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In terms of technology innovation and strategy, Accenture has always been a market leader. Accenture has always been a forward-thinking company with swift decision-making capabilities. It has made significant investments in future technology and has been aggressively training its staff in specialist future skill areas to ensure that they are always future-ready. Accenture is also incredibly diverse, and it values both diversity and inclusion. It has a lot of wonderful people. Accenture has generated exceptionally in-depth and complete deliverables and artifacts based on each industry due to their extensive industry understanding. These objects are cutting-edge and can be deployed to the client in a matter of seconds.
Here you can know about the IT companies in detail –
Accenture is a market leader in technology and a worldwide, digital, cloud and security professional services firm. They offer strategic and consulting, interactive, technological and operational services, all driven by the world's largest network of advanced technology and smart operations centers
The team constitutes of more than 500,000 individuals who serve customers in over 120 countries.
TCS is one of the world's top consulting firms and provides IT services with a $144+ B market capitalization. They have over 450,000 of the greatest IT experts, growth and digital transformation at a great level in order to become flexible, smart, automated and cloud-based.
Cognizant is one of the world's top businesses for business, operations and technology for customers in the digital era. They provide services such as the digitization of their products, services and customer experiences.
Cognizant is specialized in helping some of the world's most established companies stay among the most devoted brands in today's fast-changing technical landscapes by promoting all aspects of how they serve their customers.
Infosys is a leading worldwide technology and consulting company. They have customers in over 50 countries to develop and implement digital transformation plans.
They assist customers in discovering and solving challenges effectively from engineering through application development, knowledge management and business process management.
HCL has 150,000+ employees in 46 countries globally and a global R & D network, innovation laboratories and delivery centers.
The main services and products are offered by three business divisions: IT & business services, engineering and R&D, and product & platforms, and they are a global leader in technology. In order to detect and solve difficult commercial issues across a large number of sectors, they have technologies such as AI, IoT, machine learning and cloud.
HealthPlan Services (HPS) is the nation's leading independent supplier of insurance and management services, benefits management, maintenance, reform and technology solutions.
It was formed in 1970 and employs 1,500 or more employees with its headquarters in Tampa, Florida. It is a leader in the insurance sector and provides connection exchange, administration, distribution and technology services to individual, small group, voluntary, and corporate insurers as well as useful solutions to thousands of brokers and agents around the country.
The SME-IPO is purely OFS based where the company will not get anything from proceeding.
COMPARISON WITH LISTED INDUSTRY PEERS (As of 31st March 2021)
Name of the CompanyEPS (Basic)NAVP/EP/BRoNW (%)Aditya Birla Sun Life AMC Limited18.2759.1938.912.0230.87Peer GroupHDFC Asset Management Company Limited62.16224.2850.914.227.76Nippon Life India Asset Management Limited11.0450.2938.48.621.94UTI Asset Management Company Limited38.97255.3130.14.315.27
Particulars (Rs. In Millions)FY 2021FY 2020FY 2019Equity Share Capital180.00180.00180.00Other Equity16,866.1312,988.7312,025.65Net Worth17,046.1313,168.7312,205.65Revenue from Operations11,910.2812,338.3514,060.67EBITDA7,388.877,026.926,839.03Profit Before Tax6,958.886,607.296,457.67Net Profit for the year5,262.804,944.024,467.99
The AMC industry has grown tremendously in recent years on the back of strong flows by the individuals as the AMC companies are increasing penetration across geographies. Also, the tech easiness is helping the millennials to get access to AMC easily.
The craziness of IPOs in India reaching new heights with reports claiming that it will hit the Rs 100 Lakh Crore IPO mark at the end of the year. As many companies had suffered from a big financial loss due to COVID 19 outbreak, this is looking like a positive sign.
The stock market has recovered well as we can see the Sensex is reaching new heights every day.
A positive stock market thing has grown up the confidence in the companies to go public to grab this opportunity.
As a result, numerous IPOs are expected to go live in October 2021.
There are around 42 SME-IPOs registered in the calendar of 2021. And the total amount raised only through IPO in 2021 is around Rs 58,000 Crores.
The numbers are enough to tell you about the craziness of IPOs, but still, there is a lot to come this year.
Top companies such as LIC IPO, Ola, Nykaa, Star Health, Oyo, Policybazaar and many more are ready in the line.
Companies such as Zomato, Barbeque Nation, Paras Defense, Devyani International have closed their share issues with great success. While others are preparing to file their DRHP with stock market regulator SEBI.
