Fund managers's compensation is largely tied to the assets they manage and scheme performance.
The combined interest payment for India's top listed companies, excluding financial and oil and gas firms, was up 15.2 per cent year-on-year during the six months ended March 2019, outpacing the change in net sales and operating profit.
Nearly three-fourths of the debt money, as of April 30, 2019, was invested in securities with duration of less than three years.
'The variables to watch include the monsoon, resolution of NBFC liquidity issues, GST collections, and NPA resolution.'
More asset sales may be only way out, though most of the group companies' ratings have been downgraded and their combined market value is now a fraction of their combined debt.
As share of cash volumes in trading mix sees decline, it will result in moderation of profitability from core broking operations.
The risk-reward ratio could turn adverse for foreign investors if corporate earnings disappoint by wide margins, or if crude oil prices spike in the international market, putting pressure on the rupee-dollar exchange rate.
The Hinduja Group, Mukesh Ambani, Murugappa, and the Adani groups were the other gainers in the Modi regime, while Naveen Jindal and Sun Pharma groups saw the most erosion in their m-cap in the last five years, reports Krishna Kant.
While three of the top five FPIs - Capital, Government of Singapore, and Vanguard - have seen their investment value more than triple, India's benchmark indices have risen just 70%.
In 5 years, the AMC has clocked a growth rate of 40% with its AUM up nearly 4 times.
'Investors need to find out how the FMP's assets are distributed and ensure the investments are in high-quality names.'
Analysts attribute this fall to the recent moderation in energy (mainly crude oil) and commodity prices, lowering of input costs for companies in sectors such as FMCG, consumer durables, and automobiles, reports Krishna Kant.
Financial planners advise against putting capital to work by anticipating what might go up or down.
Listed realty developers saddled with unsold properties worth Rs 1 trillion
India's cash-rich promoters are not the same as the wealthiest. For example, Mukesh Ambani is the richest Indian based on his stake in Reliance Industries, followed by Premji, the Adani family of the Adani group, and Radhakishan Damani of Avenue Supermarts.
MFs have benefited from a shift to financial assets from physical assets like real estate and gold.
About 24 fund houses saw a decline in their debt AUMs in the past one year.
Mukesh Ambani remains the country's wealthiest promoter as his stake in Reliance is now worth Rs 3.25 trillion!
Average salary has grown faster than average business income for three of the last five years. This has implications in a country like India. Most people in India are self-employed, with 51.4% of the population falling in that bracket.
'... Whether an incumbent is voted back or a coalition forms a new government except for a temporary disruption for a few weeks.'
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