CAGR Insights is a weekly newsletter full of insights from around the world of web.
| Index | 08-Dec-23 | 01-Dec-23 | Change |
| Nifty 50 | 20,969 | 20,268 | 3.46% |
| Nifty 500 | 18,704 | 18,115 | 3.25% |
| Nifty Midcap 50 | 12,624 | 12,335 | 2.35% |
| Nifty Smallcap 100 | 14,404 | 14,239 | 1.16% |
Chart Ki Baat
The Tale of US and Indian markets
Courtesy: DSP AMC
Gyaan Ki Baat
The Crown Jewel Defense is a takeover defense strategy where a target company seeks to prevent a hostile takeover by divesting itself of its most valuable assets, known as the “crown jewels.” The target company makes itself less attractive to the acquiring company.
This defensive manoeuvre is designed to protect shareholder value and retain control over critical elements that contribute significantly to the company’s financial strength and competitive advantage. The success of the Crown Jewel Defense depends upon the significance of the divested assets.
Here’s the list of curated readings for you this week:
Personal Finance
- Interview with Prashant Jain – This interview discusses Prashant Jaini’s views on balancing conviction and rigidity, his evolution as a money manager and a small event that changed his life. .Read here.
- Interview with Mohnish Pabrai – This interview revolves around Monish Pabrai’s views on success, how he dealt with the Global Financial crisis and what role does money play in his idea of a successful human being. Read here.
- CRISIL’s monthly indicator of food plate cost – The average cost of preparing a thali at home is calculated based on input prices prevailing in north, south, east and west India.Read here.
- Case for a higher debt allocation over the next 12-18 months – Although bonds are typically thought of as an asset class that offers stability over a longer time horizon, debt has actually outperformed other asset classes throughout the era of extreme/long interest rate rises and tight financial conditions. Read here.
Investing
- The tale of two markets – In US, the stock market has become increasingly concentrated in the hands of the top 7 firms accounting for a substantial portion of the overall market capitalization. In India, the situation is opposite. The broader small and midcap stocks have outperformed the Large caps by a huge margin. Read here.
- Indian banks have emerged as a global beacon of stability and growth – A recent report from Moody’s has also highlighted the strength of the Indian Banks amid a negative outlook for the global banking sector in 2024. Read here.
- US examined Hindenburg allegations before giving loan to Adani – The US government extended Indian billionaire Gautam Adani’s company as much as $553 million for a container facility in Sri Lanka after concluding that short-seller Hindenburg Research’s accusations of corporate fraud against him were unfounded .Read here.
- Indian Central Bank keeps rate unchanged – The repo rate was kept unchanged at 6.5%, as widely expected. Read here.
- India Inc.’s corporate landscape in Q2-FY24 – India Inc. demonstrated increased profitability even as sales growth slowed. The main driving factor for this increase in margin was the decline in commodity prices. Read here.
Economy
- Bollywood’s Resurrection -The tremendous success of Paathan and Jaawan has revived considerable optimism for Bollywood films that has had a string of dismal years.. Read here.
- Story of Namma Yatri – For a single day, Uber and Ola were prohibited from operating in Bangalore while the courts worked to control their pricing strategies – this was the official launch of the Namma Yatri app. This article goes into depth of the journey for creating such an app. Read here.
- Trends in general government subsidies – Over the past ten years, there have been significant shifts in the pattern, with the phase-out of petroleum subsidies and the increased prominence of food and fertilizer subsidies. Read here.
- US public debt concerns – Downgrades of US credit ratings underscore another consequence of the sharp increase in interest rates: apprehension over the government’s capacity to sustain sustainable public finances over the long haul.Read here.
- Nigeria is taking a gamble on solar power – This video delves into the bet Nigeria is taking on solar power since the sudden end of its fuel subsidies. If it works in their favour, it will become the first example of a distributed off grid solar at a great scale level. Watch here.
****
Check out CAGRwealth smallcase portfolios here.
****
That’s it from our side. Have a great weekend ahead!
If you have any feedback that you would like to share, simply reply to this email.
The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.