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Vol.4, Issue IX, Pages 54, September 2012

From the Managing Director’s Desk

Anup BagchiMD & CEO

ICICI Securities Ltd.

Our retirement could be very different than what our parents experienced. As more and more corporates and even government moves towards de ned contribution system a guaranteed pension and medical bene ts from employers may not exist. This means for 25-30 years of retired life we would need to save enough today.A good way to start is to take a stock of the current pool of assets that you have which have been earmarked for retirement. These could be your gratuity or pension schemes offered by insurance rms. t is also important to understand the type of assets that you hold under these investments.The second step is to estimate the expenses that you will incur after you retire. This could be a bit tricky because what you spend then could be signi cantly different than what you spend today. ith in ation the expenses go up every year and your investments will need to grow to meet up with those expenses. n real terms your expenses are likely to reduce by 0- 0 . However the pattern may change. There are likely to be more medical expenses but lesser expenses relating to children travel etc. t is a good idea to have a separate corpus for medical expenses based on current tness family history coverage if any through the current employer etc.The third step is to nd how much you should invest today to have enough corpus at the time of retirement. This could be a

ICICIdirect Money Manager 1

September 2012

complex decision with a large number of investment options available today. Basically, you need to get your objectives right. A long-term retirement plan needs to strike a balance between capital growth, risk management, protection and tax planning. Additionally, this mix has to be reviewed regularly so that it is aligned to your retirement goals.At times we may realize that funds are less and goals are high. It therefore becomes tougher to estimate what one would require at the time of retirement and how much is good enough to save today. A proper planning can help answer how much you need to save. It’s a good practice to analyze the household budget for income and expenses. Reviewing credit card bill statements, electricity bills, cheques issued, etc, of the last one year will give us an insight on where our ‘money is disappearing’. On the income side, one has to observe the nancial as well as physical assets, and ensure that all are made to work to improve returns on ‘lazy money lying around’.

lanning for retirement ought to be the top nancial goal. The reason is simple. The responsibility to ensure we have a regular income is no one else’s but ours. The services of a good personal nance advisor can hand-hold you through the process of retirement planning. ith our vast experience in nancial markets and a commitment to pioneer innovative solutions for customers, we are always there to partner you towards a secure and peaceful retirement. Do talk to your ICICIdirect relationship manager to help you with your plan.Our message remains the same - ‘Keep investing and stay invested for your life goals.’ Through this magazine and our website www.icicidirect.com we want to make an earnest attempt to partner with you in setting and achieving your

nancial goals. ive us an opportunity to serve you, walk into any of your Neighbourhood Financial Superstore and talk to us.

2 ICICIdirect Money Manager

September 2012

EDITORIAL

Editor & Publisher : Abhishake Mathur, CFP CM

Coordinating Editor : Yogita Khatri

Editorial Board : Sameer Chavan, Pankaj Pandey

Editorial Team : Amit upta, Azeem Ahmad, Darshan Dodhia, Dharmesh Shah, Nithyakumar VP, Nitin Kunte, Pankaj Agarwal, Purnendu Jha, Sachin Jain, Shaboo Razdan, Sheetal Ashar

Most of us understand the importance of retirement planning, yet very few of us actually take steps towards it. We ran a poll on ICICIdirect asking our customers if they had planned for their retirement. The result - about 51 percent of the respondents said they have not planned for their retirement yet. Part of the problem is the awareness and knowledge on options available.

Regular income in our old years is something that we all seek for. It could be achieved with the help of pension products, which provide old-age income security. One such product is New Pension Scheme (NPS). NPS is a low cost portable pension product with multiple fund managers and investment options. It has a provision for mandatory 40% annuitization which ensures regular pension in old years.

NPS allows you to invest 50% of your money in equities; the rest goes in debt instruments. It’s a good retirement planning option, especially for moderate and conservative types of investors. In this issue of ICICIdirect Money Manager, we cover all that one needs to know about NPS.

The edition also offers the information and analysis on balanced funds that seek the best of both world – equity and debt. These funds are ideal for investors looking for a combination of income and moderate growth. We also cover thirteen fund managers’ opinions on equity and debt markets along with their recommended investment strategy for retail investors. So read on, stay updated and involved.

Do write in with your feedback at [email protected].


September 2012

CONTENTS

Important: All the contents of ICICIdirect Money Manager are the exclusive property of ICICI Securities Ltd. No article, either in whole or in part, may be published circulated or distributed through any medium without the express consent of ICICI Securities Ltd.

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From the Managing Director’s Desk .................................................... 1

Editorial .................................................................................................. 2

Contents ................................................................................................. 3

News ....................................................................................................... 4

Markets Round-up ................................................................................. 5

Technical Outlook .................................................................................. 6

Derivatives View .................................................................................... 8

Top Picks: PNB and Havells India ....................................................... 12

Flavour of the Month: New Pension Scheme (NPS) ......................... 15

Here we discuss how NPS helps you save regularly to ensure income security during retirement

Fund Managers’ Survey ...................................................................... 20

Query Corner ........................................................................................ 24

Financial Planning Case Study ........................................................... 27

Mutual Fund Analysis: Category – Balanced Funds ......................... 31

................................................... 40

Knowledge Base Article: Bank FDs vs. RDs ...................................... 42

Equity Model Portfolio ........................................................................ 44

Quiz Time ............................................................................................. 47

Premium Education Programmes Schedule ...................................... 48


September 2012 NEWSEuropean Central Bank plans unlimited bond-buying

The European Central Bank (ECB) has agreed to launch a new and potentially unlimited bond-buying programme to lower struggling Euro zone countries’ borrowing costs and draw a line under the debt crisis. Seeking to back up his July pledge to do whatever it takes to preserve the euro; ECB President Mario Draghi said the new plan, aimed at the secondary market, would address bond market distortions and “unfounded” fears of investors about the survival of the euro.

Courtesy: The Times of IndiaMid-year change in capital gains tax likely

The Parthasarathi Shome panel’s recommendation of abolishing short-term capital gains tax has thrown up various possibilities before the nance ministry including making amendment in the Finance Act, 2012, to implement it even before the next Budget. Though a nal decision on this will be taken by Finance Minister P Chidambaram after the committee appointed by Prime Minister Manmohan Singh to look at the eneral Anti-Avoidance Rules ( AAR) draft guidelines gives its nal report by the end of this month, of cials in the know of the developments indicated the possibility of bringing the change mid-way might also be explored. Short-term capital gains are taxable at 15 per cent.

Courtesy: Business StandardGDP grows marginally at 5.5% in Q1

The Indian economy grew marginally stronger-than-expected in the April-June quarter on the back of robust farm sector growth but economists said the Reserve Bank of India is unlikely to ease monetary policy soon as its attention is focused on taming price pressures. Data released by the Central Statistics Of ce on Friday showed the economy grew 5.5 % in 1 of 2012-13, compared to 5.3% in the January-March quarter. It rose 8% in the April-June quarter of 2011-12. The farm sector posted a robust performance, rising 2.9% in April-June quarter compared to 3.7% expansion in the previous-year ago period. The manufacturing sector continued to pose a concern as it remained at at 0.2% compared to 7.3% in the year earlier period.

Courtesy: The Times of IndiaIndia mulls exemption of PAN for foreign investors directly investing in capital markets

India may exempt individual foreign investors and trusts that invest directly in the capital markets from the need to acquire a Permanent Account Number (PAN), a mandatory requirement for all tax payers. In January this year the government allowed individual foreign investors, such as family of ces that manage the investments of wealthy families, to invest directly in Indian debt and equity through the quali ed investor route ( FI).The proposal, mooted by

nance ministry’s department of economic affairs (DEA), has been triggered by feedback from potential investors at road shows held outside India.

Courtesy: The Economic Times


September 2012 MARKETS ROUND-UP

Markets across the globe started on a positive note in August. The month witnessed lacklustre US economic data, lower export growth in China and contraction in China’s manufacturing activity. The central banks – the Fed, ECB and the BoE kept their interest rates unchanged. Back home, a lacklustre earnings season, a marginal decline in WPI and retail in ation, improving monsoon and higher-than-expected DP data (5.5% vs. 5.3% expectation) were some of the key highlights.The Sensex and the Nifty gained marginally by 1.1% and 0.6%, respectively.Crude (Nymex) increased by 9.65% in August.Global marketsIn August, the Dow Jones, Nasdaq and the S&P 500 gained 0.6%, 4.2% and 2%, respectively. UK FTSE, erman DA and French CAC gained by 1.4%, 2.9% and 3.7%, respectively. In Asia, the Japan Nikkei gained by 1.7% while the Hang Seng and Shanghai SSEC declined by 1.6% and 2.7%, respectively.Domestic marketsIn August 2012, FIIs were net buyers to the tune of ` 10803 crore while MFs were net sellers to the tune of ` 1631 crore.In August 2012, the Sensex and the Nifty gained by 1.1% and 0.6%, respectively. The BSE Midcap and BSE Small Cap declined marginally by 1.1% and 0.6%, respectively. BSE IT, BSE

ECB roadmap, Greece austerity report likely to weigh on sentiments

FMC and BSE Healthcare were the biggest out performers in August gaining 8.3%, 6.1% and 4.9%, respectively. BSE Metals, BSE Realty and BSE Bankex under performed the broader indices declining 7.4%, 7.3%and 3.3%, respectively.Outlook

lobal markets in August remained upbeat with hopes of E3 being rolled out at the Jackson Hole meet in the US. Fed Chairman Bernanke once again dodged the issue and the onus has now shifted to the next Fed meet. It is safe to assume that nothing concrete is expected to come before the US Presidential elections outcome in November. This month, the ECB is expected to provide signi cant impetus regarding further quantitative easing to arrest bond yield spike in the periphery. reece will be going through another litmus test when representatives of the Troika (ECB, European Commission and the IMF) meet in Athens to review the austerity progress to determine further funding. This coupled with dismal global macro data may push global investors towards gold rather than equity. Back home, pessimism is expected to continue on account of weak macros and another washed-out parliament session. The interim RBI policy is also likely to maintain status quo. One positive aspect can be possible fuel price hike. In this backdrop, markets will continue to follow global cues.


