The Hindu Business Line : Sunday, October 17, 2004

Bullish equities — Pan the surface, mine the depths
AS YOU track the ticker of equity prices, either on television or on the Internet, there is an adrenalin surge as equity prices rise. With the market picking up from mid-August, there is now a buzz comparable to ... More

The Samir Arora case: A setback for SEBI
The dismissal of SEBI's charges against Mr Samir Arora by the Securities Appellate Tribunal will have significant implications for the implementation of insider trading regulations. And it is bound to make SEBI's job more difficult. More

NTPC offer: The way to disinvestment
The success of the NTPC offer should be an eye-opener to the Government that is trying to walk the tightrope on privatisation and disinvestment. More

Needed a fund of `A'-group stocks
A fund passively investing in `A'-group stocks could be a welcome alternative. It would avoid the problems of administration that a BSE-200 fund would present and at the same time capture market returns better than a fund that tracks the Nifty or the Sensex. More

MUTUAL FUNDS

PORTFOLIO MOVES
Franklin India Bluechip
THE asset base of Franklin India Bluechip crossed Rs 2,000 crore in September, an increase of more than 80 per cent over the levels a year ago. An increasing asset base calls for more active portfolio management on the part of the fund ... More

Alliance Capital Tax Relief: Hold
TAX-planning funds largely outperformed other diversified equity funds over the past six months. But Alliance Capital Tax Relief is an exception to this trend. Over a one-year period, the fund trailed other tax funds ... More

DSP ML Opportunities: Invest in small lots
INVESTMENTS in DSP ML Opportunities can be considered. Barring 2001, the performance of the scheme relative to that of S&P CNX Nifty has been better. DSP ML Opportunities is large-cap oriented fund that sports an ... More

Dividend spree

Fund talk

STOCKS

Ramco Industries: Buy
EXPOSURES can be considered in the stock of Ramco Industries as the prospects of steady growth and improving fundamentals could lead to a higher valuation for the stock over to one-to-two year period. This small-cap stock, which trades at seven ... More

Hindalco: Long-term buy
INVESTORS may use any near term price weakness to take an exposure in the Hindalco Industries stock with a long-term perspective. The plunge in the international prices of copper and aluminium took a toll on metal stocks, including Hindalco ... More

Infosys Technologies: Buy on declines
SHAREHOLDERS can retain their exposure in the Infosys Technologies stock. Fresh exposure may, however, be contemplated on declines. An impressive 15 per cent sequential growth in revenues and post-tax earnings in ... More

EID Parry: Hold
DESPITE the 30 per cent appreciation in stock price since August 2004, shareholders can continue to hold the EID Parry stock. The company's earnings prospects are bright and the stock holds potential for further capital ... More

Gujarat NRE Coke: Buy
THE stock of Gujarat NRE Coke (NRE Coke) can be added to one's portfolio. At Rs 90s, the stock trades at four times its expected per share earnings for the year-ended September 2004. The company is expected to scale ... More

Taj GVK Hotels: Buy
INVESTORS can consider fresh exposure to the stock of Taj GVK Hotels. The hotel industry is now buoyant. Both occupancy and average room rates are ruling at higher levels on the back of strong tourist arrivals. ... More

Hero Honda: Sell
MOTORCYCLE major — Hero Honda — has reported improved performance for the quarter ended September 2004. The turnover rose 39 per cent to Rs 1,757.2 crore and the post-tax earnings 24 per cent to Rs 194.36 ... More

TAXATION

Fringe benefits for a house on the forest fringes
I AM employed in a public sector undertaking (PSU) generating hydel power. All employees are provided with an unfurnished accommodation in a colony near the powerhouse. The employer collects standard rent from all ... More

Loan from dad for renovation

TECHNICAL ANALYSIS

Reliance may seek higher levels
Reliance Ind (Rs 545.7): The stock dropped below the projected target zone of Rs 540-Rs 545. After hitting a low of Rs 533, the stock closed on a positive note on Friday. The stock could seek higher levels in the near-term. The positive ... More

Corrective phase yet to run its course
Preferred view: As anticipated, the market passed through a corrective phase last week. The zone of 1830-1840 acted as a resistance area and the Nifty failed to move past the range. After a sharp drop in the first two trading ... More

Focus of the week
After the expected fall, the stock holds significant upside potential. The long-term positive view would be negated if the stock drops below Rs 520. Those holding profitable positions may sell a portion of their holdings and consider fresh ... More

Query corner

CARS

Weather-proofing your car
IT may sound absurd, but one quirk of the Indian car market is that though many middle-class households can afford a vehicle, they do not have their own garage or covered car park. Most people still leave their cars ... More

Switch to Hyundai Elantra
I live in Pondicherry. I bought a Toyota Corolla last year for some Rs 10 lakh. I want to change the car on account of two weaknesses that the company could not rectify in spite of several requests. One, there is no ... More

HOUSING FINANCE

HDFC 2 in 1 Loans
A LITTLE bit of this, a little bit of that! That is what HDFC has attempted to offer its customers with its two in one home loan product. With interest rates flattening out, you may not be so sure of getting a floating ... More

LIFE INSURANCE

HDFC's single premium Whole of Life Plan
HDFC's single premium policy offers protection for whole life by paying a lumpsum. It is an investment-cum-insurance plan that does not require you to undergo a medical examination. It is a `with-profits' ... More

ECONOMICS

What is time-consistent policy?
THE 2004 Nobel Prize for Economics has been awarded to Professors Finn Kydland and Edward Prescott for their study on business cycles and time-consistent economic policy. What is time-consistent economic ... More

DERIVATIVES MARKETS

Nifty may see further decline
DESPITE the onset of the earnings season, trading activity dipped sharply at the derivative segment on the NSE. Concern over rising oil prices and profit booking could have kept the market participants on the sidelines. With the tech majors - ... More

Options guide
Call option: A call option gives the buyer `the right but not the obligation' to buy the stock at a specified price on a future date. Put Option: A put option gives the buyer `the right but not the obligation' to sell a stock ... More

Futures guide
Futures: A futures contract is an agreement between two parties to buy or sell an underlying asset at a certain time in the future at a certain price. It has standardised date and month of delivery, quantity and price. Spot Price: ... More

Using Futures/Options

FIXED DEPOSITS

Cholamandalam Investment and Finance — Safe for the long run too
THE fixed deposit programme of Cholamandalam Investment and Finance, a non-banking finance company, is open for investment. The interest rates are on a par with auto finance companies such as Sundaram Finance. Among ... More

INTERVIEW

`Seamless tubes is our next growth area'
Every third toothpaste that you use bolsters this company's topline growth. Essel Propack's laminated tubes are not only used in packaging toothpastes but also cosmetics and pharmaceutical products. Its customers include Colgate Palmolive, ... More

BOOKS

Buffett biography in manga format
IF YOU find making money too complicated, draw lessons from "the world's most successful investor", Warren Buffett. If you don't have the patience or time to sit and read a tome, here is an illustrated biography, ... More

CARTOON