Below is the list of companies that are ready to launch their IPOs between October 2021 and March 2022.
Companies Tentative Size LICRs 55000 CrorePolicyBazaarRs 6000 CroresEmcure PharmaceuticalsRs 4,500 CroresPaytmRs 16,600 CroresNykaaRs 4000 CroresPharmEasyRs 3700 CroresBoat ElectronicsRs 3500 CroresLava InternationalRs 2400 CroreStar health insuranceRs 2000 CroreMobiKwikRs 1900 CroresMedplusRs 1600 CroresPenna CementRs 1550 CroreHelthium MedtechRs 1,500 CroreSupriya LifesciencesRs 1200 CroreApeejay Surrendra Park HotelsRs 1000 CroreMedi Assist Healthcare ServicesRs 850 CroreHP AdhesivesTo be announcedDelhiveryTo be announcedOyo Hotels and HomesTo be announcedESDS Software Solutions LtdTo be announcedOlaTo be announcedAnand Rathi Financial Services LtdTo be announced
Here is a complete list of IPOs that are gearing up to go public in October 2021.
Note** - This information is unconfirmed and subject to change as further updates are available.
Company NameIPO Lot SizeExpected DateArohan FinancialsRs 1800 CroreOctober 2021MobiKwikRs 1900 CroreOctober 2021CMS InfosystemsRs 2000 CroreOctober 2021Star Health Allied InsuranceRs 3000 CroreOctober 2021NykaaRs 4000 CroreOctober 2021Emcure PharmaceuticalsRs 4500 CroreOctober 2021
Emcure Pharmaceuticals is an Indian multinational pharmaceutical company. Headquartered in Pune, Emcure Pharmaceuticals works in manufacturing, developing and marketing a wide range of pharmaceutical products worldwide.
The company was founded by Satish Mehta, a pharma distributor’s son. He started Emcure as a contract manufacturer for multinationals in 1981, then started to sell his own branded generics.
Emcure is gearing for an IPO of about Rs 4,500 Crore. The public issue involves a fresh issue of equity shares of Rs 1100 Crores and an offer for sale of nearly 18 million sales by the current stakeholders and promoters.
The company uses these funds to repay its current debt.
Nykaa is an Indian eCommerce company, primarily known for selling beauty, fashion and wellness products across websites.
Nykaa was founded in 2012 by Falguni Nayar, a former managing director at Kotak Mahindra Capital Company. Earlier, it was launched as an eCommerce portal, serving a wide range of beauty and wellness products.
In 2015, the company expanded its business and began selling fashion products online. In 2018, Nykaa launched Mykaa men with an intention to provide multi attire for men’s grooming.
In 2020, Nykaa launched Nykaa Pro. It's a premium membership program that provides special access to professional beauty products.
The total valuation of the total public issue is Rs 4000 Crore. It comprises fresh issue shares of Rs 525 crores and an Offer for Sale of up to 43 million shares.
The user base of Nykaa has been constantly increasing every year. Right now, the company has about 1.5 million shares. The company has more than 1200 brands on its website.
As of November 2020, Nykaa has a valuation of $ 1.8 billion. After this IPO, the company targets a valuation of $5 billion.
Nykaa is only the startup, which is expecting a profit from IPO launching.
Star Health and Allied Insurance Company is a health insurance company which is located in Chennai. The company is known for providing services in health, travel insurance, and personal accident.
On 21 July 2021, Star Health and Allied Insurance filed DRHP with SEBI in regards to IPO launching.
Currently, Star health occupies a market share of 15.8% in the private insurance sector.
The company has filed a DRHP with the regulator SEBI to launch an IPO of Rs 3000 Crore.
The public issue comprises a fresh issue equity share of Rs 2000 Crore and an Offer for sale of about Rs 6 Crore equity shares.
The objective of IPO is to maintain solvency level and expand its capital base.
CMS info systems are India’s one of the leading cash management payment collusion companies. It offers its customers a wide range of cash management and managed service solutions, including ATM network management and managed services. This includes ATM network management, retail management and more.
The company is founded by the Blackstone Group, in partnership with Mr Rajiv Kaul - Ex CEO of Microsoft India.
This year, CMS has filed DRHP with SEBI to launch its IPO of Rs 2000 Crore.
Here, the public issue consists of an OFS or offer for sale only.
Mobikwik is an online recharge and bill payment company in India. It is a fintech company that is one of the largest Buy Now Pay Later players in India.
MobiKwik was founded in 2009, by Bipin Preet Singh and Upasana Taku with an initiative of providing mobile wallets to make digital payment convenient for users.
