Advertising: Consumer Trust Pattern: What do Consumers trust in various forms of Advertising & Marketing

Ever wondered why even after the advent of internet and so many high tech mediums of communication & news, why are the age old newspapers still in business?? Instead, some of them have even managed to remain profitable during the recession. It may be an eye opener for many advertising and marketing agencies across the Globe. Very recently, Nielsen, the global consultancy firm, conducted a survey titled Nielsen Global Online Consumer Survey, to study the consumer preference and trust patterns when it comes to the Consumer Behavior for trusting the medium of advertisment. In this article, we will summarize the results of the survey for Consumer Trsut Pattern for Advertising.

Have a look at the graph below - it shows the various methods & mediums by which a consumer gets to know the product and its advertisements. The sources are as follows:
- Recommendations from People Known

- Consumer Opinions & Reviews Posted Online

- Brand Websites

- Editorial Content from Newspaper or sites

- Brand Sponsorships

- Television

- Newspaper

- Magazines

- Bill Boards or Outdoor Ads

- Radio

- Email Offers

- Ads Before Movies

- Search Engine Results Ads

- Online Video Ads

- Online Banner Ads

- SMS or Text Ads on Mobile Phones



So the verdict is clear. Look at the topmost medium - people buying on recommendations of those whom they know. It is usually said, "All Things being equal, people will buy from friends or their recommendations" . This is clearly evident as the most trusted mediums of sources of information for trusting a brand or advertisment is still the age old recommendation from some one who you already know.

Now, let us shift our focus to the bottom of the chart. SMS or Text ads sent to mobiles are least trusted. This should be an eye opener for the marketing and advertising campaigners who are going after mobile advertising. This mode of advertising is at the lowest rung.

Then, look at the 3 other categories above SMS ads. This may not be good news for online ad agencies like Google Ads and Yahoo Publisher Network, etc.
Search Engine Results Ads, Online Video Ads & Online Banner Ads occupy the position in the last 4 slots. One of the major problems with online advertising is that anyone from anywhere can put up anything on the web and there is no way to track it. Just for an example, Someone from Indonesia or Ghana may put up a nice website about cheap medicines available online, place an online ad and the consumer in USA may end up paying the money but not get anything. The chances of online frauds are high, given the unlimited geographical coverage it has.

However, there are exceptions to it. Have a look at the top third category - Ads on Brand Websites. This comes as a bit of surprise because if people are not trusting online banner ads, then the pattern should be same for all websites. However, the survey tells that online ads put up on brand & trusted websites are trusted better and infact, that is placed at no. 3. But I beg to differ on this. Sites like Moneycontrol.com host Google Ads, infact, they are given full freedom to customise the ads. How is it that someone seeing the same ad on Moneycontrol can trust it more than it is displayed on any other site? Again, people tend to trust what they trust already (a kind of recommendation).

But two things that clearly emerges out as a winner are as follows:

- People to People Recommendations: hence Companies should focus more on consumer services, after sales, ensuring complete consumer satisfaction and confidence in the brand. A bad recommendation propogates like anything and you are ought to loose out heavily on the consumers

- Newspaper Marketing & Advertising: Another strong medium and still trusted one

Sahara Star Value Fund NFO: Review Analysis & Details

Another mutual fund house has decided to come out with its NFO or New Fund Offer. The KSahara Mutual Fund Company has launched its NFO or New Fund Offer called the Sahara Star Value Fund NFO

In this article, we will analyse how good is this Sahara Star Value Fund NFO, whether this Sahara Star Value Fund offers anything new or unique for the investors and whether the investors should invest in Sahara Star Value Fund .

Let's begin with some details about Sahara Star Value Fund.

What are the NFO dates for Sahara Star Value Fund ?
The NFO for Sahara Star Value Fund is currently open and will close on August 28, 2009.

What is so unique about this Sahara Star Value Fund ?
In our opinion, there is nothing so unique about this Sahara Star Value Fund. It is just another fund which will be trying to gather money from investors and invest in certain selected company stocks, based upon the Value Investing Principle.
Atleast 65% of the AUM will be in equity and equity related instruments and securities, while the remaining will be in debt based securities and cash.

Investment will be in equity and equity related instruments, foreign securities, government securities & money market instruments.

The Sahara Star Value Fund will be benchmarked to BSE 200.

Unfortunately, I could not locate the information regarding the so called "Star ValueCriteria", basically the criteria for investing by this fund - even the PDF available on the Sahara Mutual Fund site is having first few pages as advertisements for this fund and rest of the pages full of details of other mutual funds from Sahara. Anyone having that info could please leave it in the comments section. Without that info, it may not be possible to say where the investor's money is going to be betted upon.

Minimum Investment:
Purchases : Rs. 5000/- and in multiple of Re.1.
SIP or Systematic Investment Plan is also available.

