The Hindu Business Line : Sunday, September 25, 2005

Oil companies: Sliding on subsidies
THE red ink splashed across the balance-sheets of the four major oil companies — Indian Oil, BPCL, HPCL and IBP — in the first quarter may have dried but the underlying causes for the losses have ... More

More pain in the near term — How cos are tackling the price spike
WHAT does the near term hold for the refining and marketing companies and what is their strategy to tide over the difficult period ahead? Mr Sarthak Behuria, Chairman and Managing Director, Indian Oil, assured ... More

Crash or correction, no reason to panic
NOTHING ever prepares you for a market crash or correction. Uncertainty over market trends can make even the experienced investor feel helpless. For the uninitiated, no amount of reassurance is enough to convince them ... More

Watch your pennies... They may go any where
GSLOT Entertainment, My Fellow Fashions, Women Networks and Simran Farms ... With imaginative names, outlandish returns and wildly gyrating prices, penny stocks are a parallel world of stock market investing; that is, if you can call this ... More

MUTUAL FUNDS

SPOTLIGHT

SBI Magnum Taxgain: Invest
AN INVESTMENT can be considered in SBI Magnum Taxgain in phases. The fund continues to top the performance charts. The fund with its mid-cap bias comes with a higher risk profile than a typical diversified fund. Over ... More

HDFC TaxSaver: Invest
HDFC TaxSaver remains one of the top performers in the equity fund space and is one of our preferred picks. Investors could contemplate fresh exposures in the fund, as its portfolio also appears well positioned at this ... More

FUND TALK
Concerns about capital erosion
Given the concerns about capital erosion, you should give serious thought to what part of your savings you want to invest in equity funds. More

MFs are liable for deficiency: SC

In a judgment that has implications for investor services offered by mutual funds, the Supreme Court has ruled that a mutual fund was liable for `deficiency in service' even though the lapses were of the postal department in not delivering ... More

STOCKS

ICICI Bank: Book profits
ICICI Bank: Investors can take advantage of the substantial increase in the price in ICICI Bank and reduce exposures. The stock trades 3.5 times its book value. At 22, the price-to-earnings multiple of the bank is also much higher than that of ... More

HDFC: Buy
HDFC's relative superiority across parameters such as return on shareholder funds, lower proportion of bad loans, a comfortable capital adequacy ratio and its low-risk tag make it appealing from a long-term perspective. HDFC is also attractive ... More

Cadila Healthcare: Buy
INVESTORS can consider adding exposure in the Cadila Healthcare stock, which trades at Rs 533. Any price decline, caused by market-related weakness, may be used to step up holdings. Though we had a `buy' on the stock in the early part of the ... More

GTC Industries: Hold
INVESTORS may consider retaining their holdings in the stock of GTC Industries, which trades at 10 times its trailing 12-month earnings. Consistent hikes in excise duty, severe restrictions on the tobacco industry and health concerns have ... More

Mahavir Spinning: Buy
INVESTORS can consider fresh exposures in the stock of Mahavir Spinning. The merger of the yarn and fabric businesses of Vardhman Spinning has shored up the numbers for Mahavir, which is now the largest textile player in the country, with ... More

Bank of Baroda: Buy
AN INVESTMENT in the Bank of Baroda stock can be considered. The stock is trading at a price to earnings multiple of nearly 10 times its earnings for the period ended March 2005. Earnings were depressed due to large ... More

E.I.D-Parry: Hold
THE EID-Parry India stock is among the safer exposures in the sugar sector, with its strong balance-sheet, diversified revenue streams and good quality management. However, the market already seems to have recognised ... More

TECHNICAL ANALYSIS

Reliance on a weak wicket
SBI (Rs 889.8): The stock moved closer to the target zone of Rs 945-950. After touching a high of Rs 926, the trend turned weak. The recent price action indicates that there is marginal downside risk from prevailing levels. The stock could ... More

Nifty delicately poised
Preferred view: It was a tumultuous week with the index displaying a high degree of volatility. The Nifty moved within the striking distance of the target of 2590-2600 that has been indicated in this column for several months now, ... More

Focus of the week
Sesa Goa (Rs 966.3): It is simply amazing to look at the price pattern traced out by the stock. The stock price's conformity to the principles of the Elliott Wave theory is fascinating. The stock appears to be in Wave 5 on the weekly ... More

Query corner
Kindly advise on the prospects of Lloyd Electric bought at Rs 127 and Glenmark at Rs 312. — Aditya Tiwari Lloyd Electric (Rs 160.2): Though the long-term trend is bullish, the stock could seek lower levels, as it is still in ... More

