The Hindu Business Line : Sunday, July 25, 2004

TCS equity offer — Low float, high value
RETAIL investors may bid for the IPO of Tata Consultancy Services (TCS) at Rs 900. Investors will remain eligible for subscription, even if the final offer price is fixed at a lower level in the bidding process; ... More

TCS: Strengths and opportunities
AS the software services industry continues its march towards "scale", TCS with its numerous strengths is well-positioned to capitalise on the offshoring wave. As it has grown in size and scale, TCS has broadbased its ... More

Making future safer, vibrant
A MORE robust futures and options market (FOM) may be the long-term effect of the liberalised risk containment measures, eligibility norms for stock futures and options, and position limits announced by Securities and ... More

Subsidy on kerosene and LPG — Govt must clear the muddle
What is now needed is clear direction from the Government on how the oil companies should share the subsidy among themselves. More

Big offers don't spook the market
The sheer size of the IPO-cum-offer-for-sale of TCS has raised concerns that prices may decline to accommodate the increase in supply. These concerns are exaggerated as large quality offers have attracted fresh funds and added to the market depth. T his time, too, it may be no different. More

INVESTMENTS

Why women should invest differently from men
MARKETERS of financial products often seem to think that their offerings for women should fund jewellery purchases or get you discounts on beauty salon bills. But woman probably need a complete, customised financial plan to take care of their ... More

AUTOMOBILES

Bike for hilly roads
IN the four-stroke, 100cc two-wheeler segment, which bike generates more power and is preferable for use in both hilly terrain as well as regular city riding. I am wondering if the Victor will fulfil my requirement? -- MAHENDRAN.M For ... More

MUTUAL FUNDS

HSBC Equity Fund: Invest
INVESTORS can consider exposures in HSBC Equity Fund. In the one-and-a-half years since its launch, the fund has handled both the bull market and the subsequent correction, The performance since launch compares ... More

Franklin India Taxshield: Invest in phases
INVESTORS can consider exposures in Franklin India Taxshield. The fund has an impressive track record, outperforming the benchmark index, the broad-based S&P CNX 500, consistently over the past five years. ... More

PORTFOLIO MOVES
Franklin India Prima
FRANKLIN India Prima Fund is a top-performing equity fund with a focus on mid-cap and small-cap stocks. The fund appears to have made several changes in its portfolio in terms of stock selection in June. It has liquidated some of its smaller ... More

Prospects of pharma sector
With the recent downgrading of pharma sector because of expected lower margins due to intense competition in the generic market, only companies with strong R&D are expected to perform well. Should one continue to hold investment in pharma ... More

PETROLEUM

Branded petrol
I have been driving a Maruti Esteem for two years and have been using only regular unleaded petrol. My friends have been urging me to use the Speed brand petrol claiming that it is good for the car's engine. However, some other ... More

STOCKS

SKF India: Buy
THE sustained increase in automobile output in the first few months of FY 05 and the firm trends in the broad economy, along with the recovery in the economic fundamentals, has rubbed off positively on companies with ... More

Finolex Industries: Buy
FINOLEX Industries can be considered for investment as part of exposures to mid-cap stocks. At Rs 68, the stock trades at eight times its trailing 12-month per share earnings. Finolex,which makes PVC resins and pipes, ... More

Arvind Mills: Hold
SHAREHOLDERS can hold the stock of Arvind Mills. The company's earnings stream continues to be vulnerable to commodity cycles of both denim and cotton. Profits have declined in each of the last four quarters ... More

Crisil: Buy
INVESTMENTS can be considered in the CRISIL stock, which trades at a price-earnings multiple of about 14 times and a dividend yield of 2.5 per cent. Considering the fundamental strengths of the company and its growth ... More

Biocon: Hold
EVER since Biocon's initial public offering a few months ago, it has been a story of success at the bourses for the stock. The stock, which, opened at a price that was significantly higher than what it was offered ... More

Escorts: Hold
SHAREHOLDERS of Escorts can continue to hold on to the stock. The company's fortunes this year will depend heavily on the performance of its agri-machinery (tractors and farm equipment) business, which will, in turn, ... More

State Bank of India: Buy
AN investment can be considered in the stock of State Bank of India. The stock now trades at a price below its book value based on the consolidated balance sheet. The price-to-earnings multiple of the stock is also below 5, based on the ... More