Investment Options for Sahara Star Value Fund :
- Growth
- Dividend (Payout and Reinvestment)

Mutual Fund NFO offers Currently Open: July & August 2009:

-Kotak Select Focus Fund NFO

- Canara Robeco FORCE Fund NFO: Review Analysis & Details

- DSP BlackRock World Energy Fund: Review & Analysis

- Sahara Super 20 Fund NFO Review & Analysis

- Religare Business Leaders Fund NFO Review & Analysis

- Franklin Build India Fund FBIF NFO Review & Analysis

No Tax Benefit is available in the Sahara Star Value Fund

The entry load for Sahara Star Value Fund is as follows:
Entry Load for Sahara Star Value Fund :
Again, I could not locate any info about the entry and exit load for this fund

Exit Load for Sahara Star Value Fund:


Final Thoughts about the Sahara Star Value Fund?
Overall, this Sahara Star Value Fund is just another new fund offer, without anything unique that sets it apart from other mutual funds. betting on certain key sectors - we could not locate any info about what are these key sectors.As per the investment objective of this fund which states the following:
 To provide long term capital appreciation by investing predominantly in equity and equity related instruments of select companies based on value parameters.

So overall, it appears to be another new fund offer, which will depend upon the skills of the fund managers about stock selection. Given the 35% of lower allocation to debt based instruments, this fund does not appear to be that aggressive

Maharashtra Zilla Parishad Employees get Sixth Pay Commission Salary Hike: Threaten Strike

The latest news on Sixth Pay Commission is for the Maharashtra Zilla Parishad Employees, who will now be getting the benefits of the Sixth pay Commission Panel Recommendations. However, they are still not happy citing the reasons of pay disparity between the state pay scales even after the pay revision and the recommendations of the salaries as per the Sixth Pay Commission. As per the news, the Zilla Parishad Employees are threatening to go on indefinite strike from August 4, 2009.
However, there are still some differences with those of the central government employees.
What are the major differences between central & Maharashtra state Mantralaya employees?
The salar hike is already as per the sixth pay commission recommendations. But there are differences. The state employees now want that they should get HRA and conveyance allowances on a par with the Central government employees.
Then there are other issues on which clarity is required - the issues of Maternity leaves and the time bound promotion programme along with gratuity which should again be according to the Central government standard & norms. The central government female employees now receive 6 months maternity leave. There are 3 time bound promotions for central govt employees, while Maharashtra state government employees have only 1 time bound promotion. So the clarity is expected on these points.

How many Matralaya employees will be affected by the decision?
Though exact figures are not available, it is reported that there will be around 24 lakh employees all across the state. The claims are to include Mantralaya, teachers, zilla parishad, government and gazetted officers employees to join the strike.

General Sixth Pay Commission Salary Hike & Arrears Calculator

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike

Why is the government still not allowing the HRA and transport allowance to be at par with Central Government?
The reason is that it will add to the burden of the state government and it will affect the revenue to the tune of whooping Rs. 5000 Crores per year

Kotak Select Focus Fund NFO: Review Analysis & Details

Another mutual fund house has decided to come out with its NFO or New Fund Offer. The Kotak Mahindra Asset Management Company has launched its NFO or New Fund Offer called the Kotak Select Focus Fund NFO

In this article, we will analyse how good is this Kotak Select Focus Fund NFO, whether this Kotak Select Focus Fund offers anything new or unique for the investors and whether the investors should invest in Kotak Select Focus Fund .

Let's begin with some details about Kotak Select Focus Fund.

What are the NFO dates for Kotak Select Focus Fund ?
The NFO for Kotak Select Focus Fund will open on July 22, 2009 and will close on August 20, 2009.

What is so unique about this Kotak Select Focus Fund ?
This fund is expected to focus on certain selected sectors, hence the name Select Focus Fund. But given the capital allocation scheme, which says 65 per cent to 100 per cent of the capital will be invested in equities and equity-linked instruments and up to 35 per cent in debt securities and money market instruments, this does not appear to be that high risk high reward fund.

Investment will be in equity and equity related instruments, foreign securities, government securities & money market instruments.

The Kotak Select Focus Fund will be benchmarked to S&P CNX Nifty.

The fund managers are Krishna Sanghavi and Emmanuel Elango and Abhishek Bisen.
Unfortunately, I could not locate the information regarding the so called "Select Focus Sectors", in which this fund is going to invest. Anyone having that info could please leave it in the comments section. Without that info, it may not be possible to say where the investor's money is going to be betted upon.
Also, there are 3 fund managers. How are they going to coordinate, who will manage what proporation of money, what are their favourite sectors, no info is available on the Kotak Site.

Minimum Investment:
Purchases : Rs. 5000/- and in multiple of Re.1.
Switches : Rs. 5000/- and in multiple of Re. 0.01

Investment Options:
Growth and Dividend (Payout and Reinvestment).

