Secretary Arvind Mayaram, according to a media report.
The working groups will also suggest measures to be taken to check any systematic fallout of the NSEL crisis on the financial system. The panel includes members from Company Affairs Secretary, Consumer Affairs Secretary and Revenue Secretary, the report added... Read more
Religare to acquire Macquarie stake in wealth management JV
Religare Enterprises Limited (REL) announced its decision to acquire Macquarie’s stake in its wealth management joint venture - Religare Macquarie Wealth Management Ltd. The equal partnership JV was formed in 2007 to serve the fast growing Indian high net worth individuals (HNI) client base, leveraging Religare’ s local knowledge and Macquarie’s global expertise... Read more
Total assets of PMS rise just 0.8% in July
Total assets under management (AUM) of portfolio management services (PMS) industry have increased by 0.8% from Rs. 6.22 trillion in June 2013 to Rs. 6.27 trillion in July 2013, according to SEBI (Securities and Exchange Board of India) data.
As on July 31, 2013, AUM of discretionary PMS constitute 82.9% of the total AUM of PMS followed by advisory PMS (12.3%) and non discretionary PMS (4.7%)... Read more
Difference between shareholders and debentures holders
A shareholder is the joint owner of a company; but a debenture holder is only a creditor of the company. Listed below is a comprehensive picture of the major difference between shareholders and debenture holders... Read more