Ubs

By Gautam Chhaochharia Since the recent significant cut in corporate tax rates, there has been a significant debate on its efficacy in reviving growth, especially in light of the fiscal cost of the move. We believe the reform is more about solving the structural drag on India’s growth rather than solving near-term growth pangs. The structural drag on India’s growth has been one of a ‘slowing middle’, or slowdown in the creation of highquality jobs driving weaker growth in middle-income households. UBS’ detailed modelling two years back captured this trend. The growth in entry-level car sales, which has lagged overall car sales growth over last few years, was a clear symptom of this. However, in last few years, the fall in household savings and increasing consumer leverage, has helped consumption remain resilient vis-à-vis household incomes and, at the same time, made this structural issue less obvious to the markets. This was compounded by the fact … [Read more...] about Tax reforms can be a panacea for the structural drag on economic growth

Last year, Vijay Mallya made an impassioned plea to social media trolls to leave his son Sid alone. The UB Group chairman and 'wilful defaulter' left India in March 2016, leaving behind unpaid bank loans worth Rs9,000 crore. "My son Sid does not deserve all this hatred and abuse. He has had nothing to do with my business. Shower abuse on me if you must but not him," Mallya said, in a series of tweets. My son Sid does not deserve all this hatred and abuse. He has had nothing to do with my business. Shower abuse on me if you must but not him — Vijay Mallya (@TheVijayMallya) March 29, 2016 But looks like Sid Mallya can't escape trolling — not that he seems too perturbed by it. He recently uploaded a picture of him and his adorable puppy, trying to fit into a suitcase. "When u don't want someone to leave so u and the dog get into the suitcase out of protest #clown #banter," he captioned the photo. When u don't want someone to leave so u and the dog get into the … [Read more...] about Sid Mallya can’t escape trolls, attracts criticism on recent Instagram picture

Sterling reached a 19-month high versus the US dollar and its strongest levels against the euro since shortly after the 2016 Brexit referendum. Its jump - as much as 2.5 per cent - versus the dollar put it on course for its biggest one-day gain in nearly three years, a remarkable gain for a currency that has become extremely volatile since the referendum. Chastened by 3-1/2 years of political instability in Britain, investors seized on the expected Conservative landslide, believing it will enable Johnson to deliver Brexit on Jan. 31. That would end immediate fears about the United Kingdom crashing out of the EU. "Just as Boris Johnson was desperately seeking his majority, this result would give the markets their ultimate wish: clarity," said Dean Turner, Economist at UBS Wealth Management. Johnson's Conservatives were on course on Friday to win a comfortable majority of more than 70 seats in the 650-seat parliament in what could be the biggest Conservative national election win since … [Read more...] about Pound soars as Johnson scores big win

MUMBAI: More than a quarter of Inter-Globe Aviation’s anchor book that was opened on Monday has been subscribed to by marquee investors participating in an Indian IPO for the first time. What’s more, they have invested in the world’s biggest, most profitable budget airlines. The first time investors include Neuberger Berman, a long term fund, APG a Dutch pension fund, Harvard Management Company and hedge funds Davis International Fund and Hutchin Hill which are invested through a P-note entity, said two people in the know. Other names include Acacia Partners LP (Ruane, Cunniff & Goldfarb or RCG which had invested in the MCX IPO in 2012) and Columbia Threadneedle which is back after three years, he added. Most of these are or have invested in global low fare carriers, the person said: Neuberger in Southwest Airlines, the world’s biggest budget airline, JetBlue, EasyJet and Spirit Airlines; APG in EasyJet, Ryanair and Air Arabia, RCG in EasyJet and Davis in … [Read more...] about IndiGo brings in new names in Indian IPO market

        One in five travellers is flying less as “flight shaming” propels travellers to shun air travel for the sake of the planet, according to a survey of 6,000 Western travellers.The survey predicted environmental concerns would keep denting air traffic, as activists such as Swedish teenager Greta Thunberg lead the way and turn people off planes.Emma Kemp, 25, a campaigner and fundraising manager at British climate change charity 10:10, said she skipped flying for her last holidays to Italy and Croatia and opted to get around by coach, train and ferry instead.“I felt I was really travelling,” she told the Thomson Reuters Foundation. “And I felt at peace with myself, having done something for the planet.”If these trends continue, the expected growth in passenger numbers could be halved, Swiss bank UBS said in a report published this week.A survey of more than 6,000 respondents in July and August showed that, on average, one … [Read more...] about Flight shaming hits air travel as ‘Greta effect’ takes off