Financial Daily from THE HINDU group of publications
Friday, Aug 06, 2004
Financial Daily from THE HINDU group of publications Friday, Aug 06, 2004 |
||
|
|
||
|
Markets
-
IPOs Info-Tech - IPOs TCS offer lures Gulf NRIs back to Indian markets C.J. Punnathara
Kochi , Aug. 5 THE Tata Consultancy Services IPO has evoked big interest among NRIs - a trend which has not been in evidence since the early nineties. On a visit to Kerala, Mr K.V. Shamsudheen, Director of Barjeel Geojit Securities LLC, told Business Line: "With the TCS IPO hitting the market, there has been a 50 per cent growth in NRI response to the Indian capital market operations from the Gulf countries. The IPO has evoked interest even among the older generation of investors who had been keeping away from the market after the IPO boom of the early nineties." The return of the older generation of NRIs coupled with the new breed of capital-savvy young professional NRIs has brought a new fillip to the Indian capital market activity in the Gulf nations. The capital-savvy NRIs had all along been focusing on the secondary markets, while the revival of some interesting IPOs like Canara Bank had begun to lure the old investors back into the market. Mr Shamsudheen was optimistic that with the interest rates for bank deposits hitting rock-bottom levels and the threat of income-tax being imposed on interest income very much on the cards, even the older generation of NRIs would be coming back to the market. If the adverse trends in interest rate regime persists, there is every chance of the initial response to the IPO market extending into the secondary markets and giving a long-term boost to capital market operations in the country. With online trading floors and Barjeel Geojit branches in Dubai, Abu Dhabi and Mascot, the access to market facilities in the Gulf countries is no longer what it was 10 years ago. "But the need for physical movement of the filled applications from the Gulf countries to India has proved a major stumbling block to the NRIs to ensure that the applications are delivered on time," Mr C.J. George, Managing Director of Geojit Securities Ltd, said.
More Stories on : IPOs | IPOs | Software
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2004, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|