Visco Trade Associates Ltd Management Discussions.

This Management Discussion and Analysis Report contain forward looking statements which are based on certain assumptions, risks, uncertainties and expectations of future events. The actual results, performance or achievements can thus differ materially from those projected in any such statements depending on various factors including the demand supply conditions, change in government regulations, tax regimes, economic development within the country and abroad and such other incidental factors over which, the Company does not have any direct control.

This Report is framed in compliance with the Securities and Exchange Board of India (Listing Obligations and Disclosure).

Company Structure & Development

Your Company is a Non Banking Financial Company engaged in the business of Investment in Shares and other securities, Loans and advances etc. NBFCs have played an important role in resource mobilization and credit intermediation, thereby helping commercial sector to make up for low bank credit growth. The government took immediate steps to bring curb the severity. As a result, the flow of resources from the banking sector to NBFCs did improve to certain extent. However, financial markets remained cautious on NBFCs and the squeeze in of inflow of resources to NBFCs has impacted the lending capability of the sector. The gradual improvement in liquidit y situation indicates stabilization for the NBFC sector. Regardless of the recent panic, NBFCs are here to stay and will play a significant role in economic growth and financial inclusion.

The companys main activity is to invest in shares and securities as well as loans and advances. By understanding whats most important to our customers. We have been able to deliver the right financial assistance at the right point of time. We are continuously adapting to the changing regulatory framework, strengthening our capital reserves.

Internal Control Systems and their adequacy

The Company strives to continuously upgrade its Internal Control System in line with the best available practices to commensurate with its size and the nature of its operations. The Companys Internal Control Systems are thus adequate.

The Audit Committee in coordination with the Internal Audit team regularly reviews the adequacy and effectiveness of internal control systems, in view of the ever changing business environments. This has improved the management of the affairs of the Company and strengthened transparency and accountability. Your company is a small sized, listed under CSE and BSE, Non Banking Financial Company (NBFC).

Opportunities & Threats

The intense competition in the NBFC Sector, high cost of funds, coupled with regulatory restrictions - are some of the challenges for the NBFC sector. However, the opportunity of being a well regulated participant in the financial system is likely to outweigh the costs associated with greater regulations in the long run. Moreover, opportunities arising from large untapped rural and urban markets and increasing digitization are expected to benefit the NBFC sector.

Future Strategies

Your Company has the vision to be specialized in other financial services such as factoring, lease finance, venture capital finance, financing road transport and also in the business of securities-based lending such as Loan against Shares, Margin Funding, IPO Financing, Promoter Funding etc. The Company wishes to diversify its lending activities in future and look forward to grab the opportunities of the other Financial Sectors.

Risks and Concerns

The risk management plan of the Company is monitored and assessed by the Internal Management of the Company from time to time. This is done through strict adherence to the credit policy made by the Company and several other assessment processes.

NBFCs are subjected to credit risks, which, your Company manages through stringent credit norms to verify the identity of an individual and also determining their intent and ability to repay a loan. Further, NBFCs are also exposed to Interest Rate Risk and liquidity risk which are managed through regular monitoring of maturity profile. Besides, operational risks in the form of risks of incurring losses due to manual errors, fraud or system failure, can be monitored through an effective internal control system management and its periodic assessment.

Human Resources

The Company always considers its human resources as a valuable asset and is committed towards their development for continuous growth. Focus on training to enhance the skill-sets of employees in line with the business and market requirements continued throughout the year and it confers rewards and recognition based on merit. The employee relations have continued to be harmonious throughout the year.

Cautionary Statement

Statements in the Management Discussion and Analysis Report describing the Companys objectives, projections, estimates, expectations or predictions may be "forward looking statements" within the meaning of the applicable laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could influence the Companys operations include economic and political conditions in which the Company operates interest rate fluctuations, changes in Government / RBI regulations, Tax laws, other statutes and incidental factors.

Place: Kolkata For and on behalf of the Board
Date: 11.11.2020 For Visco Trade Associates Limited
Sd/- Sd/-
(Niranjan Kumar Choraria) (Vinay Kumar Goenka)
Director Managing Director
DIN: 03626290 DIN: 01687463