September 2012 TECHNICAL OUTLOOK

Sensex: 17429 / Nifty: 5258

Flashback:

The BSE Sensex traded positive during August 2012, on expected lines, after initial sluggishness. The Index embarked upon a steady march since August 3, 2012 (17026) to hit a new ve-month high of 17972. The psychological barrier of 18,000 triggered a round of pro t booking in the last week of the month ahead of the expiry of August derivative contracts. Weak market breadth during the last leg of the rally, however, indicated sluggishness ahead.

Technical Outlook:

The upward ramble of the Sensex came to a halt at 17972 during August 2012, which is a major hurdle based on the con uence of the resistance from multiple technical parameters

Headwinds at 18000 but uptrend intact

The 80% retracement of February-June 2012 decline (18523-15748)

Monthly high of March 2012 (18040)

Falling resistance line connecting highs of April 2011 and February 2012

We expect the current decline from 17972 to meet signi cant support near the 17200-16900 region and rally towards 18000 in September 2012.

The con uence of key supports around the 17200-16900 region is based on the following observations:

The 61.8% and 80% Fibonacci retracement of the July 2012 low of 16598 to August 2012 high of 17972 is placed at 17123 and 16873 levels

The 61.8% ratio of the July 2012 decline (17631-


September 2012 TECHNICAL OUTLOOK16598) calculated from the August high (17972) projects support at 17333

The 200 day moving average of the Sensex is placed at 16914

Bullish rising gap area of August 6 is placed at 17197-17313

The value of the rising trend line joining weekly lows of June 2012 and July 2012 is placed around 17200-17300 for the next couple of weeks

On the higher side, the index is expected to face a signi cant hurdle near 18000 where volatility is expected to rise further. A strong break above 18000 would pave the way towards the February 2012 high of 18500 while a sustained breach of 17200-16900 may put the current up trend in jeopardy

Therefore, further price corrections towards the 17200-16900 region should be utilised to create longs for the targets in the vicinity of 18000 levels during September’ 2012

BSE Sensex daily candlestick chart:

Courtesy: Reliable Software, ICICIdirect Research


September 2012 DERIVATIVES VIEW

September series starts with highest Put base at 5200 strike. It would remain immediate support for the month

Among Put strikes, major open interest has accumulated at the 5200 strike. None of the deep OTM strikes have any noticeable open interest.Among Call strikes, the highest Call base is at 5600 strike. However, open interest is almost evenly distributed from 5400 to 5600 strikes.Thus, positive momentum can be expected only if the Nifty is able to sustain above 5400. In such a scenario, it may try to test its highest Call base of 5600 strike.The level of 5050-5080 should act as a major support if the Nifty breaches 5200 on the downside. Major volume participation was seen at these levels when the Nifty bounced in the rst half of the August series.

It's advisable to remain in defensives

Advisable to remain in defensives till the Nifty does not close above 5400. Call writing at 5400 makes it an important resistance. Any noticeable short covering in high beta stocks can be seen only above this levelFMCG, pharma and technology are likely to perform if the Nifty remains below 5400On the downside, supports can be seen at 5200/5080

Option open interest for Sep Series

-10000

10000

30000

50000

70000

90000

110000

130000

150000

5000 5100 5200 5300 5400 5500 5600 5700 5800

OI (

No

. of

Co

ntr

act

s)

Put OI Call OI


September 2012 DERIVATIVES VIEWOptions premium: Pricing has declined in Nifty options vis-à-vis last series

While comparing options premium from the August series to the September series, a sharp decline in option premium is visible. In the last week of the July series, ATM straddle for the coming August month was close to ` 220. However, in the last week of the August series, the coming September ATM straddle was priced lower at ` 190.

The decline of more than 10% in straddle premiums despite lined up events in September suggests the index will remain in a range in the early part of the series.

We can expect a sudden spurt in these premiums if the Nifty breaches 5200 levels on downsides. On the higher side, the straddle premium indicates 5400 will remain crucial in the September series.

Straddle pricing during the settlement week

160

170

180

190

200

210

220

230

T-3 T-2 T-1 T

Aug 5200 Straddle Sept 5400 Straddle

FIIs arbitrage positions created since last month, suggests range bound move may continue

FIIs have been active in the forward arbitrage segment. Since the second week of August, when the Nifty’s upward momentum continued, they started to create arbitrage positions by buying in the cash segment (bought ` 3825 crore) and creating shorts in the stock futures segment (sold ` 4900 crore).


September 2012 DERIVATIVES VIEWThese positions suggest the market may remain range bound. In such a case, stock speci c moves will continue to remain at the forefront.

FII activity in cash & Stock futures segment

Date Stock futures

Cash

9-Aug -330.99 317.4

10-Aug -624.94 121.2

13-Aug -441.59 361.5

14-Aug -427.63 280.4

16-Aug -341.15 134.9

17-Aug -166.11 323.2

21-Aug 18.94 212.1

22-Aug -214.22 123.9

23-Aug -77.41 396.6

24-Aug -571.75 339.1

27-Aug -550.59 632.2

28-Aug -581.87 168.5

41150 -579.35 414.7

Bank Nifty: Highest Put base at 10000 with gross premium of ` 200 makes 9800 a crucial support

The highest options base for the Bank Nifty is placed at the 10000 Put and 10500 Call strike. Prevailing premium of ̀ 180-200 in the Put 10000 strike suggests 9800 level will act as a crucial support for the Bank Nifty.


September 2012 DERIVATIVES VIEW

Bank Nifty open interest for Sep Series

0

1000

2000

3000

4000

5000

6000

9800 9900 10000 10100 10200 10300 10400 10500 10600 10700 10800

OI

(No

. of

Co

ntr

ac

ts)

Put OI Call OI

Content Source: ICICIdirect.com Research

The 200 DMA for the Bank Nifty is also placed at 9800 levels suggesting short covering may be seen near these levels.

On the higher side, like August series, 10500 strike continued its highest Call base even for September series. Thus, higher levels close to 10600 may be critical for the Bank Nifty.

Rollover among banking stocks was on the lower side suggesting positions were not carried into the September series. More importantly, heavily beaten down PSU midcap banks observed least rolls into the September series.


September 2012 TOP PICKS

Punjab National Bank (PNB)

Company BackgroundPunjab National Bank (PNB) is the second largest public sector bank after SBI with a wide network of 5697 branches spread across India and loan book size of ` 294468 crore. In 1FY13 PNB disappointed in terms of asset quality with

NPA rising sequentially by ` 1268.6 crore to ` 9988.2 crore. The pace of slippages was higher compared to our expectations. Hence, we had revised our estimates to incorporate higher NPA and provisioning. PAT estimate is reduced by 12.2% for FY14E to grow at a CA R of 13.2% to ` 6261.3 crore, over FY12-14E. Credit growth (21.2% YoY) and NII came in line with estimates with NIM of 3.6%. Considering the declining CASA ratio (dipped from 38.1% ( 1FY12) to 36.2% ( 4FY12) and seasonal dip to 35.6% now) and high CoF, the NIM is estimated to dip by 10 bps in FY13E. The stock has corrected sharply, trading at historic low valuations (0.8x FY14 ABV) factoring most of the negatives. Maintain BUY.Investment RationaleOverseas credit growth healthy, high slippages remain an overhang

Incremental global credit disbursement of ` 693.1 crore was done in 1FY13. Overseas book (` 25987 crore) was the major contributor with disbursal of ` 4232 crore. The proportion of overseas credit has risen from 5.9% in 1FY12 to 8.8% in 1FY13. However, the credit to large industry shrunk by ` 3213 crore to ` 92558 crore (31.4% of total credit) in 1FY13.The pace of slippages has increased sharply from ~` 1100 crore in earlier quarters to ` 2700 crore now. Although recoveries and upgradations were recorded at highest ever level of ` 1500 crore in 1FY13, they were not enough to offset incremental slippages. Outstanding restructured assets (RA) were

at o at ` 25519 crore.Core business to remain steady, exposure to stressed sectors is a concernWe expect PNB to continue to deliver 19-20% credit growth while maintaining healthy NIM of 3.5%. The earnings potential being high as depicted in RoA, inspite of concerns remaining on asset quality, overall pro tability may be sustained. It has high exposure to stressed sectors like agri (16.7%),


September 2012 TOP PICKSmetals (5.1%), infra (15.6%), including power exposure of 8%. If stress in these segments continues, pace of slippages and restructuring will remain high impacting the stock.ValuationsThe stock is trading at very low valuations & seems to be

factoring in high slippages & restructuring. RoA and RoE remain healthy at 1.1% & 16.9%, respectively, in FY14E. We value the bank at 1x P/ABV with BUY rating & TP of ` 866. Higher than expected NPA remain downside risk to our call.

