Do you have financial planning queries? Ask rediffGURU Kirtan A Shah.
After a record run in FY2022, when the brokerage industry is set to report over 30 per cent topline growth at around Rs 28,000 crore, the industry is set for a tepid growth next fiscal even though the outlook is stable, says a rating agency report. The market has been on a song since June 2020 when the first wave of the pandemic ebbed and since then it has had record run with the stock indices more than doubling since the Covid-19 mayhem in March 2020 and scaled new life-time highs since then. The market frenzy was also visible in the massive number of new investors coming to the equity market, as exemplified in the more than trebling of the demat accounts since April 2020.
Finance Minister Nirmala Sitharaman on Tuesday asked banks and other financial institutions to ensure that their customers must update nominees to help resolve the problem of unclaimed money in future. "I want the banking system, the financial ecosystem including the mutual funds, stock markets to keep in mind that when someone deals with his (customer's) money, the organisations will have to think about the future and ensure that customers nominate their heirs, give the name and address," Sitharaman said speaking at the Global Fintech Fest (GFF) in Mumbai. According to a report, the banking system alone has more than Rs 35,000 crore of unclaimed deposits, while the overall quantum of the unclaimed money is said to be more than Rs 1 lakh crore.
'With the ease of access, we have seen an increased participation from tier-2, tier-3, and tier-4 cities/towns.'
'It is the best avenue for investors who would like to take long-term exposure to gold.'
Among index funds, the most popular products are funds tracking the Nifty 50 and Sensex, says Dwaipayan Bose, and explains the finer points of selecting the right index mutual fund.
'The stockbroker should have a good balance sheet to support its scale of operations. It should also have proper risk management in terms of margins so that it doesn't go bankrupt during extreme market movements.' 'The broker must have a track record of navigating several market cycles in an ethical and transparent manner.'
Anil Rego, CEO, Right Horizons, answers your personal income tax queries.
COVID-19 forced people to work from home turned into the fuel for new demat accounts, observes Debashis Basu.
'Like all long-term bull markets, the Indian stock market will continue to climb the proverbial wall of worry.'
'Younger investors start their journey with very little capital so they are risking less while they have a lot of time to experiment and learn early on.'
India's mutual fund (MF) industry had barely any retail footprint when it completed 50 years in 2013. MFs had Rs 7 trillion in assets under management (AUM) in March 2013, of which around Rs 5 trillion was in institution-focused debt funds. By comparison, bank deposits in the country stood at Rs 67.5 trillion around the same time.
Rebalance your portfolio in case it has become overweight on equities vis-a-vis your strategic asset allocation.
Anil Rego, CEO, Right Horizons, answers your personal income tax queries.
Retail investors have gained significant heft in the past year amid a sustained uptick in Indian equities. The share of retail investors in companies listed on the NSE reached an all-time high of 7.32 per cent in the quarter ended December 31, 2021, up from 7.13 per cent in the previous quarter and 6.9 per cent a year ago, the data from PRIME Infobase shows. This was despite the Nifty's 1.5 per cent decline during the quarter.
The income-tax department may make a permanent account number (PAN) mandatory for cryptocurrency investors, in line with the demat account rules for stock market transactions, according to two people privy to the discussion. At present, disclosure of crypto holdings and related gains is voluntary. If tax authorities go ahead with the PAN mandate, crypto exchanges will have to furnish a statement of financial transactions (SFT) before the income-tax department.
The value of unclaimed securities and other assets was nearly Rs 20,000 crore in March 2020.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
Anil Rego, CEO, Right Horizons, answers your personal income tax queries.
A lot of mid and small-caps are in the bubble zone and command high valuation and have corrected sharply.
Ajit Mishra, vice president, Research, Religare Broking, answers your queries.
