analysis on financial sector
DESCRIPTION
TRANSCRIPT
Finance plays a crucial role in the Economy
Slight change may affect the common man
MeasuresAmendments- Banking Regulation Act, 1949
Allowing Banking Companies to issue
Amendments- RBI, 1934
Removal Of CRR 0.1% banking transaction tax
Preference Shares
Removal Of SLR
Impact
Issue of preference share will help them to raise equity
0.1% transaction will discourage cash transaction
Infrastructure lending will increase bank’s advance & reduce their non performing assets( NPA)
Equity Market
Debt Market
Derivatives
Mutual Funds
Measures
Reduction in Tax Slab
Reduction in Corporate Tax
Proposal For Derivative Market
Impact
Views
Increase In Government Borrowings
Removal In SLR and CRR
Impact
Measures
It will put the pressure on yields
Increase in liquidity and volumes
Changes in definition of securities
Hike in division distribution tax from 13.07% to 14.25%
Impact
Cooperate bond will further strengthened
Negative impact
Views
MeasuresMeasures
Introduction of Gold Exchange Traded Funds (GTEF)
Impact
Influences Semi-urban and Rural MarketLower Transaction Tax
Views
Derivatives trading as Non-speculative business
Measures
Impact Impact
FIIs can submit collateral for F & O Trade
Investor can adjust the losses against profit from cash market
Increase the participation of FIIs and volumes
MeasuresMeasures
Exemption From Stamp Duty
Examples
Sao Paulo………………………………….Brazil
CBOT………………………………………..USA
Mexican Derivative……………….MEXICO
Measures
Increase from 0.015% to 0.020%
Less effect on Day Traders
Impact
Views
Measures
Allotment Of Rs. 5500 cr
Investments in:
Mumbai Metro
Trans-harbor Link
Mumbai-western Sea-link
Detail Proposal Of MMRDA
Impact
Strengthening Infrastructure
Increase in Employment, Consumption and Financial Standards
Views
Strengthen the Mumbai
Resources allocated are less
Sectors to look for Investment Point of View
Bullish Neutral
Cement
Automobiles
Textiles
Sugar
Oil (Refineries)
Pharma
FMCG
Telecom
IT