This year, MobiKwik has filed DRHP to go public with an IPO of Rs 1900 Crore.
The public issue comprises a primary share sale of Rs 1500 Crore and the rest will be an OFS.
The company has reserved 4.5 million or 7% of its equity for its employees.
MobiKwik has plans to touch the $1 billion valuations with the IPO
Arohan Financial Service is a leading NBFC that came with an initiative to provide loans for financially penetrated low-income states of India. Arohan provides income-generating loans and other financial services to customers who have limited or no access to financial services.
Arohan Financial Services has recently filed DRHP with SEBI this year. It is planning to go public with an IPO of around Rs 1800 Crore.
The public issue comprises an OFS of 27,055,893 shares and fresh issue equity shares of Rs 850 Crore.
To Apply for IPO visit https://ipo.swastika.co.in/
You often come across the news that the value of the rupee is appreciating or depreciating against the dollar.
The answer is because of the exchange rate. The exchange rate tells us that the worth of one currency in terms of another currency.
For example: if we buy 1$ = 73.81 Indian rupees, means the exchange rate of the two currencies would be $ 1 =73.81 Indian rupees.
The exchange rates are of two types: Fixed Exchange Rate and Floating Exchange Rate.
The fixed exchange rate is the rate that doesn’t fluctuate due to the government’s interference.
In the case of floating exchange rate, it keeps on changing such as stock market. here, the government intervention is almost null.
Here, the question arises: which type of exchange rate does India have?
In India, there is a managed floating rate exchange system where the Indian government interferes only if the exchange rates go beyond the boundaries set by the country.
This can be done by increasing or decreasing the money supply as the situation demands.
Now, let’s discuss the common terminology used: Rupee Appreciation and Rupee Depreciation.
Rupee Appreciation means the currency i.e. Rupee is gaining strength and its value is growing with respect to the dollar.
When the value of the Rupee is depreciating, that means the value of the currency is going down and its value is decreasing with respect to the dollar.
Let’s understand it with an example:
Suppose, the current exchange rate is $1= Rs 73.81. After few weeks, let’s say after 11 months, you will notice the changes happen in the rupee.
The exchange rate is $1= Rs 70. This clearly indicates the value of the Rupee has gotten stronger and you are required to pay less amount for a dollar.
Suppose the exchange rate is $1 = Rs 75. This shows that the value of the Rupee has gone down and you end up paying more amount for a dollar.
The import-export business; pharma and IT sector are susceptible to changes in the forex rate and have an abundance of stake in the Indian stock market.
Appreciation or depreciation of a rupee heavily depends on the change in the demand and supply for both currencies. If the demand for the Rupee grows up, the Rupee appreciates; if the demand for the Rupee goes down; it depreciates.
Now, the question arises: what are factors affects a currency?
A demand for a currency heavily depends on the interest rate differential between the two countries.
A country like India where the interest rate is around 7-8% shows a great capital inflow as investors get much better returns than what they get in the US (as the inflation rate in the US is 2-3% ).
This gives rise to rupee appreciation.
The demand for a country’s goods and services would be more if the inflation rate is lower in that country compared to other countries. Higher demand for goods and services means higher demand for that currency which results in the appreciation of that currency.
If a country exports more than its imports from other countries, that means the demand for that currency is more and hence the currency gains wide appreciation against other currencies.
Rupee’s appreciation or depreciation also depends on the exchange rate fluctuates every minute due to the speculative currency trading in the market.
Needless to say, the appreciation of the Rupee against other currencies will definitely uplift the economy. However, it can put a downturn in the stock market. Let’s understand it with a suitable example:
When the Rupee Appreciates, the markets that mostly get affected by the appreciation are IT and exports. When the value of the Rupee grows higher against the dollar, IT sectors are mostly affected as most of their revenue is generated by exports.
This is because the appreciation of the Rupee makes exports costlier while the domestic exporters face losses as they end up earning less Rupee when exchanging the dollars.
Hence, the companies who are majorly into exports (IT, pharma, petroleum products and jewellery) will get affected more. This may heavily affect their share prices to a greater extent.
When the Rupee depreciates, companies that imports commodities such as oil and gas, food, beverages suffer the most. This can happen only as the value of the Rupee goes down against the US dollars and imports becomes much expensive.
Hence, when the value of the Rupee is depreciating, it mainly affects the company that imports raw materials, foreign borrowings etc.