CARS

Question 'N' Auto
What is antisubmarine seat? What does it prevent and what does it protect the driver from? Do the angle of the seat and the backrest have anything to do with it? Is its availability in a car be identified by merely by looking at the seats? Do ... More

HDFC Bank's financing scheme for Tata cars
HDFC Bank has come out with special offers on the Indica, Indigo and Marina. By opting for HDFC Bank's financing scheme, customers can avail themselves of a discount up to Rs 40,000 on purchase of the Indica Petrol. On purchase of petrol versions ... More

Offers from M&M
Mahindra & Mahindra is offering a slew of gifts and discounts on purchase of its vehicles, as part of its 60th year celebrations. Discounts of up to Rs 38,000 on the Scorpio and up to Rs 21,000 on the Bolero XL are being offered. Discounts are .. More

Ford's September package
Ford, as part of its September sales scheme, is offering the 1.6 Ikon EXi at Rs 4.99 lakh. Those interested can avail themselves of this offer by opting for a finance scheme of not less than Rs 4 lakh. The offer is valid until the end of this ... More

TWO/THREE WHEELERS

TVS' new spruced up twosome
CONSOLIDATION is the current theme at TVS Motor. In the intervening period — that is, before new models are rolled out — the company seems to be trying to refocus and offer potential customers more choice with the launch of new ... More

WHEELS 'N DEALS
Enfield powers up the Bullet
AS PART of its strategy to cater to next-generation bikers who have a fancy for muscle machines, Royal Enfield has launched new versions of the Bullet Electra and the Thunderbird. The new version Electra, christened Electra 5S, and the ... More

ECONOMICS

Is equity less risky?
THE sharp decline in the stock market in the last few trading sessions has not really disturbed the long-term investors. They think that their investments can still become profitable over the long term. The perception is that equity is less risky ... More

STOCK MARKETS

Investment strategy: Take profits
Equities could trade in choppy territory over the next few months, as the effects of higher crude prices may neutralise effects of inflows. Over the past couple of years, a large number of stocks - including large caps - have risen by 100 ... More

What is arbitration?
The primary focus of risk management by SEBI has been to address the market risks, operational risks and systemic risks. To this effect, SEBI has been continuously reviewing its policies and drafting risk management policies to mitigate ... More

DERIVATIVES MARKETS

F&O POINTERS
Weakness may continue
For the following week also, we expect the weakness to continue in Nifty amid volatile condition as indicators such as put/call ratio, implied volatility and cost-of-carry pointing towards that. Also, the expiry of September derivatives ... More

Sharp rise in volumes
AMID the sharp fall, the derivative segment witnessed hectic activity on the NSE last week; the average daily turnover was Rs 23,276 crore against the previous week figure of Rs 15,687 crore. In fact, the F&O segment witnessed record turnover .. More

CREDIT CARDS & DEBIT CARDS

A new card from American Express
IS THE prospect of rising petrol prices making you consider walking to work? Relax. There are options out there to ease the pressure on your wallet. The latest card from American Express promises to save you up to 10 per cent on fuel expenses. ... More

FIXED DEPOSITS

Invest in 3-year bonds of OCL India
OCL India: Investors may consider exposures in the fixed deposit options of OCL India. The one-year as well as the three-year options may be considered. As the two-year option does not offer any premium over the rate on the one-year ... More

INCOME TAX

Tax benefits on housing loan when you are living elsewhere
I HAVE taken a housing loan from LIC Housing Finance Ltd. The loan has been utilised for acquiring a house which is not in the city I reside. I am employed and already own a house in the city where I am residing. Will it be possible for me to get ... More

Rebate on prepaid loan
I HAD taken a loan in 1998 to purchase a flat. I have paid the full amount of the outstanding loan by way of prepayment in March 2005. Can I claim tax rebate on the principal and deduction in respect of interest which is comprised in the ... More

IPOS

Suzlon Energy: Invest at cut-off
INVESTORS not averse to risk can consider investing in the initial public offer of Suzlon Energy. The offer is being made at a price band of Rs 425 to Rs 510, at a multiple of 32 to 38 times its diluted FY05 earnings on an expanded equity base. ... More

BOOKS

Nothing is more important than experience
WHEN the index tanks, as it did a few days ago, what you need is not sympathy but advice on "how to make money in both bull and bear markets". So, here is Kirk Kazanjian's "The Market Masters," from Wiley (More

INVESTMENT QUOTIENT

Investment quiz
1.When the FOMC meets, financial markets across the globe fret over the likely outcome, as they did last week. What is the FOMC? 2. The market capitalisation of ONGC — India's most valuable stock now — is close to the Rs ... More

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