SEBI pulls up MFs on special schemes
Mumbai: The Securities and Exchange Board of India has taken a serious view of several mutual funds having schemes with low investor base. SEBI is understood to have come across schemes with only 3-4 investors. These schemes are targeted at either corporate or high net worth individuals - a practice that goes against the very objective of floating a mutual fund scheme. There are several leading mutual funds that have schemes in which the number of investors is less than a dozen, an MF source said. Though the size of the corpus under these schemes could not be ascertained, it is said to be in hundreds of crores of rupees.

To assess the situation, the SEBI chairman, G.N. Bajpai, has called a meeting of chiefs of all mutual funds on July 18.
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Canbank MF declares dividend
Mangalore: Canbank Mutual Fund has declared its 76th weekly dividend in the Canliquid scheme. The dividend works out to Re. 0.0101 per unit (for seven days) which works out to 5.2664 per cent per annum on a face value of Rs 10 based on a net asset value of Rs. 10.0584 as on June 23, which is the record date for its dividend reinvestment plan. With this, the cumulative dividend declared under the scheme till date is Re. 0.9382. The CAGR of the scheme since inception (from January 14, 2002) is 7.41 per cent based on an NAV of Rs 11.0639 as on June 23 under the growth plan, according to a press release issued by Canbank Investment Management Services.
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Sundaram Select declares dividend
Chennai: Sundaram Select Focus, an equity fund floated by Sundaram Mutual in July 2002, has declared a maiden dividend of Rs 2 per unit of Rs 10 face value. The record date for the dividend was June 20. As on that date, the net asset value (NAV) of the dividend option was Rs 12.50.
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Bajaj Auto rides on number hopes
Mumbai: After a brief lull in the counter of one of India's largest bike maker, Bajaj Auto, the stock seems to be picking up to where it left off on June 3 at Rs 570 levels. Dealers said that the renewed interest in the stock stemmed from expectations of good bike sales especially with the onset of monsoon and rural demand lifting. Analysts say bike sales were less than expected lines during the past month. According to them, the company is expected to touch the one-lakh figure in bike sales. The stock closed higher by 4.60 per cent on the BSE at Rs 591.70 with 57,335 shares being traded. On the NSE, it went up by 3.94 per cent to close at Rs 590.60 with 3.07 lakh shares being traded.
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Voltas rises on export order rumours
Mumbai: The counter of Voltas Ltd was abound with rumours of an export order. Dealers say that the company could be close to bagging a huge export order. However, the quantum could not be ascertained. Nevertheless, the stock has reflected the optimism by rising over 8.91 per cent on the BSE to close at Rs 67.85 with 1.65 lakh shares changing hands. On the NSE, the stock went up by 9.07 per cent with 2.55 lakh volumes. The company had recently embarked on a marketing blitzkrieg and is expected to focus far more on the household segment to increase sales.
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Petron Engg high on order books
Mumbai: The stock of Petron Engineering Construction Ltd is in the limelight on account of expectations of a sizeable order book.
According to analysts, the company had recently, got orders from leading companies such as Indian Oil Corporation and Bharat Heavy Electricals Ltd. The order book is expected to be about Rs 180 crore as compared to Rs 18 crore last year. The company has also obtained an order worth 15 million euros for a cement plant from a Nigerian firm and an export order from the Kuwaiti Government could also be in the offing soon. On the back of these , the stock has gained almost 100 per cent since the beginning of this month. The stock has gone up by 2.90 per cent on the BSE to close at Rs 23.45 with 32,819 shares in volume. On the NSE, it closed higher by 5.75 per cent at Rs 23.90 with 40,656 shares being traded.
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Hughes scrip makes gains on telecom revival hopes
Mumbai: The stock of telecom software solutions provider, Hughes Software Services, seems to be finding favour with the market once again, gaining steam on account of early signs of a turnaround in the global telecom sector, say market experts. On Thursday, the stock closed at Rs 217.10 on the BSE, up 1.33 per cent with 4.06 lakh shares traded. On the NSE, the stock ended at Rs 217.35, up 1.26 per cent with 10.01 lakh shares traded. Over the past month, the stock has gained 8.41 per cent on the BSE, rising from Rs 200.25 on May 26, to today's close of Rs 217.10 while on the NSE, the stock has gained 7.84 per cent, going from Rs 201.55 to Rs 217.35 during the same period. "Globally, the telecom sector is witnessing a gradual revival and as it shows signs of a turnaround, HSS, being a product company, is likely to be among the first few listed companies to see significant benefits," said Sandeep Shah, senior analyst, equities, Tower Capital and Securities Pvt Ltd. DSP Merrill Lynch's Equity Research division has upgraded the stock from a `Neutral' to a `Buy' recommendation.
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NSE posts highest volume in derivatives
Mumbai: The National Stock Exchange on Thursday recorded all-time-high volume in the derivatives segment at Rs 5,114.70 crore. The previous highest was Rs 4,582.10 crore recorded on Wednesday. The volume in the derivatives segment was marginally lower than the combined turnover on the cash market segment of the BSE and the NSE. In the cash segment of the NSE, the turnover was Rs 3,738.91 crore and on the BSE the turnover was Rs 1,442.03 crore. The combined turnover is Rs 5,180.94 crore. Of the various derivatives products, S&P CNX Nifty futures recorded a volume of Rs 516.67 crore. S&P CNX Nifty options recorded a volume of Rs 88.83 crore, Options on individual securities recorded a volume of Rs 1053.03 crore, Futures on individual securities recorded a volume of Rs 3,426.06 crore and Interest futures recorded a volume of Rs 30.11 crore, the NSE said in a statement. Futures on individual securities have recorded a new high in volumes. The previous high was Rs 2,891.70 crore on June 25, 2003.
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Madras HC takes cue from SC verdict on stock brokers' plea
Chennai: The Madras High Court has turned down the plea of some of the stock brokers of Chennai, who are members of the National Stock Exchange, to direct the Securities and Exchange Board of India to compute the annual turnover of a stock broker for purposes of registration under Section 12 of the SEBI Act, 1992, on netted out amount, in view of the apex court decision. The Supreme Court had dismissed a writ petition praying for declaration that Section 12 was void and ultra vires the Constitution. The Court, which considered a civil writ petition No 126 of 1993 (in the matter of BSE Brokers Forum and others vs SEBI and others) filed by an individual stock broker, also got transferred various other writ petitions filed in many High Courts on the same issue. The various writ petitions in the various high courts were stayed. On February 2, 2001, the apex court dismissed the writ petitions, subject to some directions.
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Rupee gains 6 paise; securities weak
Mumbai: The domestic currency closed around six paise stronger at 46.5375 against the dollar on Thursday compared with Wednesday's close at 46.5950/6050. The rupee opened at 46.60. Dealers ascribed the rupee's gain to the 25 basis point cut in the US Fed rate, which has fanned hopes in the local markets, that the widening interest rate differential presents excellent opportunity for arbitrage and will encourage foreign investment into India. The rupee is also expected to continue its upward trend against the dollar, in keeping with the international scenario of a weak dollar against other currency majors. Meanwhile, forwards were relatively steady, with the one-month annualised premium trading at 3.14 per cent (3.66 per cent), three-month at 3.05 per cent (3.13 per cent), six-month at 2.50 per cent (2.50 per cent) and one-year at 2.38 per cent (2.43 per cent).
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