Besides, the company that majorly relies on exports will benefit the most from Rupee depreciation. Therefore, stocks of IT and pharma will mark a bullish trend.
It is essential to know that the depreciation can affect the market sentients a lot as it causes a decline in foreign investment. When the value of the Rupee starts to decrease, foreign investors pull out their investments, which may put an adverse effect on the stock market.
Indian IT sector heavily depends on foreign clients. Our 70% revenue comes from the IT sector. Thus, when an IT company receives a project from a foreign client, a contract is signed where the cost of the project is pre-decided. The contracts with the US clients are fully quoted in terms of dollars. Hence, the fluctuation in the exchange rates makes a huge difference in the performance of a company.
Nowadays, people are much aware of their future goals, and plans. To accomplish this, they seek the best investment options which can help them to generate outstanding stock trading returns.
While selecting the investment instruments, investors are mostly looking for options that provide them low risk, tax benefits and liquidity.
Many people often start their investments either with SIP or PPF. However, some experienced investors park their money into equity (i.e. stocks).
PPF and Mutual Funds are the two main investment options that suit ordinary people of India. Let’s understand the investment instruments in detail and try to understand which one provides high liquidity and interest rates.
A systematic Investment Plan or SIP is considered one of the best ways of investing in mutual funds. Newbies or students prefer to choose SIP over other investments because it teaches the financial discipline with wealth building for the future.
In SIP, you are allowed to invest a fixed amount for the investment in the market at regular intervals.
SIP needs a regular investment that helps you average out the purchase price and guards you from inadvertently catching a market peak when you invest.
SIP work on the two principles:
As investors, we don't know which is the right time to enter the market? Even top-notch investors often experience the same difficulty in finding the right moment when to enter and exit the market.
This mostly happens, when we start to rely on our emotions, getting sentimental by the market movements and end up buying when the market is going higher and selling when they are lower.
This is what we should not be doing.
Rupee cost averaging helps us to reduce the guesswork. In Rupee Cost Averaging, you need to invest a fixed amount of money no matter, the market goes up or down. This makes you buy more units when the market faces a downward trend and lesser units when it is at the peak.
This approach brings down your average cost per unit in the long run.
The amount you save for the long term may provide an exponential impact on your investment. This all happens because of the effect of the compounding.
Let’s understand it with a suitable example:
Person A starts investing for his retirement at the age of 40. Considering interest rates of 7% with a monthly investment of Rs 1000, his total investment at the end of 20 years will be Rs 5,28,000.
Person B, on the other hand, starts investing for his retirement at the age of 20. Considering interest rates of 7% with a monthly investment of Rs 1000, his total investment at the end of 40 years would be Rs 26,56,436 - almost 5 times higher than person A.
Needless to say, the regular investment amount brings financial discipline to the inventors. In other words, it encourages discipline and helps you earn wealth without disturbing your lifestyle.
Even if mutual funds are subject to market risks, they are still better than equity. This is because SIP diversifies your investment amount thus minimize the risk to capital that will help you achieve volatility.
SIPs give you the flexibility to increase or decrease the amount of investment at any time which in turn makes it the most hassle-free mode of investment.
Public Provident Fund or PPF is a government-backed scheme where you will get fixed returns but set by the government every quarter. Many people consider PPF is a retirement saving scheme offered by GOI with the motive of providing a secure life post-retirement.
In PPF, the minimum deposit one can make is Rs 500 per financial year whereas the maximum deposit amount is Rs 1.5 Lakh.
As said earlier, the PPF interest rate for Q2 (July-September) has been fixed at 7.1%.
ParametersPPFSIPInvestment AmountMin-Rs 500, Maximum Rs 1.5 LakhMinimum Rs 500, No Max. LimitInvestment Tenure15 Years minimum, Extendable in blocks of 5 yearsCan be low as 6 months and high as 20 years.Lock-in-period15 YearsNo-lock-in-periodInvestment RiskSince it’s a govt.backed scheme. Hence totally safeIt is risky as SIP is linked with market-linkedTax-BenefitsEEE (Exempt-Exempt-Exempt) category of taxDepends on the type of mutual fund. For instance, ELSS is eligible for tax deduction under Section 80CLiquidityLowHighReturns7.1% (Q1of FY 2021-22)**Market Linked
PPF is a government-backed saving investment instrument where the money deposited in PPF is utilized by the government. Also, the interest on the same is also paid by the government. Therefore, it is considered the safest instrument to invest in.
On the other hand, money in the mutual fund is subject to market risk. The value of equity funds also fluctuates every day. Debt funds also grow up and down due to changes in the bond prices.
