Prajna Capital |
- Index funds / Exchange Traded Funds
- Global Mutual Fund SIP provides $ hedge
- SREI Infrastructure Finance NCD issue opens on May 9, 2014
| Index funds / Exchange Traded Funds Posted: 08 May 2014 04:30 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
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| Global Mutual Fund SIP provides $ hedge Posted: 08 May 2014 03:50 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
The recovery in the international markets has seen fund houses launching foreign feeder funds – Religare Invesco Global Equity Fund, Franklin India Feeder- Franklin European Growth Fund, HSBC Managed Solutions. Pine Bridge Investments has added an additional flavour to their international scheme – a dollar systematic investment plan (SIP) facility. In simple terms, it allows you to invest in dollars rather than rupees. Typically, an investor earmarks say, ₹ 2,000- 5,000 in a scheme a month. In case of PineBridge India US Equity Standard Fund, the amount will have to be earmarked in dollar terms. So, if the dollar was to appreciate or depreciate against the rupee, the monthly deduction will rise or fall, accordingly. This is much like value- based schemes where based on the rising price- to earnings multiplier, the amount deducted for the SIP rises or falls. While the fund house is targeting investors who will have dollar expenses in the future – child's education or foreign travel. The good part is that the dollar reference rate (Reserve Bank of India reference rate) used for deducting will be of the week preceding the investment date. For instance, if you are investing on the May 15, the dollar rate considered will be of May 8. So, there will be some hedge available. In the case of this SIP, fluctuations in the currency, much like the stock market volatility, will get balanced out over the long term. At present, foreign funds accept SIPs in rupee terms, which they convert into dollar or other currencies for investment. The rupee has become marginally stronger since January. It stood at 61.80 a dollar on January 1 and today stands at 60.31. While the investment amount in dollar terms shall remain constant through the investment tenure, the exchange rate and rupee movement shall determine the investment amount every month. Say you invest ₹ 6,000 today ( that is, $ 100). And, say the rupee falls to 40 a dollar next month. You will then invest ₹ 4,000. Either way, you will buy the same amount of dollars. However, you might fall short of the target corpus, if the rupee continues to be strong all through the investment period but that is unlikely. Those who want a hedge from currency risk but are ready to take equity risk will subscribe to this product. Those investing in other international funds take both currency and equity risks. If the dollar SIP was invested in debt, it would have been comfortable. Experts say investors should have a horizon of three to five years, because this is a risky product and the minimum investment amount is also high. Also, this product invests in US equities which have been not returned too well year- to- date. The Dow Jones has lost 0.25 per cent and Nasdaq has lost 1.75 per cent. In comparison, Europe's FTSE has returned 0.3 per cent, CAC has given 4.70 per cent and DAX has given 0.3 per cent. Europe is still recovering and can offer higher returns. But saving for dollar expenses need not happen in dollar terms. You can do the same in rupee terms with other international funds. If you think the rupee will depreciate you can invest more right from the start. Also, the dollar- rupee conversion angle could confuse retail investors, says the fund manager. The tax treatment to investments in this will also be treated as debt investments.
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
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--------------------------------------------- Invest Mutual Funds Online
Download Mutual Fund Application Forms from all AMCs Download Mutual Any Fund Application Forms ---------------------------------------------
Best Performing Mutual Funds
B. Large and Midcap Funds Invest Online
C. Mid and SmallCap Funds Invest Online
D. Small and MicroCap Funds Invest Online
2.Franklin India Smaller Companies E. Sector Funds Invest Online
F. Tax Saver Mutual Funds Invest Online 1. ICICI Prudential Tax Plan 2. HDFC Taxsaver
G. Gold Mutual Funds Invest Online
H. International funds Invest Online 1. Birla Sun Life International Equity Plan A 2. DSP BlackRock US Flexible Equity 3. FT India Feeder Franklin US Opportunities 4. ICICI Prudential US Bluechip Equity 5. Motilal Oswal MOSt Shares NASDAQ-100 ETF | |||||||||||||||||||||
| SREI Infrastructure Finance NCD issue opens on May 9, 2014 Posted: 08 May 2014 02:52 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
SREI Infra NCD 2014
Rs 150 crore public (NCD) issue of SREI Infrastructure Finance is going to open on May 09, which has scheduled to close on June 09, 2014.
SREI Infrastructure Finance a Kolkata based & Non-Banking Financial Company (NBFC) has come out with its public issue of secured redeemable nonconvertible debentures (NCDs) of a face value of Rs 1,000/- each aggregating upto Rs 75 crore with an option to retain over-subscription upto Rs 75 crore for issuance of additional NCDs aggregating to a total of upto Rs 150 crore.
The issue will open for subscription on May 09 and the has scheduled to close on June 09, 2014.
The company encompasses providing financial products and services for its customers engaged in infrastructure development and construction, with particular focus on power, road, telecom, port, oil and gas & special economic zone sectors in India with a medium to long term perspective.
The funds raised through this issue, after meeting the expenditures of and related to the issue, will be used for various financing activities, to repay company's existing loans and business operations including for capital expenditure and working capital requirements, subject to applicable statutory and/or regulatory requirements.
The issue offers 1 to 6 series to invest. One can apply for minimum application of 10 NCDs and in multiples of 1 NCD thereafter.
The NCDs offered through this draft prospectus are proposed to be listed on the BSE and NSE.
The NCDs have been rated "CARE AA-" by Credit Analysis & Research Limited ("CARE") and "BWR AA" by Brickwork Ratings India Private Limited.
ICICI Securities Limited, A. K. Capital Services Limited, SPA Capital Advisors Limited and Srei Capital Markets Limited will be the lead managers to the issue. However, Karvy Computershare Private Limited has appointed as a registrar to the issue.
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
Leave a missed Call on 94 8300 8300
Leave your comment with mail ID and we will answer them OR You can write back to us at PrajnaCapital [at] Gmail [dot] Com
--------------------------------------------- Invest Mutual Funds Online
Download Mutual Fund Application Forms from all AMCs Download Mutual Any Fund Application Forms ---------------------------------------------
Best Performing Mutual Funds
B. Large and Midcap Funds Invest Online
C. Mid and SmallCap Funds Invest Online
D. Small and MicroCap Funds Invest Online
2.Franklin India Smaller Companies E. Sector Funds Invest Online
F. Tax Saver Mutual Funds Invest Online 1. ICICI Prudential Tax Plan 2. HDFC Taxsaver
G. Gold Mutual Funds Invest Online
H. International funds Invest Online 1. Birla Sun Life International Equity Plan A 2. DSP BlackRock US Flexible Equity 3. FT India Feeder Franklin US Opportunities 4. ICICI Prudential US Bluechip Equity 5. Motilal Oswal MOSt Shares NASDAQ-100 ETF |
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