From March 3, investors in India will be able to trade in select US stocks through the NSE International Exchange (NSE IFSC), a wholly owned subsidiary of the National Stock Exchange (NSE). Investors can invest in NSE IFSC receipts on US stocks, which will be in the form of unsponsored depository receipts (DRs). For a start, this will include DRs of 50 US stocks such as Apple, Alphabet, Amazon, Tesla, Microsoft, Morgan Stanley, Nike, P&G, Coca-Cola, and Exxon Mobil. Indian retail investors will be able to transact on the NSE IFSC platform under the Liberalised Remittance Scheme (LRS) limits prescribed by the Reserve Bank of India (RBI), which currently stand at $250,000 per year.
'There is a huge tax differential of 15% to 20% depending on income classification.'
'Had there been no war, maybe, we would come out with a 7.5 per cent stake sale.' 'At this point in time, a 3.5 per cent stake sale looked good.'
Mihir Tanna, Associate Director, S K Patodia & Associates, will answer your personal income tax queries.
The National Company Law Tribunal (NCLT) has directed to freeze and attach assets and properties of Videocon promoters following a petition by the ministry of corporate affairs. The NCLT Mumbai bench has directed the Central Depository Services Ltd (CDSL) and National Securities Depository Ltd (NSDL) that securities owned or held by the Videocon promoters "in any company or society be frozen, and be prohibited from being transferred or alienation" and the details be shared with the Ministry of Corporate Affairs (MCA). It directed the Central Board of Direct Taxes (CBDT) to disclose information about all assets of the Videocon promoters in their knowledge or possession, for the purpose of freezing and restraining such assets.
Ajit Mishra, vice president, research, Religare Broking, answers your queries.
There are overvaluation and excesses in many pockets of the market. This is most obvious in the IPO market, where loss-making companies have inflicted large losses on investors, observes Debashis Basu.
Growth-oriented technology companies have raised Rs 15,000 crore through initial share sales in the last 18 months and IPOs worth around Rs 30,000 crore by such firms are in the pipeline, Sebi chairman Ajay Tyagi said on Thursday. "Growing number of unicorns in the startup ecosystem is a testimony of the new age tech companies coming of age in our economy. These companies often follow a unique business model focusing more on rapid growth than immediate profitability," Tyagi said at an event organised by industry body CII. During the last 18 months, growth-oriented technology companies have raised a sum of around Rs 15,000 crore through IPOs (Initial Public Offerings).
Investors in the 10% and 20% slabs can get better post-tax returns compared to a bank fixed deposit
Anil Rego, CEO, Right Horizons, answers your personal income tax queries.
Of the 854 stocks that quoted less than Rs 20 on March 23, 2020 - when the Sensex hit more than a three-year low - 482 have doubled.
Insurance company will bear the cost of digitising. It will in turn benefit from lower expenses on servicing policies.
To participate in an OFS, investors will have to open a trading A/C
Do you have parents who have turned 60? You may want to forward Sarbajeet K Sen's suggestions to them.
Gaurav Garg, Head of Research, CapitalVia answers readers' stock market queries
Sebi has ordered attachment of bank and securities accounts of over 40 entities so far this year.
Ajit Mishra, Vice President, Research, Religare Broking, answers readers' queries on stocks they own or want to buy.
As if wanting to be an antidote to the coronavirus pandemic, the Indian stock market adorned carnival robes in 2021 with a tsunami of liquidity unleashed by global central banks coupled with supportive domestic policies and the world's largest vaccination drive sparking off a world-beating rally on Dalal Street, despite bouts of uneasiness over fizzy valuations. While the wider economy shuttled between recovery and relapse, dictated by multiple mutations of the virus, equity market benchmarks appeared headed in just one direction -- skywards. The dizzying upward journey has added a whopping Rs 72 lakh crore during 2021 to investors' wealth, measured as the cumulative value of all listed shares in the country, taking it to nearly Rs 260 lakh crore.
Retired school teachers, software engineers, doctors and property developers have lost money by blindly trusting their brokers or their franchisees