Mutual Fund NFO offers Currently Open: July & August 2009:

- Canara Robeco FORCE Fund NFO: Review Analysis & Details

- DSP BlackRock World Energy Fund: Review & Analysis

- Sahara Super 20 Fund NFO Review & Analysis

- Religare Business Leaders Fund NFO Review & Analysis

- Franklin Build India Fund FBIF NFO Review & Analysis

No Tax Benefit is available in the Kotak Select Focus Fund

The entry load for Kotak Select Focus Fund is as follows:
Entry Load for Kotak Select Focus Fund :
Nil for "all direct" applications received by AMC i.e. on application forms that are not routed through any distributor/ agent/ broker and submitted to AMC office or collection centre/ investment service centre. This benefit shall be available to additional purchases done directly by the investor under the same folio and switch into this scheme from other scheme if such transaction is done directly by the investor
For Amounts < 5 crores : 2.25%
For Amounts >= 5 crores : Nil

Exit Load for Kotak Select Focus Fund:
For exit within 1 year from the date of allotment for amounts < 5 crores: 1.00%
For Amounts >= 5 crores : Nil

Final Thoughts about the Kotak Select Focus Fund?
Overall, this Kotak Select Focus Fund is another fund betting on certain key sectors - we could not locate any info about what are these key sectors.As per the investment objective of this fund which states the following:
 The investment objective of the scheme is to generate long-term capital appreciation from a portfolio of equity and equity related securities, generally focused on a few selected sectors.

So overall, it appears to be another new fund offer, which will depend upon the skills of the 3 fund managers about stock selection. Given the 35% of lower allocation to debt based instruments, this fund does not appear to be that aggressive

Canara Robeco FORCE Fund NFO: Review Analysis & Details

Another mutual fund house has decided to come out with its NFO or New Fund Offer. The Canara Robeco Asset Management Company has launched its NFO or New Fund Offer called the Canara Robeco F.O.R.C.E Fund NFO

In this article, we will analyse how good is this Canara Robeco FORCE Fund NFO, whether this Canara Robeco FORCE Fund offers anything new or unique for the investors and whether the investors should invest in Canara Robeco FORCE Fund .

Let's begin with some details about Canara Robeco FORCE Fund.

What are the NFO dates for Canara Robeco FORCE Fund ?
The NFO for Canara Robeco FORCE Fund will open on July 20, 2009 and will close on August 18, 2009.

What is so unique about this Canara Robeco FORCE Fund ?
This fund is expected to focus on the BFSI, Enetertainment & Retail sector, as per the reports.
The asset allocation is expected to be done only in these sectors in the following proportions:
 - minimum of 40% and a maximum of 65% in the BFSI sector
 - minimum of 15% and a maximum of 35% in the entertainment sector and
 - minimum of 10% and a maximum of 25% in the retail sector

Investment will be in equity and equity related instruments, foreign securities, government securities & money market instruments.

The Canara Robeco FORCE Fund will be benchmarked to S&P CNX Nifty.

As per the fund manager Anand Shah, the fund is going to bet on India's long term growth story. However, to me it appears that the selection of the sector - BFSI, Entertainment and Retail, may be a bit limited. If someone has to bet on India's growth, then Infrastructure cannot be left out. Recently, there have been so many Infrastructure funds NFOs. Secondly, Energy and power sector also may not be left out.


Minimum Investment: Retail Plan Minimum amount: Rs. 5,000.00 and multiples of Re.1.00 thereafter. Subsequent purchases: Minimum amount of Rs. 500.00 and multiples of Re. 1.00 thereafter. II. Institutional Plan Minimum amount:Rs. 5,00,00,000.00(Rs. Five Corores) and multiples of Re.1 thereafter. Subsequent purchases: Minimum amount of Rs.5,00,000.00(Rs Five Lakhs) and multiples of Re.1.00thereafter.

Mutual Fund NFO offers Currently Open: July 2009

- DSP BlackRock World Energy Fund: Review & Analysis

- Sahara Super 20 Fund NFO Review & Analysis

- Religare Business Leaders Fund NFO Review & Analysis

- Franklin Build India Fund FBIF NFO Review & Analysis

- Reliance Infrastructure Fund: Review & Analysis of NFO

No Tax Benefit is available in the Canara Robeco FORCE Fund

The entry load for Canara Robeco FORCE Fund is as follows:
SIP/STP/SWP
Entry Load :
• 2.25% for investments of any amount

Exit Load:
• 1% if redeemed/ switched out within one year from the date of allotment
• Nil if redeemed /switched out after one year from the date of allotment

Final Thoughts about the Canara Robeco FORCE Fund?
Overall, this Canara Robeco FORCE Fund is another fund betting on certain key sectors - Banking, Financial Services, Insurance, Retail and Entertainment sector. It appears to provide some diversification, but investors must realize that these sectors are having big correlation to each other - Financial Services grows only when there is lot of money with people, they spend as they have more money, they spend on retail, they spend on entertainment, so if one thing grows, everything grows. However, if there are financial problems, everything gets blocked. Remember what happened with Subhiksha Retail recently, are you still getting good freebies at Reliance Fresh and More stores? So there is a risk of economic problems. Investors have to take the call

Maharashtra Gazetted Officers/ Mantralaya Employees get Sixth Pay Commission Salary Hike

The latest news on Sixth Pay Commission is for the Maharashtra Mantralaya Employees, who will now be getting the benefits of the Sixth pay Commission Panel Recommendations. However, they are still not happy citing the reasons of pay disparity between the state Mantralaya and the central government Mantralaya salaries. As per the news, the Mantralaya Employees are already receiving good salary hike following the implementation of the 6th pay commission for Mantralaya which is now reported to be "as per the central government recommendations".
However, there are still some differences with those of the central government employees.
What are the major differences between central & Maharashtra state Mantralaya employees?
The salar hike is already as per the sixth pay commission recommendations. But there are differences. The state employees now want that they should get HRA and transport allowances on a par with the Central government employees.

