Chirag Madia

Articles By Chirag Madia

205 Articles

Cash crunch: Downgrades leave India Inc debt profile in a shambles

The spate of downgrades has resulted in a large group of companies now paying higher interest rates on loans.

Ignored tax demand? Now pay interest at 1% per month

Income arising on sale of capital assets is liable to tax under the head “income from capital gains”. However, long-term capital gains from sale of jewellery is exempt from tax if the sale proceeds are utilised for the pu

tax demand, tax, income tax, ITR 

Encashment of NHAI bonds before maturity attracts LTCG tax on sum invested in bonds

Section 54EC provides that if a taxpayer invests his long-term capital gains in specified bonds (i.e. NHAI bonds), then the amount of capital gains so invested shall be exempt up to the monetary ceiling of Rs 50 lakh.

NHAI bonds, LTCG tax, investment in bonds, ITR, NPS, bank FDs ,KYC norms, NPS account

Investors show faith in mid- and small-cap funds despite negative returns, volatility

Data from Amfi shows that in the period between April to September, mid-cap funds have seen inflows of Rs 6,346.31 crore and small-cap schemes have also seen inflows of Rs 6,336.89 crore.

The worst performance has been from Quant Small Cap Fund, which gave negative returns of 22.24% in the last one year.

Equity market: Negative returns from 1/3 of schemes in 2 years

In the last two years, infrastructure schemes, public sector undertaking (PSU) funds, along with mid- and small-cap funds have fared the worst.

The returns are as on 18 October 2019. (Representational image)

Axis AMC CEO says wealth creation will happen from quality growth business

The biggest arbitrage available in the market is for people who think long term. I am very clear that wealth creation over the five-year period will happen from quality growth business.

Axis AMC, CEO, wealth creation, quality growth business, growth business, Asset Management Company, slowing economy

New SIP registrations decline in September, slowest in six months

The Sensex lost 1.4% over the last six months while the BSE mid-cap and small-cap indices declined 10.3% and about 15%, respectively, over this time.

SIPs, systematic investment plans, Sensex, BSE, Sensex, investments, SBI Mutual Fund, Union Asset Management Company, Amfi data show, BSE, investments, assets under management,

Short term debt funds good bet, say fund managers

The central bank on Friday changed the repo rate to 5.15% from 5.40% with immediate effect.

Short term debt funds, Reserve Bank of India, short duration debt funds, money market funds, fixed income securities

Revival of private capex key to reviving consumption and growth: HDFC AMC’s Prashant Jain

Thus, valuations are quite reasonable and in fact for many large companies the dividend yields are now equal to bond yields.

Kotak MF pays back investors Rs 400 crore invested in Essel Group

Sources in the mutual fund industry say that Kotak MF has paid back investors around Rs 400 crore that was invested in Essel Group companies.

Last week, Essel Group had sought an extension for a “few more months” to pay the remaining dues.

Enhanced surcharge on capital gains from share sales rolled back

The measures announced by Sitharaman are positive for high net worth individuals (HNIs), super HNIs and FPIs, and experts believe this may help them return to the market.

consumer firms Earning, corporation tax rate, corporation tax cut, corporate tax, corporate tax rate, corporate tax in india, corporate tax rate india, Narendra Modi, nirmala sitharaman, financial express, financial express opinion, corporate tax rate 2019

Essel Group seeks time till March 2020 from mutual funds to clear dues

In January this year, the Zee Entertainment Enterprises and Dish TV stocks fell sharply in the range of 26-33%, primarily on reports of pledged shares of promoters being invoked and sold.

Essel Group, mutual fund, clear due, industry news, zee media,  Zee Entertainment Enterprises, ZEEL, mutual fund, MF

Recovering dues: Most MFs may not sign ICA but still back resolution plan for DHFL

Most Mutual Funds that have an exposure to Dewan Housing Finance (DHFL) are unlikely to sign the inter-creditor agreement (ICA) but will nonetheless lend their support to a resolution plan.

DHFL, draft resolution plan, debt, equity, industry news, Resolution Plan, IL&FS bankruptcy

Lacking lustre: Gold prices soar but ETFs not so popular

On Monday, the price of gold hit a new high at Rs 38,578. Surprisingly, gold ETFs have seen outflows every year since 2013-14, Amfi data show. 

Gold ETFs losing sheen despite spike in prices

Market participants also believe that gold ETFs score over other gold products at they are cost effective and liquid.

Credit risk funds may find favour as worst seems over

The category of credit risks funds has delivered returns of just 0.36% in the last one year.

Sundaram withdraws DHFL side-pocket

Taking the fact into consideration, the company decided to treat it as an event of default for its schemes and also decided to write off the principal and interest aggregating to Rs 52.21 crore on August 16, 2019.

debt, debt trap, debt repayment, default in debt, default in payment, personal loan, emi, car loan, borrowers,

Invest in short duration debt funds: RBI

While other category such as short-duration and medium-duration funds have given returns of 5.49% and 5.21% in the last one year.

Fund raising, rate cut, rbi rate cut, rbi credit flow, NBFCs, NCD market, stock market, share market, bses, sensex, RBI monetary policy, Rate cut, policy repo rate, Global growth, BCBS, inflation, global economic indicators, India banking sector

NBFCs bank on HNIs to raise more funds

High net worth individuals (HNIs) and ultra HNIs could have to come to the rescue of non-banking financial companies (NBFCs), which are facing a severe liquidity crunch.

DHFL exposure: MFs refuse to take out of turn haircut

In this case, lenders do not wish to give a haircut to the Employees’ Provident Fund Organisation, PF Trust and retail investors.

DHFL exposure, DHFL resolution plan, equity shareholders, Tier II bond holders, EPFO, retail investors, SBI Caps

Lenders earning more commission by selling in house MF schemes

Not being affiliated with any bank makes us and other fund houses an unbiased business and we are comfortable with that.”

FPIs unlikely to shift from trusts to corporate structure

However, there are several factors that would deter FPIs from taking this route.

The buzz is that the finance ministry may give FPIs some relief.

Budget 2019: FM Sitharaman proposes higher taxes for super rich, govt to get Rs 12,000 crore in FY20 with surcharge

Budget 2019 India: The government is estimating that the higher super rich surcharge would accrue about `12,000 crore a year on income assessed in FY20, which is largely in line with FE’s analysis.

Budget 2019, Union Budget 2019 India, Budget 2019 India, Budget 2019-20,

Budget 2019: Gold to cost more as govt proposes hike in customs duty

Union Budget 2019: Differential between Indian, international gold prices to widen by 2.5%-15.5%

Budget 2019, Union Budget 2019 India, Budget 2019 India, Budget 2019-20,

Mutual Funds’ Rs 140 crore investments in DHFL to mature today

Lenders to DHFL are expected to meet in the first week of July to chart out recovery plans .

money market fund, idbi, value research data

UTI Mutual Fund marks down its debt exposure to DHFL to 100%

DHFL had failed to repay interest and principal of approximately Rs 1,100 crore due on June 4, 2019.

UTI Mutual Fund, DHFL, CRISIL, ICRA, NCD, DHFL Pramerica, UTI Ultra Short Term Fund

Unpaid obligations: NAV of debt mutual funds falls due to interest delays by DHFL

Mutual funds have invested around Rs 4,423 crore across 135 debt schemes in instruments issued by DHFL

DHFL, debt mutual funds, NAV, Tata MF, BNP Paribas MF, Reserve Bank of India, Aditya Birla Sun Life, Reliance Low Duration Fund
Income Tax Calculator, Budget 2019, How to Calculate Income Tax


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