FY11 FY12 FY13E FY14ENet Pro t (` crore) 4433.5 4884.2 5457.2 6261.3EPS (`) 140.6 154.0 150.9 173.2

rowth (%) 13.5 9.5 -2.0 14.7P/E (x) 5.4 5.4 4.5 3.9Price / Book (x) 1.1 0.9 0.7 0.6ABV (`) 568.1 646.1 742.9 865.9Price / Adj Book (x) 1.2 1.0 0.9 0.8

NPA (%) 1.8 3.0 3.3 3.3NNPA (%) 0.8 1.5 1.7 1.6RoNA (%) 1.3 1.2 1.1 1.1RoE (%) 22.6 19.8 17.5 16.9

Source: Company, ICICIdirect.com Research

Havells India

Company BackgroundHavells India (HIL) is one of the leading and oldest (established in 1983) players in the fast moving electrical goods industry (FME ). HIL also manufactures power distribution equipment and has a strong global footprint. The company has a presence across a wide spectrum of products, including industrial & domestic switchgear, cables & wires, electrical consumer durable and lighting & luminaries. In April 2007, HIL paid an enterprise value of

euro 227 million to acquire Frankfurt based Sylvania, a leading player in lighting &

xtures with a presence in Europe and Latin America (LatAm), thus registering itself among the top 4 lighting companies in the world.Investment RationaleLeveraging on established domestic and industrial brandsHIL is a leading fast moving electrical goods company catering to retail and industrial consumers both in India and


September 2012 TOP PICKSabroad. With a substantial market share across segments, the company is likely to capture the largest chunk of opportunities created by rapid urbanisation and growing middle class households. HIL’s strategy of focusing on a consumer pull model coupled with a swelling dealer network would not only help in strong volume growth but also enable it to launch Sylvania’s premium product in India.

overseas expansionContributing ~45% to the overall topline, we foresee Sylvania as a good long term strategic t for Havells as it has provided synergistic opportunities in terms of geographic diversi cation and offers cross-selling opportunities. Further, we believe the company’s plan to shift focus from

Europe to emerging markets would cushion Sylvania’s operating performance from the slowdown in European countries.Domestic business to attract premium valuationsAt the CMP of ` 535, the stock is currently trading at a P/E multiple of 15.5x and 11.9x its FY13E and FY14E, respectively (i.e. 9.2x and 7.7x FY13E and FY14E EV/EBITDA, respectively). We believe the domestic business of Havells will attract premium valuations considering its historical growth and return ratios while Sylvania is expected to report a steady performance on the back of muted growth from the European region. Our SOTP valuation suggests a price target of ` 619 (16% upside to CMP) that is 13.8x FY14EEPS (i.e. 8.9x FY14E EV/EBITDA). We are initiating coverage on Havells India with a BUY rating.

FY10 FY11 FY12 FY13E FY14ENet Sales (` crore) 5183.2 5612.6 6518.2 7353.7 8013.0EBITDA (` crore) 332.0 573.9 657.3 761.1 871.0Net Pro t (` crore) 69.6 303.6 369.9 431.2 559.7EPS (` ) 5.6 24.3 29.6 34.6 44.9P/E (x) 96.0 22.0 18.0 15.5 11.9P/BV (x) 16.7 10.2 7.0 5.1 3.7EV/EBITDA (x) 22.9 13.0 11.1 9.2 7.7RoCE (%) 16.9 30.4 30.6 32.4 32.3RoNW (%) 17.4 46.4 38.7 32.8 31.1

Source: Company, ICICIdirect.com Research


September 2012 FLAVOUR OF THE MONTHBuilding pension kitty through NPS

In the past, larger job opportunities with the government (therefore assured pension) and dependence on joint family ensured that planning for retirement was not the top priority. Today, the changing socio-economic landscape, including the

retirement planning.

Retirement planning is the key challenge for all of us. It is the key challenge even for developed nations. The population is aging around the world. Employers are encouraging people to work longer - by increasing the retirement age and curtailing

example, retirement age is gradually increasing to 67 from historic 65. Further, only 15 per cent of the private sector jobs

This raises alarm bells for all of us. We need to save enough and start to plan right now for our retirement. A small amount that you save and invest today while you are young will help you accumulate a sizeable corpus by the time you reach the winter of your life.

There are several avenues available to plan for retirement, but one of the often overlooked is New Pension Scheme (NPS). NPS is a well designed government-backed pension plan, which helps you save regularly to ensure old-age income security. Read on to understand how…

NPS is a de ned-contribution product, where your contributions grow and accumulate over the years, depending on the returns earned on the investment made. When you retire, you will be able to use these

savings to take care of the expenses post-retirement.

Any citizen of India, whether resident or nonresident, who is in the age bracket of 18-60 years, can subscribe to this product.


September 2012 FLAVOUR OF THE MONTHNPS begins with a mandatory Tier I account (non-withdrawable), which helps you save regularly to build your pension corpus. A Tier II account is like a voluntary savings facility (with a withdrawal option).

The minimum annual contribution for Tier I account is ` 6000 (` 500 a month). For Tier II account, the minimum contribution is ` 250, and one needs to have the minimum balance of ` 2000 at the end of nancial year. There is no upper cap on the contributions for both the accounts.

In case, one misses to contribute the required minimum amount (except for the year in which account was opened), the account gets marked as dormant. The same can be re-activated by bringing in the un-contributed amount and a penalty of ` 100 per year.

NPS is a long-term product. Your savings get accumulated till the age of 60. After you turn 60, you get up to 60% in your hands and the remaining goes into buying an annuity to ensure regular payment.

Before the age of 60, you can withdraw only 20% and the rest needs to be annuitized. NPS discourages early withdrawals, which is crucial for building the pension corpus.

Under NPS, you funds get invested across three asset classes:

E: Equity,

C: Corporate bonds or xed-income securities other than government securities, and :

overnment securities

You are free to decide as to how your pension wealth is to be invested among these classes.

You can invest in two ways:

Active choice: Under this option, you can specify the asset allocation pattern of your own choice among the three asset classes E, C and . But keep in mind, NPS allows you to invest only 50% of your money in equity (E) class.

Auto choice: Here, the discretion of asset allocation pattern rests with the pension fund manager based on your age. Up to 35 years, 50% is


September 2012 FLAVOUR OF THE MONTHallocated towards equity, 30% in corporate bonds, and 20% in government securities. As your age increases, the allocation-mix gradually increases towards xed income and government securities and decreases towards equity. This ensures stability to your portfolio as you near the retirement age.

You can either opt for an active or an auto option. You can also change the investment option from active to auto and vice a versa, once in a nancial year.

What makes NPS an attractive pension product is this

Further, as you can open two accounts for NPS, you can maintain Tier I account with minimum yearly contribution and invest more in Tier II account (having an option of withdrawals). At the age of 60, you can take a call of either transfer full/part of the funds from Tier II to Tier I, or you may continue to hold the funds in Tier II account and withdraw the same before or on attending the age of 70. This gives NPS an edge over other retirement products.

Charges and fees involved

NPS is perhaps the world’s lowest cost pension scheme. The point of presence (POP) charges for initial registration are ` 100 with contribution charges (at the time of initial/subsequent) of 0.25 % of the amount subscribed, subject to minimum of ` 20 and maximum of ` 25,000 plus service tax. POP also provides non- nancial services (viz. change/registration of nominee, change of pension fund manager, etc.), for which they are allowed to charge ` 20 plus applicable service charges.

The Central Record-Keeping Agency (CRA) charges include: ` 50 for permanent retirement account (PRA) opening, ` 250 for annual PRA maintenance charges, ` 5 per transaction.

The custodian charge includes 0.0075-0.05 per cent of the fund value per annum and fund management charge of 0.0009 per cent of the fund value per annum. However, w.e.f. November 1, 2012, the upper ceiling of the investment management fees has been


September 2012 FLAVOUR OF THE MONTHxed at 0.25% p.a. of the AUM.

These are still lowest in the industry. The other products like mutual funds and unit linked insurance companies charge anywhere in the range of 1.5 per cent to 2.5 per cent per annum.

To add to its bene ts, you can operate your NPS account from anywhere in the country with the help of your Permanent Retirement Account Number (PRAN) and this number remains the same even if you change jobs or location. Further, you can invest in and maintain records online. All transactions can be tracked online through CRA system. You can check the fund and contribution status through CRA website. Last, but not the least, it’s a safe product as it is strongly regulated by PFRDA under its strict guidelines.

However, NPS loses some shine when it comes to taxability. At present, the contributions get tax bene t under Section 80C. However, the withdrawals at maturity are taxable as per income tax slab. However, under DTC,

NPS is proposed to have EEE (exempt, exempt, exempt) tax regime, in sync with EPF and PPF, which could make it the best product for pension planning.

So, should you invest?

Let’s compare it with the other retirement investment options:

NPS vs EPF: In Employee’s Provident Fund (EPF), your money grows at around 8-8.5% per annum (The current interest rate for EPF is at 8.6%). Whereas, NPS has the potential to earn higher returns due to its equity exposure, which is crucial for building retirement corpus. NPS has delivered average returns of 9.33% in the past one year.

Further, EPF is linked to your employer, whereas NPS is linked to you. Any change in your job won’t affect your investments. Also, NPS is completely portable.

NPS vs PPF: Undoubtedly, Public Provident Fund (PPF) is a good tool for retirement planning, and is a government-backed product like NPS.


September 2012 FLAVOUR OF THE MONTH

PPF gives guaranteed tax-free returns of around 8-8.5% (The current interest rate for PPF is at 8.8%). However, with NPS, you have the potential to get higher returns as it lets you invest up to 50 per cent in equities, which outperform

xed-income securities over the long term.

Further, you can contribute maximum up to ` 1,00,000 a year in PPF. However, there is so upper cap for investments in NPS.

NPS vs. Mutual Funds: NPS beats MFs on costs. The fund management charges (FMC) applicable in NPS are the lowest. Other handling and administrative charges are also very low. However, mutual funds are good for young investors to kick start their retirement portfolio by investing systematically.

NPS vs Pension Plans By Insurance Companies: The structure of pension plans by insurers is quite identical to NPS structure. They also mandate purchase of annuity and have withdrawal penalties.

But NPS scores over pension plans on costs. Pension plans of insurance companies charge around 0.75-1.75%, whereas NPS has the lowest charges.

Summing Up

Ideally, a good retirement plan should have a mix of various assets. Different options suit at various life stages based on our risk appetite and nancial situations. Young individuals may invest more in equities. As one grows older, he should temper down the equity exposure and move towards relatively safer options.