Also, they require clarification on promotion programme along with gratuity which should again be according to the Central government standard & norms.

How many Matralaya employees will be affected by the decision?
It is reported that there will be around 24 lakh employees all across the state. The claims are to include Mantralaya, teachers, zilla parishad, government and gazetted officers employees to join the strike.

General Sixth Pay Commission Salary Hike & Arrears Calculator

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike

Why is the government still not allowing the HRA and transport allowance to be at par with Central Government?
The reason is that it will add to the burden of the state government and it will affect the revenue to the tune of whooping Rs. 5000 Crores per year

Maharashtra Teachers to get Sixth Pay Commission Salary Hike

The latest news on Sixth Pay Commission is for the Maharashtra College Teachers, who will now be getting the benefits of the Sixth pay Commission Panel Recommendations. As per the news, the Teachers, lecturers & Professors are all set to receive good salary hike following the implementation of the 6th pay commission for university and college teachers which is now reported to be "as per the central government recommendations".

By which date will the Maharashtra state Salary hike for teachers be applicable?
The salar hike will be effective retrospective effect from January 1, 2006. That means the teachers professors and similar staff members can expect a good amount of arrears in payment.

How many teachers and members will benefit from this decision of salary hike?
It i slearnt that 31,161 state universities and senior college teachers teachers will benefit from the salary hike. Though this will cause a big burden on the budget, as it will require Rs 2,266.20 crore of which 1,433.10 crore Rs will be bourn by the central government and rest Rs 833.10 crore will be taken up by the state government.

General Sixth Pay Commission Salary Hike & Arrears Calculator

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike

Any other issues outstanding from the teachers side?
Yes.
The issue of NET/SET exemption has not been addressed by the government.
The news is that the techers strike may continue, till they get full clarification.

UP Teachers, Lecturers & Professors Sixth Pay Commission Salary Hike

The latest news on Sixth Pay Commission has brought news for the Higher education teachers of Uttar Pradesh or UP. As per the news, the Teachers, lecturers & Professors involved in Higher education are all set to receive good salary hike following the Chaddha Committee or Chadha Committee recommendations for the UGC or University Grants Commission. The UP State government has finally agreed to and issued the fitment tables, making way for the payment of "hiked salaries".

Are the Teachers really happy about this order?
The answer appears to be NO. The reason is that desspite the raised salary for Teachers, the order is late by 5 months, hence the Teachers are unhappy about the losses for those 5 months. Moreover, there are several key aspects that are missing. One such example is that increase in age of superannuation to 65 years and payment of arrears with effect from January 2006. All this will mean that though the salary will be hiked, the effective hike will not be that beneficial as compared to the central government UGC Teachers.
Moreover, it is reported that there is no change in the post and designation titles, as suggested by Chadha Committee, and implementation of government orders for family planning increment, HRA, child care and maternity leaves may have been left out. Details are still awaited.

General Sixth Pay Commission Salary Hike & Arrears Calculator

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike

What is the reaction of teachers?
Surprised.
The Lucknow University Associated College Teachers Association (LUACTA) mentions that the missing of these several key benfits mean that the effective hike is not that beneficial. There are proposals for strike, if the issues are not clearly addressed by the state government by July 28, 2009.
It may also become a mass movement if they are successful in roping in teachers from all over the state for the proposed strike

NHPC IPO: Review Analysis & Details

So finally, the government has given the nod for the NHPC IPO or National Hydro Power Corporation IPO. We have been tracking this issue since August 2008, when there were strong news that NHPC IPO may hit the markets. Sooner or later, it has arrived. The news is that it may open on August 7, 2009 and close on August 12, so investors, keep your money ready by that time.
In this article, we will look at the review, analysis and fine details of the NHPC IPO and try to do the Review and analysis of NHPC IPO.
Some basic details first:
What is the issue size of the NHPC IPO?
The NHPC issue size is going to be for around 2500 Crore Rs.

What is the face value or nominal value of NHPC IPO?
The face value is the standard Rs 10 each.

How is the share distribution done?
A total of 1,67,73,74,015 shares will be sold through the NHPC IPO. There will be a fresh issue of 1,11,82,49,343 equity shares by NHPC and an offer for sale of 55,91,24,672 equity shares by the president of india acting through the ministry of power, government of India.
The employees will have a reservation of 4,19,34,350 equity shares while the public's share will be 1,63,54,39,665 shares.

The issue will be around 13.5% of the fully diluted post-issue capital of the company.

How will the capital raised by NHPC IPO be used?
The use of capital will be for power projects by NHPC.

What is the price band of the NHPC IPO
The price band for shares of NHPC IPO is not yet decided.

What is the trading symbol & exchange for the NHPC IPO
No info is available about the trading symbol, but the listing will be on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE)

What are the IPO dates for NHPC IPO
The IPO for OIL India is expected to come out on August 7th, 2009 and close on August 12, 2009.

