The trend of investing in global markets will pick momentum over a period of time, says the CEO of Edelweiss Global Asset and Wealth Management. Where do you see better risk reward? Do you think the case for fixed income is stronger or do you think equities look much better on a risk return basis for the next one or two years? As a wealth manager, we are very clear that most of the alpha in portfolios is created not by being very bold about making big calls or whether to go into equity or fixed income but making more calibrated asset allocation calls and being very selective about what products you choose to play. But generally speaking, I think there is a very big opportunity in fixed income, which is very counterintuitive to all of us because you look at the yields and they are very low. RBI shut its window for 7.75% yield paper and that was a seven-year paper. The reality of life is that for the next two or three years, we are budgeting for a very low inflation and if we are … [Read more...] about Expect residential real estate to make a come back: Nitin Jain
Balanced government budget
New Delhi: Distribution companies or Discoms, often cited as the weakest link in the Indian power sector, have been the focal point of power sector reforms for decades now. The fact that the Prime Minister in a recent review meeting of Ministry of Power and Ministry of New and Renewable Energy highlighted that focus needs to be on de-stressing discoms, points towards a systemic persistent problem in the distribution sector in India.There have been many attempts by the government from time to time for financially overhauling the distribution companies, or discoms. The flagship scheme of UDAY launched in 2015 was a leap forward in this regards. As happened with earlier financial packages, the stimulus provided by UDAY also failed to make a difference as discom debts and outstanding dues have reached pre-UDAY levels in 2020.To further add to the discoms’ financial woes, the nationwide lockdown aggravated the situation with electricity consumption falling steeply, particularly for … [Read more...] about OPINION: Will power discoms ever become “Aatmanirbhar” or self-reliant?
Are you worried about the way cases are increasing on a daily basis?A: Frankly, I am actually only worried about deaths. I am being very honest. I am worried about deaths and that is being hovering around 150-170 which is quite reassuring from that perspective but at the same time we have to continue with all our measures to control the infection. We are trying to control it at every level so that it does not spread. You can argue about what Britain did and they and US tried for getting herd immunity. That did not seem to have worked. What we have done in our country is not flatten the curve, but distributed the curve in the sense that the curve may be longer but it is not that high. This has happened because of implementation of the lockdown. Now, when we are opening the lockdown, behavourial practices have clearly changed. Hopefully we are able to strike a balance between some level of immunity, some level of vaccine, some level of medication. How H1N1 suddenly came in a big wave, … [Read more...] about India’s managed to ‘distribute’ corona curve, says ICMR chief
Back in 2018, ahead of key Assembly elections, the Centre had cut the excise duty at a time when global crude prices were on the ascent in order to minimise any electoral fallout from unchecked fuel costs. The government’s goal of maximising revenue from fuel products to fund welfare measures can only bear fruit if demand for petrol and diesel remains unaffected by the continuing high costs. With curbs on inter-State road transport still in place, contracting automobile sales unlikely to recover any time soon, job losses and pay cuts sure to shrink household budgets, it is hard to see transport fuel demand rebounding to pre-lockdown levels for at least one or two quarters. Add to that the fact that the Centre’s ambitious disinvestment target of ₹2.1-lakh crore for this fiscal had included a stake sale in BPCL, and the petroleum products’ pricing approach gets even more complicated. With potential investors unlikely to be impressed by the lack of autonomy in the … [Read more...] about Oil price pickle: On fuel duty hike
Mumbai: The government is speeding up plans to auction 4G spectrum worth more than ₹4 lakh crore, said a senior government official. An inter-ministerial note being drafted is likely to be presented to the Cabinet as early as next month, the person said. Bharti Airtel and Reliance Jio Infocomm, India’s top two telcos, have been pushing for an early 4G spectrum sale given the surge in demand for data and voice services, and to buy back airwaves in circles where their permits are expiring next year. The government, in turn, requires the auction proceeds to meet spiralling expenditure needs amid the Covid-19 crisis that has hit revenue. “The draft will most likely head for inter-ministerial consultations and then the Cabinet next month. The dates for the auctions will be fixed after those approvals come in,” said the official. Another official said both Airtel and Jio have “unofficially intimated” to Department of Telecommunications that they need … [Read more...] about Strapped govt to fast-track ₹4 Lakh crore of 4G spectrum sale