Basically, NPS should form a small portion of one’s retirement portfolio given its low-cost and exibility bene ts. One may invest around 25%-30% of retirement portfolio in this product.

You can now get help to start saving for your retirement through NPS by logging on to www.icicidirect.com and clicking on New Pension System under the Products & Services section.Please send your feedback to [email protected]


September 2012 SURVEYFund managers expect markets to move in 16,800-18,500 range

A recent survey conducted by ICICIdirect.com reveals that most fund managers expect markets to trade in the range of 16,800-18,500. Majority of fund managers believe that markets are fairly valued and advise investors to maintain their asset allocation.

Here we share the views of thirteen fund managers on equity and debt markets, along with their recommended investment strategy for retail investors.

Views on Equity Markets:Where do you expect BSE Sensex at the end of December 2012?Out of the thirteen fund managers surveyed, total 46% of them expect the market to be in a range of +/-5%. Only 15% of the respondents expect the market to be below 5% from current levels by the end of 2012.

8

23

46

15

0

10

20

30

40

50

>1

95

00

18

50

0-

19

50

0

16

80

0-

18

50

0

15

90

0-

16

80

0

(%)

Where will you broadly position the Indian equity market on a valuation scale?After the recent rally of around 8.5% from the levels of 16200 on the Sensex in May 2012 when the last survey was done, majority of the fund

managers believe the markets are fairly valued. As compared to the last survey, when 65% of them believed the markets were undervalued, today only 15% think it is undervalued.

15

77

8

65

24

12

0

20

40

60

80

100

Un

de

rva

lue

d

Fa

irly

Va

lue

d

Ov

erv

alu

ed

(%)

Aug-12 May-12

What is your broad outlook on the markets in the next three months?More than 90% of the fund managers remain neutral in the near term. Currently, no fund manager we surveyed is bearish on the markets as compared to the previous survey when 18% of them were bearish. The bullish sentiment has also tempered from 18% to 10% as compared to the previous survey.


September 2012

15

69

15

59

29

12

0

10

20

30

40

50

60

70

Mo

re

Bu

llish

Sa

me

as

be

fore

Mo

re

Ca

uti

ou

s

(%)

Aug-12 May-12

69

38

8 8

29

53

41

6

0

20

40

60

80

Hig

he

r C

rud

e

Eu

rop

ea

n

So

ve

reig

n

cris

is

Ind

ian

Ru

pe

e

de

pre

cia

tio

n

Slo

w U

S

eco

nio

mic

reco

ve

ry

(%)

Aug-12 May-12

SURVEY

8

92

0

18

59

18

0

20

40

60

80

100

Bu

llish

Neu

tral

Bea

rish

(%)

Aug-12 May-12

Compared to the previous three months, are you more

the equity market?Because of the recent rally of around 8.5% since our previous survey in May 2012, the bullish sentiment has reduced from 59% to 15%.

What could be the major global risk for Indian markets?The European sovereign crises remain a major worry for the markets. The recent sharp rally in global crude oil prices has also increased concerns signi cantly in the last three months.

What is your corporate earnings growth expectation for FY11-12 and FY12-13?Expectations on earnings growth for the current year (FY13) as well as for the next

nancial year remain more or less the same. The fund managers are more hopeful of better earnings growth for the next year (FY14) as compared to FY13. Total 53% of respondents expect earnings growth to be in the range of 10-15%.FY 2012-13

62

31

59

41

0

20

40

60

80

5-1

0%

10

-15

%

(%)

Aug-12 May-12

FY 2013-14

24

53

2423

54

23

0

20

40

60

Le

ss t

ha

n

10

%

10

-15

%

15

-20

%

(%)

May-12 Aug-12

Which segment of the market would you prefer with an investment horizon of one year?There is almost no change in preference as compared to the previous survey. Opinion remains rmly divided on


September 2012 SURVEYpreference towards large caps or midcaps.

62

31

59

41

0

20

40

60

80

5-1

0%

10

-15

%

(%)

Aug-12 May-12

Rank the sector according to your preference…Pharma, IT and banking remain among the preferred sectors. However, among them, the preference for pharma and IT has increased while preference for the banking sector continues to witness reduced preference sequentially. The preference for auto, FMC and metals sector has reduced as compared to the previous survey. The cement and media sectors saw a mention in our survey.

BF

SI

Ph

arm

a

IT

Au

to

FM

CG

Infr

a/C

ap

Go

od

s

Oil

an

d G

as

Me

tals

Ce

me

nt

Me

dia

Aug-12 Feb-12

Views on Debt Market:Where do you see benchmark 10 year G-Sec yield in three months?Most fund managers expect the 10 year benchmark -sec

yield to be in the range of 8.00-8.25% over the next three months.

15

77

8

0

20

40

60

80

8.2

5-8

.50

%

8.0

0-8

.25

%

Be

low

8.0

0%

(%)

With a six month horizon, which segment of the debt market do you expect to deliver better returns?Short-term funds remain the most preferred segment among fund managers. However, sequentially, it has decreased marginally because of the recent rally in short-term rates. Preference for income funds and -Sec funds has increased marginally. However, it still remains less advisable as compared to short-term funds because of the expected volatility in the near term.

62

158

15

71

126

18

0

20

40

60

80

Sh

ort

term

Fu

nd

s

Inco

me

Fu

nd

s

G-S

ec

Fu

nd

Ult

ra

sho

rt

term

fun

ds

(%)

Aug-12 May-12

Recommended Investment Strategy:Which asset class do you think will outperform in the rest of the year 2012?


September 2012

46

38

8

0

53

24

12

6

0

10

20

30

40

50

60

Ind

ian

eq

uit

y

Ind

ian

De

bt

Glo

ba

l

eq

uit

y

Go

ld

(%)

Aug-12 May-12

23

77

65

29

0

20

40

60

80

100In

cre

ase

ex

po

su

re

to E

qu

ity

ma

rke

ts

Ma

inta

in

cu

rre

nt

asse

t

all

oc

ati

on

(%)

May-12 May-12

With a recent rally of around 8.5% from the date of our previous survey, the preference for equity markets has marginally reduced as the most preferred asset class, which the fund managers expect to outperform in the rest of the year 2012. Preference for the Indian debt markets increased but still remains the second most preferred asset class for the rest of the year 2012. All respondents expect gold to under perform in the rest of 2012.

SURVEYWhat equity market strategy would you suggest now?Advice for increasing equity allocation has decreased from 65% to 23% after the recent rally of around 8.5% from the levels of 16200 on the BSE Sensex in May 2012 when the last survey was done. Majority of the fund managers believe the markets are fairly valued and advise maintaining their asset allocation.


September 2012 QUERY CORNERDo not stop SIPs during market downturn

Q: I am investing ` 10,000 via monthly SIPs in various equity mutual funds. As markets are not doing well, my investments are running into red. I am thinking to stop all my four SIPs and invest that

Is the approach right? Please give your thoughts.

- R. K. Nair

A: You have not mentioned how long you have been continuing your SIPs and how long the same would continue in the future. It is not advisable to go by only the returns provided by your funds in the past, to decide whether to continue or stop the SIP. It is prudent to rst check how your funds have fared as compared with their respective benchmarks. For instance, while Nifty has given a negative return of 2.36% p.a. for the last 2 years, BSE 100 has given a negative return of 4.18% p.a. and BSE 500 has given a negative return of 5.87% p.a. Though your funds

have given a negative return, it could have fared better than the respective benchmark.

If you have accumulated these funds for any speci c goal and if the same is nearing, then it’s advisable to shift the funds into xed deposits. If you are investing these funds for long term goals, then it’s advisable to stay invested and keep the SIPs continuing till the goals are nearer.

Q: I am new to investing. I have read at many places that youngsters should start investing via SIPs in mutual funds. As there are so many categories for mutual funds, am unable to decide which category I should choose keeping in mind the current market scenario. I want to invest for short-term as well as long-term. Please help.

- Santosh Kumar

A: You are very right in what you have said. The earlier you start investing, it’s


September 2012 QUERY CORNERalways better, as the power of compounding will help you in achieving your long-term goals even through lesser amount of investments.

There are 3 major categories of mutual funds – debt, equity and hybrid funds. These categories are further divided into various funds. For very short-term requirements, it’s suggested to keep your money into liquid mutual funds, which can be withdrawable at any time. For short-term requirements (less than 3 years), it’s suggested to invest into debt mutual funds, so that they do not

uctuate as much as equity / equity-related investments. For long-term requirements, it’s suggested to invest into equity mutual funds, under which there are different sub-categories such as large-cap, mid-cap, small-cap, diversi ed and thematic funds. As you are new to investing, for now, you can start off with large-cap and diversi ed funds initially, before getting your hand into other sub-categories.

Q: I have a 3-years old daughter and I would like to start investing ` 5000 a month to build a corpus for her education. Can you please suggest where should I park my funds?

- Jayesh Patel

A: The schooling expenses of your daughter also could be of a signi cant amount these days. Hence, in addition to planning for her higher education, it’s important to plan for the schooling expenses. The schooling fees normally have to be paid twice or thrice ever year. If such out ows don’t have an impact on your other expenses at that particular time, you need not plan for the same. Else, it’s advisable to start investing smaller amounts into recurring deposits to accumulate the required amounts for every out ow.

For your daughter’s higher education, which is 15 years away, there are a lot of instruments through which you can accumulate the required


September 2012

funds, ranging from recurring deposit, public provident fund, mutual funds, equity and insurance policies. You can choose any two instruments from these, based on your risk appetite. Based on the term of the goal, you can park around 70% of your amount into equity oriented instruments and the balance 30% into debt oriented instruments. When the goal is nearing, say after 12 to 13 years from now, you can shift the entire accumulation till then into debt oriented instruments, so that any uctuation in the equity markets in the last 2 to 3 years does not affect the corpus you have accumulated till then.