Who are the underwriters of the NHPC IPO?
Enam Securities, Kotak Mahindra and SBI Capital are the book running lead managers. Karvy is the registrar.

What are the analysts recommendations for this IPO?
The company profile look good. It has developed and constructed 13 hydroelectric power stations and its total installed capacity is 5,175 MW.
The demand for Power is going to increase leaps and bounds. With the scarcity of Alternative Energy sources being identified and implemented in countries like India, the Power companies are expected to be benefitting if they can generate good business. Moreover, it is a government backed company, hence, the risk appears to be less. Hence, you can expect some better business prospects for NHPC India

Oil India IPO OIL IPO: Review Analysis & Details

So finally, the government has given the nod for the OIL India IPO. We have been tracking this issue since August 2008, when there were strong news that OIL India IPO may hit the markets. Sooner or later, it has arrived. The news is that it may open on September 7, 2009, so investors, keep your money ready by that time.
In this article, we will look at the review, analysis and fine details of the Oil India IPO and try to do the Review and analysis of Oil India IPO.
Some basic details first, as per DRHP filed by the company on December 14, 2007:
What is the issue size of the Oil India IPO?
The issue size is not known currently. But it is learnt that the public issue will be for selling around 26,449,982 (26 million) equity shares

What is the face value or nominal value of Oil india IPO?
The face value is the standard Rs 10 each.

How is the share distribution done?
Public sale portion is of up to 24,045,438 equity shares & there are some 2,404,544 equity shares reserved for employees.

The issue will be around 11% of the fully diluted post-issue capital of the company.

How will the capital raised by OIL India IPO be used?
The use of capital will be as follows:
1. exploration and appraisal activities;
2. development activities in producing fields
3. purchase of capital equipments and contracts for facilities
4. diversification of existing business in downstream activities

What is the price band of the Oil India IPO
The price band for shares of Oil India IPO is not yet decided.

What is the trading symbol & exchange for the Oil India IPO
No info is available about the trading symbol, but the listing will be on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE)

What are the IPO dates for Oil India IPO
The IPO for OIL India is expected to come out on September 7th, 2009.

Who are the underwriters of the Oil India IPO?
JM Financial Consultants, Morgan Stanley, Citigroup and HSBC Securities are the book running lead managers to the issue. Karvy is the registrar.

What are the analysts recommendations for this IPO?
The demand for Oil & Enrgy is going to increase leaps and bounds. With the scarcity of Alternative Energy sources being identified and implemented in countries like India, the Oil companies are expected to be benefitting if they can generate good business. Moreover, the government has recently given open freedom to companies to decide the prices. Hence, you can expect some better business prospects for OIL India

JPMorgan JF Greater China Equity Off-shore Fund NFO: Review Analysis & Details

It's raining mutual fund NFO's in the Indian Mutual Funds Market - so how come JP Morgan, one of the big names worldwide in the mutual fund industry stay behind? So it has come out with its NFO or New Fund Offer called the JPMorgan JF Greater China Fund NFO

In this article, we will analyse how good is this JPMorgan JF Greater China Fund NFO, whether this JPMorgan JF Greater China Fund offers anything new or unique for the investors and whether the investors should invest in JPMorgan JF Greater China Fund .

Let's begin with some details about JPMorgan JF Greater China Fund.

What are the NFO dates for JPMorgan JF Greater China Fund ?
The NFO for JPMorgan JF Greater China Fund will open on July 9, 2009 and will close on July 31, 2009.

What is so unique about this JPMorgan JF Greater China Fund ?
This is an international fund. It's focus will be on the stocks and companies which are incorporated in China, HongKong and in the Greter China region.
All the investors willing to take a shot at JPMorgan JF Greater China Fund should understand that this is actually a Fund of Funds (What's this?). What it means is that this fund will not invest in any companies or stocks diectly, instead it will invest in other funds, like JF Greater China Equity Fund. It is this fund which will invest in stocks/companies in the Greater China region.
A related NFO for a Fund of Funds is currently open and is offered by DSP Merrill Lynch. It is DSP BlackRock World Energy Fund. Another example is Blackrock Absolute Return Strategies Fund

This is a international fund, hence there may possibly be a forex risk involved. Investors must be aware of this.

Also, they mention that the fund manager may at his discretion, invest in other international or overseas mutual fund. Hence, it all depends on the investment manager.

There is only 1 investment option available:
• Growth Option

• No Dividend Option
 - No Payout Dividend
 - No Reinvest Dividend

Minimum Application amount stands at Rs 10000, SIP option for investment is available.

Mutual Fund NFO offers Currently Open: July 2009
- DSP BlackRock World Energy Fund: Review & Analysis

- Sahara Super 20 Fund NFO Review & Analysis

- Religare Business Leaders Fund NFO Review & Analysis

- Franklin Build India Fund FBIF NFO Review & Analysis

No Tax Benefit is available in the JPMorgan JF Greater China Fund

The entry load for JPMorgan JF Greater China Fund is as follows:
For investment amount: < Rs. 5 Crore – 2.25% of the initial value of Rs. 10/-during NFO/Applicable NAV during Continuous Offer
>= Rs. 5 crore – NIL
No Entry Load charged on Direct Applications, i.e. applications not routed through a distributor/ agent/ broker

Exit Load:
Holding period from date of allotment:
Within 6 months from the date of allotment in respect of Purchase made other than through SIP - 1.00%

Within 24 months from the date of allotment in respect of the first Purchase made through SIP - 1.00%
No Entry Load/ Exit Loads will be chargeable in case of switches made between different Options of the scheme.