However, a mutual fund offers higher growth in the long run. Also, investment in mutual funds through SIP will minimize the market risk and volatility by diversifying your money into different sections.
The returns of a PPF account are fixed and guaranteed by the government. However, the interest rate is declared by the government every quarter.
Period Interest Rates January to March 20217.1%October to December 20207.1%July to September 20207.1%April to June 20207.1%January to March 20207.90%October to December 20197.90%April to June 20198.0%
Returns of the mutual fund, on the other hand, are market-linked. The returns of mutual funds vary as per the market conditions and the performance of the fund manager. The returns of a few of India’s largest funds are mentioned below:
Fund SIP Return Aditya Birla Sun Life Frontline Equity9.60%Kotak Standard Multicap Fund13.29%ICICI Balanced Advantage Fund10.22%SBI Small Cap Fund15.83%
Mutual funds are much more liquid than PPF. This is because PPFs have a lock-in period of 15 years. In a mutual fund, you can redeem your investments on any business day. This is the reason mutual funds are more liquid than PPF.
Investment in PPF accounts for a tax deduction up to 1.5 Lakh per annum under section 80C of the income tax act, 1961. The interest that arrives on the PPF is exempt from the tax but must be declared in the annual income tax return.
The PPF maturity amount is also exempt from tax. Hence, PPF provides exempt-exempt-exempt-tax treatment.
Mutual fund returns are taxed according to the type of mutual fund scheme and investment time period.
Investment in a specific category of mutual funds is called ELSS funds tax also gives you a tax deduction of up to 1.5 Lakh per annum under section 80C. This exemption does not apply to other mutual fund categories.
It is difficult to compare one investment instrument with the other i.e. market-linked. PPF is apt for those who want zero risks in their investments. While mutual funds are for those investors, who are willing to take the moderate risk so that they can earn higher returns. The risk can further be reduced by investing through a long-term SIP in mutual funds.
SEBI is currently planning to implement its new strategy about allotment of shares which is currently T+2. Now, the time of settlement of shares has changed, the new time of allotment of shares is T+1.
Suppose, if an investor purchases shares in any company be it BSE or NSE, he will receive his shares in his Demat account in T+2 days i.e. trade +2. After receiving shares in a Demat account, he has a right to sell his share or hold it.
On the other hand, if the investor wants to share his shares, he will get funds transferred to his account within T+48 days.
Now, as per the SEBI rule, the settlement is proposed to be T+1 day. Earlier, the settlement cycle was T+3 days.
The settlement cycle refers to the time between the trade date when the order is executed, and the settlement date when the participants exchanged cash for securities; then only trade is considered final.
SEBI proposed the option to adopt T+1 based on readiness starting from 2022. The SEBI circular said that if the stock exchange wants to opt for the T+2 settlement cycle in between, it needs to give notice one month in advance.
SEBI has come up with this proposal only after some of the market participants have requested it. Here the T+1 refers to the shares that will be transferred in T+24 hours.
SEBI did not take this decision overnight, there are certain things involved such as consultation with market infrastructure institutions such as stock exchange, clearing corporations and depositors.
Very few market players have expressed their concerns on the operation problems in this arrangement such as the T+1 settlement cycle.
Minimizing the settlement cycle will directly impact the efficiencies in the stock market which in turn further protects investor’s interest. The new settlement cycle eliminates liquidity requirements, operational risks, counterparty risks that in turn minimize the margin requirement and collateral requirement for broker-dealers.
The decision to change the settlement cycle leaves a great impact on many investors. For instance, high net worth investors such as FIIs, DIIs will extract a huge benefit from it. Earlier settlement i.e. T+1 can provide them more liquidity and minimize margin requirement.
It shall not impact small or retail investors as well.
With the help of the T+1 settlement cycle, investors now receive an earlier receipt of their funds after trade execution and settlement.
T+1 settlement cycle will require significant planning, execution and testing and it would change the market structure for sure.
If the infrastructure is upgraded with robust technology; the settlement process will be seamless and fast which in turn mitigates the probabilities of technical glitches.
The new settlement of the cycle will increase the volatility in the market. Many developed countries such as the USA, UK, and Japan currently follow the T+2 trade cycle.
Needless today, there are some difficulties in the arrangement but minimizing the settlement cycle will generate greater operational efficiencies with low capital requirements.
Hence, we recommend you to do a test for two days and if everything is alright; it can be extended to one week and on successful testing, these things can be implemented permanently.
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