Q: What is the difference between a gold fund and gold ETF? Which is better?

- Shyam Kurien

A: old ETFs are for investors who want returns similar to physical gold prices. These can be bought and sold through stock exchanges, similar to shares. Hence, a demat account and a trading account

are required for investing into old ETFs.

If you want to avoid these hassles, invest in gold savings funds. These are fund of funds (FoF) that invest in gold ETFs. However, this adds another layer of charges for you and eats into your overall returns. Being a mutual fund, you can invest in the form of SIP in gold savings funds. However, nowadays, some of the brokerage rms also offer investing into old ETFs through SIPs. You may opt for gold savings funds, only if you do not want to maintain a demat & a trading account.

There are also some old equity funds offered by some mutual funds, which are normal equity schemes which invest into the shares of gold mining companies with negligible reference to physical gold prices. While the objective of investments is different between ETFs & old equity funds, you may choose any of them, depending on your requirement.

QUERY CORNER

Do you also have similar queries to ask our experts, you may write to us at: [email protected]


September 2012 FINANCIAL PLANNINGAllocate right to achieve goals

Mumbai-based working couple Suresh Panda (47) and Vijaya (40) approached ICICIdirect.com through ICICIdirect Money

has two sons - Rishi (13) and Rudra (11), both are studying.

help achieve their goals.

Suresh’s Financial Details

Annual Income (family income)

3,225,000

Annual Expenses 1,155,000Expenses break-up (Annual):

Household 600,000Home Loan EMI 90,000Vehicle Loan EMI 190,000Entertainment 25,000Medical 36,000Education 120,000Travel 24,000Holidays 60,000Vehicle Maintenance 10,000Total Expenses 1,155,000

Investment details (Annual):Suresh is investing about ` 60,000 into various insurance policies.Assets:Suresh and his family’s total assets are about `2.28 Cr., which includes – a house (self – occupied) of `80 lakh,

vehicle of ` 3 lakh, real estate investment of ` 80 lakh, equity investments of ` 25 alkh and various insurance plans of ` 10 lakh. He has a savings balance of ` 30 lakh.Liabilities:Suresh has an outstanding home loan of ` 2 lakh and a vehicle loan of ` 2 lakh.Net-worth: ` 2.24 Cr.Suresh Panda’s Goals:General Goals

Goal Type

Current Value

Years to Goal

New House

14,000,000 1

Children Goals

Goal Type

Current Value

Years to Goal

Rishi’s Education

2,500,000 5

Rudra’s Education

2,500,000 7


September 2012 FINANCIAL PLANNINGLet’s start with a quick check of Suresh’s current nancial health.

Savings:

Suresh is saving approx. ̀ 20.7 lakh annually from his family income which is about 64 per cent. It is advisable to save 20 per cent of the income in order to be nancially healthy.

Suresh has an annual out ow of ` 60,000 in various investments making the investible surplus to be ` 20.1 lakh, annually.

Strengths:

1. Good savings ratio - Suresh has a decent investible surplus of about ` 20.1 lakh.

2. Working Spouse – Suresh’s wife is working, resulting in a double-source of income.

- Suresh has a diversi ed portfolio having investments spread across equity, debt and real estate.

Suresh is a moderate investor, reveals our risk analyzer based on his responses to our questionnaire.

His current asset allocation: 45 per cent equity / 0 per cent debt / 55 per cent cash.

Recommended asset allocation: 45 per cent Equity / 45 per cent debt / 10 per cent cash (moderate).

Now let’s take a look at more

Suresh and family:

General Goals:

Goal Type

Current Value

Years to Goal

Future Value

New house

14,000,000 1 14,980,000

Recommendation:

Suresh plans to allocate the existing real estate investment towards this goal.

Assuming the cost of increase to be 7 per cent p.a., the value of the existing real estate investments after 1 year will be `85.60 lakh. He can make a down payment with this amount and take a home loan for the remaining amount (` 64.20 lakh).


September 2012 FINANCIAL PLANNINGChildren Goals:

Goal Type

Current Value

Years to Goal

Future Value

Rishi’s Education

2,500,000 5 4,026,275

Rudra’s Education

2,500,000 7 4,871,793

(Assuming increase in cost of Education: 10 per cent p.a.)

Recommendation:

Suresh has invested into equities and have maintained a good savings balance too.

For Rishi’s education, he needs to save and invest ` 2,400,000, which can be allocated from his investments into equity. Considering the tenure of the goal is long-term, he can consider investing into equities for this goal.

For Rudra’s education, again as the tenure of the goal is long-term, he should consider investing into equities. For this goal, he should allocate ` 2,300,000 from his cash deposits towards this goal.

Retirement Planning:

It is very important to start planning for retirement. Suresh estimates that his salary will continue to increase by 5 per cent annually, and this will also impact his PF contributions. He has already accumulated a corpus of ` 45 lakhs in his PF account.

He has gone through the exercise of listing down all expenses that he foresees will continue to incur in his post-retirement life. He must seriously start planning and make the right investments towards retirement.

As a rst step, he has outlined what expenses will increase and what will decrease post-retirement. His estimate for annual expenses post-retirement in today’s cost: `8.91 lakh per annum.

He expects in ation to be 6 per cent, considering this, his annual expenses at the time of retirement (58 years): `16.91 lakh.

He is also expecting some post-retirement income for self.


September 2012

Retirement corpus required: ` 3.56 Crore.Assumptions:

Existing PF corpus `45 lakh for self with an annual contribution at `1.2 lakh.In ation assumed at 6 per cent p.a., and annual salary inc rease /con t r ibu t ion growth assumed at 5 per cent.Life expectancy 20 years.At least `20,000 monthly income in today’s cost will continue post-retirement.

There should not be any shortfall in his retirement corpus, with the expenses he has quoted.Insurance and Protection:Suresh has taken insurance cover of about ` 25 lakh. In case of any unfortunate event, the family should be suf ciently insured to manage the day-to-day expenses and to achieve the future goals. In addition, the surviving family members will have to pay the outstanding liabilities.

Considering his family’s expenses, goals and various investments, Suresh currently has no shortfall in his life insurance cover. But he should consider reviewing the same in case of any change in expenses or goals.

Medical Insurance:

Medical Insurance is an important thing which Suresh should consider. His family has already taken a medical insurance policy; it is advisable to renew the same every year. Additionally, he should take a separate policy for critical illness and personal accident insurance.

He should also ensure that his home is insured against any loss.

To sum up, Suresh and family has taken wise moves by saving and investing into various asset classes. Now, it’s time to rightly allocate investments towards their goals.

FINANCIAL PLANNING


September 2012 MUTUAL FUND ANALYSIS

Investment Objective & Fund StrategyIt aims to provide periodic returns and capital appreciation over a long period of time, from a judicious mix of equity and debt investments, with the aim of preventing/minimising any capital erosion.Key InformationNAV as on August 31, 2012 208.2Inception Date February 1, 1994Fund Manager Prashant Jain

(Jan 1994); Rakesh Vyas (May

2012)Minimum Investment- Lumpsum 5000.0- SIP 0.0Expense Ratio (%) 1.8Exit Load (%) 0.0AAUM (Crores) as on June 30, 2012

6040.0

Benchmark Crisil Balanced Fund Index

Performance Review

HDFC Prudence is one of the best performing funds in the balanced funds category. The fund has been among top ranking funds for the past couple of years. The rise in assets under management from ~` 2000 crore at the end of 2008 to ` 6000 crore as on June 30, 2012 stands testimony to the strong performance exhibited by the fund. The fund has usually maintained equity allocation over the 70-75% range, which is why with equity markets underperforming, on a one year basis, the fund has failed to beat its benchmark Crisil balanced fund index. However, the same strategy of higher allocation to equities has helped the fund deliver higher returns in up swings of CY09 and CY10 signi cantly outperforming the benchmark in both calendar years. It has most of the time outperformed the category average both in the downfall as well as upturns on a longer horizon.

Calendar Year-wise Performance

2011 2010 2009 2008 2007

NAV as on Dec 31(`)

185.3 220.1 174.3 94.3 162.9

Return(%) -15.8 26.3 84.8 -42.1 43.2Benchmark(%) -14.4 13.6 48.7 -34.4 36.8Net Assets (`Cr) 6100.4 5964.6 3418.3 1929.9 3511.8

HDFC Prudence-3

.4

1.7

11.5

10.2

0.9

7.8

5.4 6

-5

0

5

10

15

6 Month 1 Year 3 Year 5 Year

Retu

rn%

Fund Benchmark

Returns as on August 31, 2012 Source: Ace MF For periodic performance and fund manager performance please refer annexure


September 2012 FUND CARDMUTUAL FUND ANALYSISPortfolio AnalysisAMC classi es the fund as equity growth fund and the portfolio strategy aptly re ects the same. Equity allocation is always maintained in the 80-75% range with a multicap portfolio. Fund houses believe in a bottom up approach. Hence, as an outcome, the portfolio tends to be multicap most of the time. The fund manager follows a buy and hold strategy with very less churning. Well diversi ed portfolio with top 10 holdings generally accounting for only 1/3 of the portfolio.In the debt portion, -sec exposure to the extent of 10-11% has been maintained since August 2010. Post yield, this shoots up to above 8% levels. Corporate debt and -sec exposure continues to be at 10-11% levels, respectively, with higher allocation between the two determined by the prevailing market conditions.Higher allocation to equities and exposure to -sec increases the overall portfolio risk.