Benchmark Index for JPMorgan JF Greater China Fund:
No Info available
JPMorgan JF Greater China Fund NFO offer price: Rs. 10 per unit plus applicable load, if any.

Final Thoughts about the JPMorgan JF Greater China Fund?
Overall, this JPMorgan JF Greater China Fund is a regional fund concentrating on China region and is betting on the growth of companies in that region at global and local level. However, there are some risk elements in this fund. It is a fund of funds as explained above, so the ultimate performance depends upon how the actual funds perform and how the stocks which those funds have invested in perform.
Being an overseas investment, there is a forex risk involved- which investors should be aware of.
On the plus side, it offers you exposure to your investments at international level. Suppose that India does not grow that well but China does, then the investors of this fund of funds may benefit. Investors have to take the call

Adani Power IPO APL IPO: Review Analysis & Details

You may have seen a lot of TV ads where it shows power being cut off, and then a child runs following the electricity poles and wires. Finally, he reaches the power factory where he is "given" electric power in his hands in the form of light and he returns back to enlighten the equipments in his locality. The ad belongs to Adani Power Limited, who have now decided to come out with their IPO or Initial Public Offering and have also received nod from SEBI. In this article, we will look at the review, analysis and fine details of the Adani Power IPO and try to do the Review and analysis of Adani Power IPO.
Some basic details first:
What is the issue size of the Adani Power IPO?
The Adani Power IPO is planning to raise around Rs 2200 Crores through the IPO.

What is the company profile & business for the Adani Power IPO
As per the details available, Adani Power Limited (APL), a member of 4.6 Billion US Dollar Adani Group, has taken up implementation of Mega Thermal Power Projects at various locations in India in view of the growing needs of Power requirements in the country. APL propose to implement 2640 MW Coal based Thermal Power Project at Mundra, Dist. Kutch, Gujarat, India. APL also propose to implement 1320 MW Coal based Thermal Power Project at Tiroda, Gondia, Maharashtra through its 100% subsidiary, Adani Power Maharashtra Ltd. (APML) APL is also actively planning to implement other Thermal Power Stations at various locations in India, totaling to about 10000 MW in the coming years. APL is engaged in the Power Trading business across the country and also aiming to enter into Power Transmission in a big way.

How many shares will be offered for sale for the Adani Power IPO?
Around 30 Crore shares or around 13% of the total share offering are expected to be sold through the Adani Power IPO.

What is the price band of the Adani Power IPO
The price band for shares of Adani Power IPO is not yet decided. However, if you go by some basic calulations (2200 Crore issue size divided by 30 Crore shares), the approximation for share price of Adani Power shares comes to Rs. 73 or so - Again, is just the estimate, actual share price info is not available.

What is the trading symbol & exchange for the Adani Power IPO
No info is available about the trading symbol, but the listing will be on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE)

What are the IPO dates for Adani Power IPO
The IPO for Adani Power is expected to come out in the last week of July 2009.

What are the financial results and position for Adani Power IPO
Despite the recession, the company has managed to show good results. There were sales of Rs212 crore in 2008-09, and has been growing at a compounded annual growth rate of 70% for the past three years.

Who are the underwriters of the Adani Power IPO?
DSP Merrill Lynch.

What is the current share holding pattern of Adani Power ?
As of now, A UK-based private equity fund had bought 8% equity in APL whose promoters have so far invested around Rs 3,500 crore in the project and tied up debt of nearly Rs 22,670 crore.

What are the analysts recommendations for this IPO?
The demand for Power is going to increase leaps and bounds. With the scarcity of Alternative Energy sources being identified and implemented in countries like India, the Power companies are expected to be benefitting if they can generate good business

Teachers, Lecturers & Professors Sixth Pay Commission Pension & Salary Hike

It seems tht strike is the buzz word around the Sixth Pay Commission. Recently, it was doctors who went on strike for Sixth Pay Commission implementation, and now its the turn of Teachers, lecturers & Professors from aided schools, junior colleges and degree colleges across Maharashtra to demand the implementation of Sixth Pay Commission. Not only that, the teachers and lecturers at the university have also declared that they will continue their agitation indefinitely.
When will the strike be organized?
The strike by Teachers, lecturers & Professors for Sixth Pay Commission Implementation will be on Tuesday, 14th july 2009.

General Sixth Pay Commission Salary Hike & Arrears Calculator

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike

The demand is due to the pay difference of the state Teachers, lecturers & Professors with respect to their counterparts in the central government teaching institutes, which have already implemented the Sixth Pay Commission Recommendations for Teachers. Though the colleges will remain open, the teachers will be on strike.