TAXATION

Changes in transaction tax

TECHNICAL ANALYSIS

Mixed outlook for pivotals
ONGC (Rs 698.7): Except for a sharp upward move on Monday, the share price did not see any significant trend in the remaining four trading days. The near-term trend appears positive. A move above Rs 710 would help the stock seek higher ... More

Short-term correction likely
Preferred view: The movement in the index was in line with expectations. The trend remained firm and the Nifty also moved to the target zone of 1580-1585 range. The price action in the past few weeks indicates that a significant ... More

Query corner
I purchased MRPL for Rs 53. Please let me know the outlook for the stock considering the recent sharp upward move. I am a long-term investor and willing to wait for twelve months. — P. Shirodkar MRPL (Rs 47.2): After ... More

Focus of the week
India Cements (Rs 32.5): The near-term trend appears positive and a move to Rs 42-Rs 45 range appears likely. Long positions may be considered, especially on price dips, with a stop loss at Rs 30. Investors may consider either partial ... More

CONSUMER FINANCE

IDBI Bank's personal loan scheme
STRAPPED for cash? Why not look at the personal loan scheme of IDBI Bank. Offered to the salaried, the self-employed, doctors and professionals, the scheme competes with the personal loan schemes offered by private ... More

LIFE INSURANCE

ChildGain policy from Allianz Bajaj
ALLIANZ Bajaj's ChildGain policy is a product aimed at securing your child's future. The policy provides financial assistance to your child to pursue studies or start a career. The additional in-built protection ... More

STOCK MARKETS

Driven by less taxing proposals
The Sensex crossed the 5000 mark after the announcement that the securities transaction tax would be levied only on delivery based transactions in equities. The Sensex gained close to 110 points in the last three days. The sharp reduction in the ... More

DEBT MARKET

Inflation is worrying
The market is likely to trade in a band with bouts of volatility and inflation will continue to be of concern in the short term. More

DERIVATIVES MARKETS

Nifty may see correction
THANKS to the Finance Minster's modifications on turnover tax proposals, trading volumes picked up in the derivative segment on the NSE. According to the FM's new proposal, derivative transactions would now attract a tax on turnover of 0.01 per ... More

Options guide

Futures guide

Using Futures/Options

Query corner - F&O

CORPORATE BONDS

Lowering risk through credit spread warrants
DRESDNER Kleinwort Wassertein (DKW) recently structured a product called credit spread warrants for a French supermarket chain. What is this product? Suppose your company plans to issue bonds next June. You believe ... More

FIXED DEPOSITS

Saw Pipes — `Steel'y interest
THOSE with a penchant for risk can invest in the fixed deposit programme of Saw Pipes. Considering the company's strong fundamentals and the attractive interest rates on offer, investment ... More

INTERVIEW

`The bias towards cotton is changing'
India has been a dominant player in the export market for cotton textiles, but when it comes to synthetics, it has a modest presence. This is missed opportunity as consumption for synthetics is greater than that of cotton textiles at the ... More

INCOME TAX

Dollar remittance for family maintenance
I WORK in the US and every month I send around $1,000 to India for the maintenance of my family in India. If I transfer this to my bank account will it be taxable in India? On the contrary, if the money is transferred ... More

Clubbing of minor's income
I HAVE invested money in the NSC VIII issue in my minor child's name. Please clarify in whose hands the interest income from the investment will be clubbed during the minority of the child? Rajesh ... More

More time to file I-T returns

BOOKS

We love to make money, but hate to lose money even more
EVER felt like a Hamlet by the poolside wondering, `To dip or not to dip?' Warren E. Bitters captures this predicament in Asset Allocation and Portfolio Optimization thus: "The water will eventually feel ... More

CARTOON

Shortsell
More

INVESTMENT QUOTIENT

Investment Quiz
This week, we will feature a quiz that focuses on the theme of CEOs/Chairmen of Indian companies: Questions 1. An alumnus of REC, Surathkal and IIM, Ahmedabad, he started off his career 33 years ago in the project finance ... More

NEW PRODUCTS & SERVICES

Jet Air's `Monsoon Super Apex' fares

Birla Sun Life's critical illnesses rider

`SurPrice' from Air Sahara

Nova 135 from Kinetic

Bharti's `Hello Tunes'

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Union Budget 2004-2005

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Railway Budget - 2004-05

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Mumbai Mosaic

Why women should invest differently from men

Nifty may see correction

Making future safer, vibrant