Top 10 Holdings %

ICICI Bank Ltd. 5.9

State Bank Of India 5.8

Page Industries Ltd. 3.0

Infosys Ltd. 2.8

Tata Motors - DVR Ordinary 2.3

Tata Steel Ltd. 2.2

Bank Of Baroda 2.2

Ipca Laboratories Ltd. 2.0

08.97% OI 2030 2.0

State Bank Of India - Corporate Debt 1.9

Top 10 Sectors %

Bank - Public 10.8

Bank - Private 6.9

Pharmaceuticals & Drugs 5.0

Textile 3.9

IT - Software 3.8

Re neries 2.9

Engineering - Construction 2.6

Oil Exploration 2.6

Automobiles-Trucks/Lcv 2.3

Steel/Sponge Iron/Pig Iron 2.2Source: Ace MF

For periodic performance and fund manager performance please refer annexure



Investment Objective & Fund StrategyTo provide income distribution and/or medium to long term capital gains while at all times emphasising the importance of capital appreciation.Key InformationNAV as on August 31, 2012 88.7Inception Date October 8, 1995Fund Manager Murutyhy

Nagrajan (July'10); Atul Bhole (Jan'12)

Minimum Investment- Lumpsum 5000.0- SIP 1000.0Expense Ratio (%) 2.3Exit Load (%) 1.0AAUM (Crores) as on June 30, 2012

362.6


Performance Review:

Tata Balanced Fund is an all weather fund. It may not be the top most fund in terms of performance but manages to be in the top 5 funds. The portfolio is actively churned between debt, cash and equity, which have helped the fund to deliver the outperformance. Since the peak of 2007 to the current volatile markets, the performance has been exceptional. In the last six months, the fund has been a chart topper delivering 5% absolute return even while maintaining 70% allocation to equities at time when most other balanced funds have delivered negative returns. In its 16 year history, the fund has delivered 16% compounded annualised return, which is remarkable. The fund usually outshines in equity market bull runs and fairly manages to maintain its above average performance in downturns.

Calendar Year-wise Performance

2011 2010 2009 2008 2007

NAV as on Dec 31(`)

185.3 220.1 174.3 94.3 162.9

Return(%) -15.8 26.3 84.8 -42.1 43.2Benchmark(%) -14.4 13.6 48.7 -34.4 36.8Net Assets (`Cr) 6100.4 5964.6 3418.3 1929.9 3511.8

Tata Balanced Fund5

11.4

11

9

0.7

7.6

5.7

5.8

0

2

4

6

8

10

12


Retu

rn%

Fund Benchmark

Returns as on August 31, 2012 above one year are compounded annualised; Source: Ace MF Source: Ace MF For periodic performance and fund manager performance please refer annexure


September 2012 FUND CARDMUTUAL FUND ANALYSISPortfolio AnalysisThe fund manager actively manages the allocation between equity, debt and cash. Maintains fairly diversi ed equity portfolio with bottom up strategy. Equity allocation had gone down lowest to 65% in early 2009. However, since then it has been maintained in the 69-75% range. Tata Motors DVR has been in the portfolio for quite sometime. There has not been much churn in the portfolio since April 2012. Debt allocation is towards certi cate of deposit and corporate debt while allocation to Sec is minimal.The fund currently has a multicap equity portfolio with 71.3% allocation to equities. The debt portion is more on the defensive side. In case, the market moves up, the portfolio is poised to deliver above average returns. However, in case of downturns, investor may have to be patient and wait for the cycle to turn.

Top 10 Holdings %

ICICI Bank Ltd. 5.3

Oil & Natural as Corpn. Ltd. 3.9

State Bank of Patiala 3.9

HDFC Bank Ltd. 3.9

Housing Development Finance Corporation Ltd 3.8

Cash & Cash Equivalent 3.6

Tata Motors - DVR Ordinary 3.6

rasim Industries Ltd. 3.2

Andhra Bank 3.1

ITC 2.9

Top 10 Sectors %

Bank - Private 11.6

Pharmaceuticals & Drugs 11.2

Finance - Housing 4.7

IT - Software 4.3

Engineering - Construction 4.2

Oil Exploration 3.9

Automobiles-Trucks/Lcv 3.6

Diversi ed 3.2

Cigarettes/Tobacco 3.0

Re neries 3.0Source: Ace MF




Investment Objective & Fund StrategyThe primary investment objective of the scheme is to seek to generate long term capital appreciation and current income from a portfolio that is invested in equity and equity related securities as well as in

xed income securities.It takes care of this asset allocation by constantly investigating the market outlook and performance and accordingly by increasing/decreasing equity exposure based on the market outlook and using a core debt portfolio to do the rebalancing.Key InformationNAV as on August 31, 2012 49.18Inception Date November 3, 1999Fund Manager Yogesh Bhatt (Feb

2012) ; Anish Jain (Jan 2011)

Minimum Investment- Lumpsum 5000.0- SIP 1000.0Expense Ratio (%) 2.3Exit Load (%) 1.0AAUM (Crores) as on June 30, 2012

334.1


Performance Review:

ICICI Prudential Balanced Fund

0.8

7.4

11.4

5.9

0

6.8

5.4 5.6

0

2

4

6

8

10

12


Retu

rn%

Fund Benchmark

Returns as on August 31, 2012 above one year are compounded annualised; Source: Ace MF

ICICI Prudential Balanced fund is an average performer with no exceptional gains history. The fund has always been in the middle of the performance chart with returns delivered to satisfy a typical conservative balance fund investor. The fund manages to marginally beat the benchmark across all time periods. However, the fund has been able to outperform peers only in the downward cycle. That is in CY08 and recently in CY11. In sharp upward rallies, the fund has failed to beat its peers. Performance, however, is satisfactory for all time periods.Calendar Year-wise Performance

2011 2010 2009 2008 2007

NAV as on Dec 31(`)

43.1 47.5 40.1 26.6 47.3

Return(%) -9.3 18.6 50.7 -43.8 36.6Benchmark(%) -14.4 13.6 48.7 -34.4 36.6Net Assets (`Cr) 299.8 274.2 262.8 224.1 469.4Source: Ace MF



September 2012

Portfolio AnalysisThis fund seeks to optimise the risk-adjusted return by distributing assets between both equity and debt markets. In bullish markets, equity allocation can go up to 80%. In bearish markets, equity allocation can go down to 65%. This dynamic allocation along with core debt portfolio reduces the volatility of returns. In the second half of June 2008, equity allocation went down to 44% and was then in the 40-60% range up to the rst half of CY09. Hence, the fund failed to capture the 2009 rally.In the equity portfolio, the fund adopts a multicap strategy. The current portfolio has most of the companies, which have strong balance sheets and a higher market share in their respective elds.The debt portfolio comprises solely corporate debt papers. After Avnish Jain took over as the fund manager, for the debt portion, a tactical -Sec call has not been taken.A good healthy portfolio both on the debt and the equity side with lower tactical calls makes the fund a conservative balanced fund.

Top 10 Holdings %Amara Raja Batteries Ltd. 5.6

Infosys Ltd. 5.3

Housing Development Finance Corporation Ltd 5.0

Cholamandalam Investment & Finance Co. Ltd 4.4

Reliance Capital Ltd. 4.4

Wipro Ltd. 3.5

CBLO 3.3

Bajaj Finance Ltd. 3.2

Balkrishna Industries Ltd. 3.1

Shriram Transport Finance Company Ltd. 3.0

Top 10 Sectors %Bank - Private 10.9IT - Software 10.4Auto Ancillary 8.0Pharmaceuticals & Drugs 6.5Cigarettes/Tobacco 4.2Oil Exploration 4.2Power eneration/Distribution 3.8Telecommunication - Service Provider 3.7Tyres & Allied 3.1Bank - Public 2.7

Source: Ace MF

MUTUAL FUND ANALYSIS





AnnexureFunds periodic performanceDate Range Fund Manager 30-Jun-

2009 - 30-Jun-2010 - Actualized

30-Jun-2010 - 30-

Jun-2011 - Actualized

30-Jun-2011 - 29-


Return Since

Inception

Growth of ` 10000

(Invested on 30th June

2009 to 30th June 2012)

ICICI Prudential Balanced Fund -

rowth

Yogesh Bhatt & Avnish Jain

27.22 11.9 2.21 14.29 14550

Tata Balanced Fund - rowth

Murutyhy Nagrajan & Atul Bhole

30.98 9.28 2.36 13.37 14651

HDFC Prudence Fund - rowth

Prashant Jain & Rakesh Vyas

44.76 10.76 -1.55 18.55 15785

Crisil BalanceEx 17.34 6.04 -0.99 NA 12319Fund manager performance data :Fund Name Fund Manager Benchmark

Index30-Jun-

2009 - 30-Jun-2010 - Actualized

30-Jun-2010 - 30-


30-Jun-2011 - 29-


Tata rowth Fund - rowth Atul Bhole & Amish Munshi

BSE Sensex 40.16 -1.22 -2.31

BSE Sensex 22.13 6.47 -7.51Tata Equity Management Fund - rowth

Atul Bhole & Amish Munshi

S&P CN NIFTY

29.82 0.01 -2.19

S&P CN NIFTY 23.8 6.3 -6.53ICICI Prudential ilt - Investment - PF Option -

rowth

Avnish Jain I-SEC Li-Bex 1.98 4.9 7.52

ICICI Prudential ilt - Treasury - PF Option - AAPP - Half Yearly

Avnish Jain I-SEC Si-Bex 3.17 5.04 6.25

ICICI Prudential ilt - Treasury - PF Option - AAPP - Yearly


ICICI Prudential ilt - Treasury - PF Option - AAPP - Monthly


ICICI Prudential ilt - Treasury - PF Option - AAPP - uarterly


ICICI Prudential ilt - Treasury - PF Option - AAPP - rowth





I-SEC Li-Bex 3.96 5.4 9.72ICICI Prudential Income Opportunities Fund - rowth

Avnish Jain CRISIL CompBex

3.99 4.98 8.39

CRISIL CompBex 4.69 4.58 8.69ICICI Prudential ilt - Investment - rowth

Avnish Jain I-Sec I Bex 1.16 5.19 9.64

I-Sec I Bex 4.35 4.93 9.96ICICI Prudential ilt - Treasury - rowth


I-SEC Si-Bex 5.49 4.25 9.3ICICI Prudential Income Plan - rowth

Avnish Jain CRISIL CompBex

3.33 3.3 9.26

CRISIL CompBex 4.69 4.58 8.69Tata Income Plus Fund - Option A- rowth

Murthy Nagarajan

CRISIL CompBex

3.27 6.14 8.1

Tata Income Plus Fund - Option B- rowth

Murthy Nagarajan

CRISIL CompBex

3.25 6.13 8.1

CRISIL CompBex 4.69 4.58 8.69Tata Dynamic Bond Fund - Option A - rowth

Murthy Nagarajan

I-SEC Composite

ilt Index

2.67 6.3 6.95

Tata Dynamic Bond Fund - Option B - rowth

Murthy Nagarajan

I-SEC Composite

ilt Index

2.66 6.31 7.12

I-SEC Composite ilt Index 4.49 4.87 9.79Tata Money Market Fund - Institutional - rowth