Then, there are also some differences with respect to what Maharashtra state has implemented and what UGC or University Grants Commission has recommended. As per the news, the Maharashtra government did not make it mandatory for teachers to qualify NET/SLET exams. Later, when it was implemented in 2000, the teachers who joined between 1991 and 2000 were not required to pass these exams. So there is a descrepancy since these teachers who have not qualified the exams are not given promotions.
When it comes to other states, things appear to be better. Recently, there was news that The Delhi High Court has issued a notice to a school in the capital for not implementing the recommendations of the Sixth Pay Commission.
Let's hope that the issue settles down soon and the recommendations are implemented in Maharashtra, as it is affecting the studies of the students

DSP BlackRock World Energy Fund NFO: Review Analysis & Details

There comes another fund from DSP BlackRock Mutual Fund House. it's raining mutual fund NFO's in the Indian Mutual Funds Market.
The DSP BlackRock Mutual Fund house has come out with its New Fund offer or NFO. They have launched a new fund called the DSP BlackRock World Energy Fund.
In this article, we will analyse how good is this DSP BlackRock World Energy Fund NFO, whether this DSP BlackRock World Energy Fund offers anything new or unique for the investors and whether the investors should invest in DSP BlackRock World Energy Fund .

Let's begin with some details about DSP BlackRock World Energy Fund.

What are the NFO dates for DSP BlackRock World Energy Fund ?
The NFO for DSP BlackRock World Energy Fund will open on July 10, 2009 and will close on July 31, 2009.

What is so unique about this DSP BlackRock World Energy Fund ?
All the investors willing to take a shot at DSP BlackRock World Energy Fund should understand that this is actually a Fund of Funds (What's this?). What it means is that this fund will not invest in any companies or stocks diectly, instead it will invest in other funds. Another example is Blackrock Absolute Return Strategies Fund

Now which are these other funds for DSP BlackRock World Energy Fund?
The scheme mentions investments in 2 funds:
- BlackRock Global Funds – World Energy Fund and
- BlackRock Global Funds – New Energy Fund.

They both are international funds, specific to energy sector, hence there may possibly be a forex risk involved. Investors must be aware of this.

Also, they mention that the fund manager may at his discretion, invest in other international or overseas mutual fund. Hence, it all depends on the investment manager.

There are various investment options available:
• Growth Option
• Dividend Option
- Payout Dividend
- Reinvest Dividend

Minimum Application amount stands at Rs 5000, while Minimum installment for SIP is at 1000.

The entry load is as follows:
For investment amount: < Rs. 5 Crore – 2.25% of the initial value of Rs. 10/-during NFO/Applicable NAV during Continuous Offer
>= Rs. 5 crore – NIL
No Entry Load charged on Direct Applications, i.e. applications not routed through a distributor/ agent/ broker

Exit Load:
Holding period from date of allotment:
< 6 months : 1.00%
>= 6 months but < 12 months: 0.50%
> = 12 months : NIL

Benchmark Index for DSP BlackRock World Energy Fund:
- 70% MSCI World Energy (Net)
- 30% MSCI World (Net)

DSP BlackRock World Energy Fund NFO offer price: Rs. 10 per unit plus applicable load, if any.

Final Thoughts about the DSP BlackRock World Energy Fund?
Overall, this fund is betting on the Energy sector at both global and local level. However, there are some risk elements in this fund. It is a fund of funds as explained above, so the ultimate performance depends upon how the actual funds perform and how the stocks which those funds have invested in perform. Hence, there is a forex risk involved.
On the plus side, it offers you exposure to your investments at international level. Suppose that Energy sector in India does not grow that well but it does at a global level, then the investors of this fund of funds may benefit. Investors have to take the call

Sahara Super 20 Fund NFO: Review Analysis & Details

The Sahara Mutual Fund house has come out with its New Fund offer or NFO. They have launched a new fund called the Sahara Super 20 Fund. Seems like the Investor sentiment is high, and the mutual fund companies are finding this to be the right time to come out with the NFO for their new funds.
High on the heels of Reliance, which recently concluded the NFO or New Fund Offer for its Reliance Infrastructure Fund: (Review & Analysis of NFO), and then the Franklin Templeton Investments (India), has also come out with its Infrastructure focussed fund called the Franklin Build India Fund FBIF NFO: Review Analysis & Details. Then it was the turn of Religare Business Leaders Fund NFO: Review Analysis & Details and now its Sahara Super 20 Fund. In this article, we will analyse how good is this Sahara Super 20 Fund NFO, whether this Sahara Super 20 Fund offers anything new or unique for the investors and whether the investors should invest in Sahara Super 20 Fund .
Let's begin with some details about Sahara Super 20 Fund .
What are the NFO dates for Sahara Super 20 Fund ?
The NFO for Sahara Super 20 Fund will open on June 25, 2009 and will close on July 23, 2009.

What is so unique about this Sahara Super 20 Fund ?
The scheme document document cites the scheme objective as focussing on investment in companies and stocks which Sahara Fund Management believes are the top 20. What this means is that the Sahara Mutual Fund Manger will invest in stocks and equity related financial instruments of the companies which fall in the top 20 bracket selected from the top 100 companies as per the market capitalization. Now this may give an impression that the companies to be invested in are the top 20 comapnies as per market capitalization. however, as I understand it, it is that the fund manager will take the top 100 companies as per the market capitalization, and from these 100 short listed companies, he will select the 20 which he believes will be potentially attractive. So, it may end up being a mix of large cap and mid cap companies - if the short-listing is limited to top 100 as per the market cap.

