HSBC fund changes asset allocation patterns
Kolkata: HSBC Mutual Fund has announced changes in asset allocation patterns for its four schemes, considered necessary to meet the requirements of a dynamic market. The fund has given its investors an exit option, which can be utilised before May 30 at the prevailing NAV without payment of any exit load. Investments made at the moment, however, will be subject to the prevailing load and will not qualify for the waiver. The schemes are HSBC Equity, HSBC Income, HSBC Institutional Income and HSBC Cash.
The short-term plan under HSBC Income, for instance, may have as its normal asset allocation at least 40 per cent in debt and money market instruments (maximum 100 per cent) with residual maturity of less than 367 days. Debt instruments with residual maturity of over one year may account for a maximum 60 per cent
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Indonext: The RSEs' last battle?
Mumbai: Regional stock exchanges (RSEs) are in the news again. A few southern RSEs are planning to form Indonext, a new exchange likely to be in line with the recommendations of the SEBI-appointed M. R. Mayya Committee, set up to suggest consolidation of Indian stock exchanges on the lines of "Euronext". These RSEs are planning to start a national-level trading platform, supplementing the NSE and the BSE — the so-called national exchanges. One proposal is that of placing all the shares listed exclusively on the RSEs on a common order book. The members of all the participating exchanges will trade on this common order book. Regional exchanges have lost their relevance as far as liquidity is concerned. The combined turnover of 21 regional exchanges (barring the NSE and the BSE) was a mere 3.84 per cent of the total during April 2002 to February 2003.
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After 128 years, BSE gets ready for new name, structure
Mumbai: Members of Asia's oldest stock exchange, The Stock Exchange Mumbai (popularly known as the BSE), are expected to change the 128-year-old exchange's legal structure and name and call it BSE Ltd in keeping with its new corporate identity. The new entity, which is also expected to float a subsidiary called BSE Clearing Corporation Ltd, will be formed after the demutualisation of the exchange for which an extraordinary general meeting was held on Tuesday. However, the final outcome of the meeting could not be ascertained at the time of going to press. While BSE Ltd will facilitate trading in securities, the subsidiary will look after surveillance, risk management, clearing and settlement. According to the demutualisation and corporatisation plan for the exchange, a public company limited by shares under the Companies Act, 1956 under the name BSE Ltd will be incorporated.
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Orchid Chem looks up on good returns
Mumbai: Expectations of good revenue returns from the regulated markets are keeping the stock of the Chennai-based pharma company Orchid Chemicals & Pharmaceuticals Ltd on a high. The stock has zoomed by over 46 per cent in the last month and during the past week has gained about 16 per cent. On Tuesday, shares of Orchid closed higher by 1.79 per cent at Rs 102.60 with volumes of 60,667 shares on the BSE and on the NSE, it rose by 2.52 per cent to close at Rs 103.55 with 2.65 lakh shares being traded. Analysts seem to be bullish on the company prospects as the slew of joint ventures and alliances made in Europe, the US and China during the past two years are expected to register good returns now.
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Scorpio' drives M&M to new high
Mumbai: Mahindra & Mahindra on Tuesday touched a new 52-week high at Rs 127.95, ahead of the company fourth quarter results. The results would be announced on May 31 and are expected to be good, dealers said. But the main factor for the interest in the counter is the good response to the company's latest vehicle "Scorpio". The talk is that this vehicle is expected to contribute more to the company's topline and bottomline in the current fiscal. In addition, the stock is being accumulated by select market players on expectation of higher utility vehicles sales in the current fiscal due to the reduction in the excise duty from 32 per cent to 24 per cent. The stock gained 2.82 per cent at Rs 127.40 with volumes of 3.19 lakh shares on the BSE. On the NSE, M&M closed at Rs 127.30, up 3.35 per cent with volumes of 10.81 lakh shares.
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Buying into Daewoo India
New Delhi: Even as the court-appointed liquidator has taken possession of the assets of Daewoo Motors India Ltd (DMIL), there is a sudden buying interest at the Daewoo counter, albeit without a corresponding increase in the price. On Monday, even while the receivers were taking control of the facility at Greater Noida (Uttar Pradesh), DMIL shares numbering 98,124 changed hands on the BSE through just 154 trades throughout the day. It was not a single day's development though. The buying interest continued through Tuesday with another 64,862 shares changing hands in 86 trades on the BSE. There has been a clear trend visible over the last four trading sessions. The average volume through May till now remained below the 20,000-mark, except on May 9 when 23,800 shares changed hands. But last Thursday onwards, the average volume recorded was more than 50,000 with Monday recording the highest volume so far for the month.
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Grasim hits 52-week high
Kochi: Sustained buying support resulted in the share price of Grasim hitting a new 52-week high at Rs 374.40 during mid-afternoon trades on Tuesday. Brokers said that technically the stock had been looking good for quite some time now and the momentum was purely on valuation play. The stock of the AV Birla group, cement and VSF maker, ended the day at Rs 372.10, up 1.33 per cent with around 87,141 shares traded on the BSE. On the NSE, it closed at Rs 373, up 1.43 per cent with around 1.23 lakh shares traded"Stocks with good fundamentals, in other words good management, good performance, good earnings growth and market leaders in their segment are what the investor is looking for. Hence the buying support," Arun Kejriwal of KRIS said. He, however, said the trend was true not just for Grasim but for other brick and mortar companies also which were witnessing sustained support
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Cyberspace: SEBI warns Prabodh Artha
Mumbai: The Securities and Exchange Board of India on Tuesday warned Prabodh Artha Sanchay Pvt. Ltd, a company allegedly involved in the share price manipulation of Cyberspace Ltd along with its promoter Arvind Johari, to be "careful in future while trading" in such manner. The capital markets regulator on Tuesday issued a release saying that investigations into the dealings in the shares of Cyberspace revealed that Prabodh Artha Sanchay had transacted in the scrip of Cyberspace. "It was found, inter-alia, that Prabodh Artha Sanchay was acting in concert with Arvind Johari to support the price of the scrip and create an artificial market in the scrip. Pursuant to a show-cause notice, written reply of Prabodh Artha Sanchay and personal hearing before the chairman, SEBI, the Board after considering all the relevant facts of the case and vide its order dated May 13, 2003 directed Prabodh Artha Sanchay to be careful in future while trading in the aforesaid manner," the release said.
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Rupee vaults 9 paise more
Mumbai: Heavy export dollar receivables flooding the market led to the Indian rupee vaulting 9 paise to close the day at 46.90/905 against the dollar in the local currency markets, while the dollar forward premia fell by about 40 basis points. The rupee opened unchanged from Monday's close, at 46.99/47, which was the intra-day low, with the closing rate being the intra-day high for the day.
The six months forward closed at 0.35 down from yesterday's close of 0.73 per cent and the one-year closed at 0.38 per cent (0.79 per cent) on the back of exporters and importers all punting on the appreciating rupee
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