CAGR Insights is a weekly newsletter full of insights from around the world of web.
| Index | 6-Oct-23 | 29-Sep-23 | Change |
| Nifty 50 | 19,651 | 19,638 | 0.07% |
| Nifty 500 | 17,292 | 17,293 | 0.00% |
| Nifty Midcap 50 | 11,543 | 11,612 | -0.59% |
| Nifty Smallcap 100 | 12,848 | 12,749 | 0.78% |
Chart Ki Baat Cricket World Cup may add $2.4 billion to Indian economy says Bank of Baroda report.
Bazaar Ki Baat
Factor investing strategies and their performance across diff. Macro conditions
In the 12th edition of “Bazaar ki baat”, we discuss two special topics (i) Factor Strategies and their performance in diff. Macro conditions and (ii) Drawdowns in Investing and its implications in investing decisions. Watch here.
Gyaan Ki Baat
Sukanya Samriddhi Yojana (SSY)
Sukanya Samriddhi Yojana was launched by Prime Minister Narendra Modi on 22 Jan 2015 under the Beti Bachao Beti Padhao campaign. This is a government-backed savings scheme designed with the purpose of creating funds for girl child education and marriage expenses. The account can be opened anytime between the birth of the girl child and the age of 10 years.
The parents can contribute a minimum deposit amount of INR 250 and a maximum of INR 1.5L in each financial year upto 15 years from the opening of the account. The rate of interest is currently 8% and the accrued interest is exempt from tax. Investments made in the SSY scheme are eligible for deductions under Section 80C upto INR 1.5L.
The scheme has a maturity period of 21 years from the date of opening or at the time of marriage after she has completed 18 years of age. Also, it is mandatory that the girl child operates the account on attaining 18 years of age.
Here’s the list of curated readings for you this week:
Personal Finance
- SEBI makes it easier for legal heirs to claim shares, mutual funds after investor’s death- SEBI just made the life of surviving family members much easier to claim their rightful inheritance through a centralised death reporting mechanism. This will reduce the number of institutions to which the nominees have to reach out to in order to claim their inheritance. Read here
- Should you opt for HDFC Sanchay plan? – To me, this product mathematically looks like a decent product, but practically a very silly one. Yet this is a very popular product. Read here.
- 95% of investment advisers penalised by SEBI provide trading calls: Study – A study of SEBI orders passed against registered investment advisers over the years found that most offer only equity derivative and speculative trading calls and tips; 51 percent of the orders were passed against entities from Indore, which is infamous for spam equity phone calls. Read here
- Madhabi Puri Buch cuts a deal with “good guys” of advisory industry – At the conference held on October 4, Buch shook hands on a deal that said that the regulator would ease the norms to hire talent at an advisory if the advisories were willing to be held responsible for the bad actions of their employees Read here.
- An inside view on the collapse of LTCM – 25 years ago this month, catastrophic losses at the hedge fund Long-Term Capital Management, or LTCM, almost brought the entire financial system to its knees. The story has been told many times, but always by outsiders. On the latest episode of The Investing Show, one of LTCM’s founding partners, VICTOR HAGHANI, recalls events from an insider’s point of view. Read here.
- Investing against the Grain: Spotting Quality in Downturn – They zero in on small-cap blue-chip companies (QID or Quality in Downturn) navigating temporary business downturns. These are firms whose stock prices have been unjustly impacted, presenting ripe investment opportunities. Read here.
- Estimating long-term equity returns – Data says India’s “long-term” returns range from 7% to 20%, depending on when you invested. The way we set expectations needs to factor in this variability. This post explores two ways to set expectations for long-term equity returns. Read here
- The rating upgrades continue to be higher than decadal average – The upgrades were driven by an expected expansion in cash flows this fiscal for sectors linked to domestic demand and for those benefiting from high government spending. These sectors, such as infrastructure, services and consumables, kept the overall upgrade rate elevated. Read here.
- Cricket World Cup may add $2.4 billion to Indian economy – Based on a report by BOB, it is estimated to give a boost of Rs. 18,000-Rs. 22,000 crores on gross output. Most of this will be concentrated in the services sector, with hospitality sector benefitting the most. Read here.
- India’s Remarkable 5G Advancement Elevates its Global Mobile Ranking – India is now ranked 47th globally, ahead of even the UK (62nd) and Japan (58th). Read more.
- India cbank keeps interest rates steady for 4th straight meet – The Reserve Bank of India kept its key lending rate steady for a fourth consecutive policy meeting on Friday, as widely expected, but signalled it would keep liquidity tight using bond sales to bring inflation closer to its 4% target. Read here.
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That’s it from our side. Have a great weekend ahead!
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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.