Murthy Nagarajan

Crisil LiquiFex

3.9 7.47 9.84

Tata Liquidity Management Fund - rowth

Murthy Nagarajan

Crisil LiquiFex

3.01 6.4 9.78

Tata Money Market Fund - rowth

Murthy Nagarajan

Crisil LiquiFex

3.69 7.29 9.04

Crisil LiquiFex 3.29 7.18 8.68Tata Treasury Manager Fund - RIP - rowth

Murthy Nagarajan

CRISIL STBE

4.74 7.6 9.21

Tata Treasury Manager Fund - HIP - rowth

Murthy Nagarajan

CRISIL STBE

4.84 7.69 9.56

CRISIL STBE 4.85 5.59 8.81Tata ilt Mid Term Fund -

rowthMurthy Nagarajan

I-SEC Composite

ilt Index

N.A 3.39 10.06

I-SEC Composite ilt Index 4.49 4.87 9.79Tata Treasury Manager Fund - SHIP - rowth

Murthy Nagarajan

CRISIL STBE

4.99 7.85 9.85

CRISIL STBE 4.85 5.59 8.81


September 2012

HDFC Equity Fund - rowth Prashant Jain & Rakesh Vyas

S&P CN 500 E UITY

INDE

46.52 11.02 -8.34

S&P CN 500 E UITY INDE 27.41 2.31 -7.79HDFC Top 200 Fund - rowth Prashant Jain

& Rakesh Vyas

BSE 200 35.37 9.03 -5.95

BSE 200 27.22 2.96 -7.63ICICI Prudential Target Returns Fund - Retail - rowth

Yogesh Bhatt & Atul Patel

BSE 100 28.71 7.15 -4.38

BSE 100 24.71 3.83 -7.16ICICI Prudential Infrastructure Fund - rowth


CN INFRAS-TRUCTURE

19.83 -0.76 -13.86

CN INFRASTRUCTURE -3.87 -8.23 -22.5ICICI Prudential Services Industries Fund - rowth


CN Services

Sector Index

33.33 4.71 -6.4

CN Services Sector Index NA NA NAICICI Prudential FMC Fund -

rowthYogesh Bhatt & Atul Patel

CN FMC INDE

62.16 21.75 25.9

CN FMC INDE 43.94 23.38 22.76ICICI Prudential Top 200 Fund - rowth


BSE 200 33.68 5.88 -6.84

BSE 200 27.22 2.96 -7.63Disclaimer:ICICI Securities Ltd.( I-Sec). Registered of ce of I-Sec is at ICICI Securities Ltd. - ICICI Centre, H. T. Parekh Marg, Churchgate, Mumbai - 400020, India, AMFI Regn. No.: ARN-0845Mutual Funds and securities investments are subject to market risks and there is no assurance or guarantee that the objective of the Scheme will be achieved. Please note NAV of the schemes may go up or down depending upon the factors and forces affecting the securities markets. Past performance of the Sponsor/AMC/Fund or that of any scheme of the Fund does not indicate the future performance of the Schemes of the Fund. Please read the Scheme Information Document (SID) and Statement of Additional Information (SAI) carefully before investing. SID and SAI are available on SBI Mutual Fund website. The contents herein above shall not be considered as an invitation or persuasion to trade or invest. Nothing in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to the investor’s speci c circumstances. Investors must make their own investment decisions, based on their own investment objectives, nancial positions and needs of speci c investor.I-Sec and af liates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. The information provided herein is not directed at any person and not intended for to be acted upon by any jurisdiction where this would (by reason of that person’s nationality, residence or otherwise) be contrary to law or other legal requirements.


MUTUAL FUND ANALYSIS


September 2012 INVESTING TIPS

The price to book (P/B) ratio is a common valuation measure, which compares a stock’s market value with its book value. P/B ratio is calculated by dividing company’s stock price with its book value.

P/B Ratio = Stock Price / Book Value.

Let us rst understand what a book value is. Book value of a company re ects its net worth. Book value is calculated by summing up company’s total assets minus intangible assets & liabilities. (Intangible assets include brand name, goodwill, other intellectual properties, etc).

Book value = Total assets – Intangible assets and liabilities.

These gures can be found on a company’s balance sheet. Ultimately, a company’s book value is what the company would be worth if it was totally liquidated.

Interpreting P/B ratio

If the P/B ratio is one that means the market is fully valuing the company.

If the P/B ratio is less than one, it indicates that the stock is undervalued and may provide you with a good buying opportunity but it may also indicate that something is fundamentally wrong with the company.

A stock with high P/B indicates that either the stock is overvalued or investors are

Certain ratios and numbers give investors a more detailed

various ratios helps us take more informed investment decisions. Continuing our series on understanding market ratios, in this edition, we look at simplifying another

we explained price to earnings (P/E) ratio.


September 2012 INVESTING TIPSquite optimistic about the future growth potential of that stock. A higher P/B ratio also implies that investors expect management to create more value from a given set of assets.

How is it useful to you as an investor?

P/B ratio is a good measure to value stocks of companies with large tangible assets in their balance sheets. It is particularly useful for value investors, who are always on the hunt for low price stocks that the market has neglected. It gives you an idea if you are paying too much for what would be left if the company declared bankruptcy.

Limitations

P/B ratio is useful only for capital intensive business which have huge amount of assets. As this ratio does not

consider intangible assets like brand, goodwill and other intellectual properties, it may not depict a true picture for service sector companies like IT.

Further, this ratio does not, however, directly provide any information on the ability of the rm to generate pro ts or cash for shareholders.

To sum up

P/B ratio is an easy tool to measure value of the stock and for identifying under or overvalued companies. However, do not opt for the stocks with only low P/B ratio. Look for the key growth indicator as well, called return on equity (ROE). ROE is equal to net income divided by shareholder’s equity. If a company’s price to book ratio is growing its ROE should be doing the same.


September 2012 KNOWLEDGE BASE

Bank deposits have always been the most favored investment option in India. Given their variety of schemes, they offer something for almost every kind of investor. The two common types of bank deposits are Fixed Deposits (FDs) and Recurring Deposits (RDs). When it comes to investing, individuals often get confused as to which option to choose - FD or RD. In this article, we attempt to answer this question.

A quick snapshot: Bank FDs vs. RDs

FDs RDsMeaning An amount invested

for a xed term (Days / months/ years).

A xed amount invested after a de ned period ( Month / quarter / half year)

Tenure Available for very short term to long term (7 days to 10 years)

Available for short term to long term (6 months to 10 years)

Average interest rate offered

4.5% (short-term) to 8.5% (long-term)

7.5% (short-term) to 8.75%(long-term)

Availability Banks/ Post Of ces Banks / Post Of cesDefault risk Low LowTax on interest Yes : Income from other

sourcesYes: Income from other sources

TDS Yes : If interest > ` 10,000

No

Type of investment contribution required

Lump sum Periodic

Premature withdrawal

Available Available

Bank FDs vs. RDs

A bank xed deposit (FD) is an ideal investment option when a lump-sum amount is available as the whole amount gets locked at the prevailing interest rate for the select period and you continue to earn the same interest irrespective of the change in interest rates after the deposit is made.

A recurring deposit (RD) will also get the same bene t of prede ned interest rate however if interest rate increases then the investor has an option to start a new RD account (either with a same bank or other bank). This may enable him to get the higher interest rate on different investments. During uncertain interest rate conditions,


September 2012 KNOWLEDGE BASE

Goals Amount Period Return (%)*

If invested with

RD FDHigher education - self ` 10 lakhs 5 years 8.5% ` 13,433 p.m. ` 6.65 lakhsCar ` 10 lakhs 3 years 8.75% ` 24,392 p.m. ` 7.77 lakhsVacation abroad ` 2 lakhs 1 year 7.5% ` 16,101 p.m. ` 1.86 lakhsInvestment required ` 53,927 p.m ` 16.28 lakhsInvestment possibility Possible with

modi cationsLooks little dif cult

oals Achievement Possible Looks little dif cult

For illustration purpose only*Assumed both RD & FD offer same return for a given period of time.

Fixed deposits, on the other hand, are suitable for investors who want to invest lump usm amount. If a lump sum amount is available, it should be invested based on your needs. The table below shows how FD scores over RD when invested lump sum amount.

Tenure Rate of interest

Investment Accumulation amount

Fixed deposit 1 year 8.5% p.a ` 1,20,000 p.a ` 1,30,200Recurring deposit 1 year 8.5% p.a ` 10,000 p.m ` 1,24,787

Summing upOne should select the type of deposit based on his needs and requirements. If one wants to invest lump sum amount, FD can be chosen. If one wants to contribute smaller amounts, RD may score over FD.-By Pankaj Agarwal, ICICIdirect Centre for Financial LearningViews presented/ expressed in the article are the personal views of the author and doesn’t necessarily represent the views of the organization.

one may prefer investing in RDs over FDs.A recurring deposit (RD is an effective tool to inculcate the habit of regular savings. It is akin to mutual fund SIPs. One can start with a minimum contribution of ` 10 / ` 100 (Post Of ce / Bank) and gradually increases to the higher amount. One may also open

different RDs to meet the various goals.Let’s consider a case of Mohan, who has started working recently. He has de ned a few goals and intends to save and invest to achieve them. He is a risk-averse and wants to invest in bank deposits.


September 2012 MODEL PORTFOLIO

MODEL EQUITY PORTFOLIOMODEL EQUITY PORTFOLIOKeeping varied investor interest in mind, we have selected 35 quality companies, segregated them into 20 large cap stocks and 15 mid-cap stocks. These stocks broadly belong to the BSE 200 universe as they provide a better representation of steady, matured and emerging businesses. The constituents of the BSE 200 index have been screened based on the quality of the management and several business parameters to arrive at a core list of 35 stocks, which fall in the I-direct coverage universe so that continuous monitoring can be maintained.After stock selection, we have further taken our exercise forward to bifurcate the above stocks into the three following portfolios:

Large cap portfolio (stable, consistent, low volatility) Midcap portfolio (high growth, relatively more volatile) Diversi ed portfolio (blend of large and midcap portfolio)

On the basis of risk tolerance, return expectation and time horizons, one can mimic any of the above three portfolios, which we believe will cater to investors of all kind.Portfolio allocation: Bet on large caps for longevity and mid-caps for alphaA portfolio should always be allocated in an optimal form in terms of choosing the number of stocks from the large cap and the mid-cap space. The allocation ratio is again a function of the risk tolerance and return expectations of individual investors. If one is willing to take higher degree of risk given he understands the volatility that persists during dif cult market conditions, then an overweight stance on mid-caps does make sense. On the other hand, beginners or inexperienced investors should go overweight on large caps and be less dependent on mid-caps as the former provides better safety of capital with a reasonable rate of return.The indicative model portfolio has been constructed using a balanced approach wherein the major part of the portfolio is concentrated on large cap stocks managed conservatively, and mid-cap stocks with relatively higher risks. We advise that these stocks be invested for periods of three to ve years. Thus, they will be able to ride through market volatility and thus generate relatively superior returns adjusted for the risk attached to them.


September 2012 MODEL PORTFOLIOWe have built a direct equity indicative model portfolio as a guiding tool for investments in direct equities. The indicative model portfolio has been constructed on the premise that the clients understand the risks associated with investments in equity markets and are comfortable remaining invested in sound businesses over a long period of time.

Name of the company Model PortfolioLargecap Midcap

Largecap StocksAuto 7 4.9Maruti Suzuki 3 2.1Tata Motors 4 2.8Bank 24 16.8HDFC 8 5.6HDFC Bank 8 5.6SBI 8 5.6Capital Goods 8 5.6L & T 8 5.6Cement 3 2.1ACC 3 2.1FMCG 9 6.3Asian Paints 3 2.1ITC 6 4.2Metals 12 8.4Coal India 6 4.2Hindalco 3 2.1Tata Steel 3 2.1Oil and Gas 13 9.1

ail India 3 2.1ON C 4 2.8Reliance 6 4.2Pharma 4 2.8Lupin 4 2.8Power 3 2.1NTPC 3 2.1IT 14 9.8Infosys 6 4.2TCS 8 5.6Telecom 3 2.1Bharti Airtel 3 2.1


September 2012 MODEL PORTFOLIO

Name of the company Model PortfolioLargecap Midcap

Midcap StocksAuto 8 2.4Exide Ind. 8 2.4Aviation 6 1.8Jet Airways 6 1.8Bank 20 6.0Federal Bank 8 2.4Oriental Bank of Comm 6 1.8Yes Bank 6 1.8Construction 6 1.8JP Associate 6 1.8FMCG 6 1.8Dabur India 6 1.8Oil and Gas 6 1.8

SPL 6 1.8Pharma 14 4.2Biocon 6 1.8

lenmark 8 2.4Power 8 2.4PTC 8 2.4Realty 6 1.8Oberoi 6 1.8Retail 6 1.8Shoppers Stop 6 1.8IT 6 1.8Mahindra Satyam 6 1.8Media 8 2.4Dish TV 8 2.4Total 100 100 100

Content source: ICICIdirect.com Research

Disclaimer : ICICI Securities has been assigned an investment banking mandate from group company's of Tata Steel Ltd. This report is prepared on the basis of publicly available information.


September 2012 QUIZ TIME

1. There is an upper limit for contributions to be made in New Pension Scheme (NPS). True/False

2. India’s DP came in at 5%in 1. True/False3. Premature withdrawals are allowed in NPS. True/False4. To calculate the book value for P/B ratio, one needs to

take into account tangible as well as intangible assets. True/False

5. Individuals above the age of 60 years can subscribe to NPS. True/False

Note: All the answers are in the stories that have appeared in this edition of ICICIdirect Money Manager. You may send in your answers at: [email protected] answers will be published in our next edition. The names of the earliest all correct entries will be published too. So jog your grey cells and be quick to send in your entries.Correct answers for the August 2012 Quiz are:The benchmark index for arbitrage funds is ?(CRISIL Liquid Fund Index)Form can be used to change or cancel a nomination for PPF.(F)Arbitrage funds must maintain an equity exposure of at least % to enjoy the tax bene ts of an equity fund.(65%)In case of death of the shareholder, the nominee gets the right of the shares even though he is not the legal heir. True / False(True)Arbitrage funds are treated at par with any other equity fund. True / False(True)


September 2012

Premium Education Programmes Schedule

markets to beginners and amateurs, student, housewives, working professionals and

investing in stock market. Here is the list of our programmes scheduled for the month of September 2012.

Schedule for Beginners programme on Futures and Options Trading

Sr. No

City Dates For More Information & Registration call:

1 Mumbai_ Chembur Sep 1-2 Rajmohan on 9167035211

2 Pune Sep 1-2 Kusmakar on 7875442311

3 Bangalore Sep 1-2 Subrata on 9620001478

4 Navi Mumbai Sep 8-9 Vidhu on 9619716146

5 Delhi Sep 15-16 Vishal on 07838290143, Harneet on 09582158693

6 Mumbai_ Malad Sep 15-16 Vidhu on 9619716146

7 Thane Sep 15-16 Vidhu on 9619716146

8 Indore Sep 15-16 Kusmakar on 7875442311

9 Nagpur Sep 8-9 Kusmakar on 7875442311

10 Hyderabad Sep 15-16 Manivannan on 9742273109


12 Coimbatore Sep 22-23 Makhizhnan on 8939646628



15 Chandigarh Sep 22-23 Harneet on 09582158693

16 Chennai Sep 22-23 Makhizhnan on 8939646628


18 Erode (Tirupur) Sep 29-30 Makhizhnan on 8939646628

Schedule for Fast Track Beginners Programme on Futures and Options Trading

Sr. No


1 Jamnagar Sep 9 Rajmohan on 9167035211

2 Trivandrum Sep 8 Makhizhnan on 8939646628

3 Nasik Sep 15 Kusmakar on 7875442311

4 Jamnagar Sep 16 Rajmohan on 9167035211

5 Aurangabad Sep 16 Kusmakar on 7875442311

6 Thrissur Sep 16 Makhizhnan on 8939646628

7 Vadodara Sep 23 Rajmohan on 9167035211

8 Ahmedabad Sep 23 Rajmohan on 9167035211


September 2012

9 Hubli Sep 23 Subrata on 9620001478

10 Kollam Sep 29 Makhizhnan on 8939646628

11 Vizag Sep 30 Manivannan on 9742273109

Schedule for Foundation Programme on Stock Investing

Sr. No




3 Coimbatore Sep 8-9 Makhizhnan on 8939646628

4 Noida Sep 8-9 Vishal on 07838290143




8 Mumbai-Andheri Sep 15-16 Vidhu on 9619716146



11 Chennai Sep 15-16 Makhizhnan on 8939646628

12 Kolkata Sep 15-16 Sumit on 8017516187




16 Thane Sep 22-23 Vidhu on 9619716146




Schedule for Fast Track Foundation Programme on Stock Investing

Sr. No


1 Surat Sep 9 Rajmohan on 9167035211

2 Dhanbad Sep 16 Sumit on 8017516187

3 Ludhiana Sep 16 Harneet on 09582158693

4 Jaipur Sep 16 Harneet on 09582158693

5 Lucknow Sep 16 Vishal on 07838290143

6 Bhubaneshwar Sep 16 Sumit on 8017516187

7 Cuttack Sep 23 Sumit on 8017516187


September 2012


9 uwahati Sep 23 Sumit on 8017516187

10 Surat Sep 23 Rajmohan on 9167035211


Schedule for Advanced Derivative Trading Strategies

Sr. No






Schedule for Technical Analysis

Sr. No






5 Kolkata Sep 29-30 Sumit on 8017516187

Schedule for Fast Track Technical Analysis

Sr. No


1 Calicut Sep 8 Makhizhnan on 8939646628

2 Vadodara Sep 9 Rajmohan on 9167035211


4 Cochin Sep 22 Makhizhnan on 8939646628

5 Ranchi Sep 23 Vishal on 07838290143

6 Allahabad Sep 23 Vishal on 07838290143

7 haziabad Sep 30 Vishal on 07838290143

Contact us

Email:

Send us an email at [email protected] Please mention the name, date and venue of the programme you have attended or wish to attend, for faster resolution of your queries.

SMS:

SMS EDU to 5676766 for more details

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