Here, the Fund Managers stock pickign skills will be crucial. Otherwise, if you are interested in benefiting from the top rated companies, go for a marge cap fund or a Nifty based ETF (Example)

Asset allocation will be as follows: At least 65% of the total assets will be invested in equity and equity related securities and upto a maximum 35% of the total assets may be invested in debt and money market instruments.
The fund will track Nifty 50 as its benchmark and claims to have major focus on large caps given the fact that they believe the Indian Economy is reviving. However, selecting 20 from top 100 means that they may also have to include some mid caps.

Various Investment Plans are available: Under the scheme one can opt for dividend option, (including dividend re-investment option) or growth option. Minimum application amount is Rs 5,000. Systematic investment plan (SIP) is also available with the scheme.

What is the Load Structure (Entry Load & Exit Load) for Sahara Super 20 Fund ?
Entry Load of 2.25%. Exit load of 1% for investments of greater than or equal to Rs 1 Crore, if redeemed on or before 1 year from the date of allotment. No tax benefit available for investing in Sahara Super 20 Fund.

Sahara Super 20 Fund NFO offer price: Rs. 10 per unit plus applicable load, if any.

Final Thoughts about the Sahara Super 20 Fund?
Nothing so special or unique about the Sahara Super 20 Fund - same asset allocation promise, same long only investment strategy, same load structure as like the other fund. investors who believe in the fund management skills of Sahara and have trust that the fund manager will be able to really select the best performing 20 stocks out of the top 100 stocks are per the market capitalization can invest in this fund

Religare Business Leaders Fund NFO: Review Analysis & Details

The Religare Mutual Fund house has come out with its New Fund offer or NFO. They have launched a new fund called the Religare Business Leaders Fund. Seems like the Investor sentiment is high, and the mutual fund companies are finding this to be the right time to come out with the NFO for their new funds.

High on the heels of Reliance, which recently concluded the NFO or New Fund Offer for its Reliance Infrastructure Fund: (Review & Analysis of NFO), and then the Franklin Templeton Investments (India), has also come out with its Infrastructure focussed fund called the Franklin Build India Fund FBIF NFO: Review Analysis & Details. In this article, we will analyse how good is this Religare Business Leaders Fund NFO, whether this Religare Business Leaders Fund offers anything new or unique for the investors and whether the investors should invest in Religare Business Leaders Fund .
Let's begin with some details about Religare Business Leaders Fund .
What are the NFO dates for Religare Business Leaders Fund ?
The NFO for Religare Business Leaders Fund will open on July 10, 2009 and will close on July 31, 2009.

What is so unique about this Religare Business Leaders Fund ?
The scheme document document cites the scheme objective as focussing on investment in companies and stocks which Religare believes are Business Leaders in their own respective sector. Now this has many implications:

- The fund has not categorized any specific industry, hence it will not be limited to any specific sector

- Continuation to the above point, there may be divewrsification benefits, as well as sector & company specific risk in case of over-exposure which may underperform and under-exposure to any specific sector & company which may outperform

- Everything is in the hands of the fund manager - he has to select the so called "Business Leaders" from his preferred Industry sectors. Hence, the returns of this fund will be driven by the fund managers ability to pick the real winners or leaders

Apart from above, there is nothing so special or unique about this fund. It has the title "Business Leaders Fund" - and is attempting to generate returns from investing in companies or stocks which the fund manager believes that are leaders.

Nothing so different about the investment strategy:
Though specific numbers are not available, the details for investment cite that fund money will be put into equity and equity related instruments including equity derivatives.

What is the Load Structure (Entry Load & Exit Load) for Religare Business Leaders Fund ?
During NFO Period - Entry Load: 2.25% for investment < Rs 2 crs and 1.25% for investment = > than Rs 2 crs. Exit Load 1% for investment < Rs 5 crs, if redeemed on or before 1yr from the date of allotment. Investment through SIP Entry Load-Nil, Exit Load 1% for each SIP installment < Rs 5 crs, if redeemed on or before 2 yrs from the date of allotment.

Religare Business Leaders Fund NFO offer price: Rs. 10 per unit plus applicable load, if any.

Final Thoughts about the Religare Business Leaders Fund?
Nothing so special or unique about the Religare Business Leaders Fund - same asset allocation promise, same long only investment strategy, same load structure as like the other fund. investors who believe in the fnd management skills of Religare and have trust that the fund manager will be able to bet their money correctly by selecting the real business leaders of various industry sectors can invest in this fund. It's the investors call

Franklin Build India Fund FBIF NFO: Review Analysis & Details

It seems like the various fund houses have suddenly found a new keyword - Infrastructure and all are attempting to lure the investors into believing that infrastructure sector is set to grow and hence it is the right time for investors to invest their money into Infrastructure Secotr (and right time for the mutual fund houses to come out with Infrastructure funds).

High on the heels of Reliance, which recently concluded the NFO or New Fund Offer for its Reliance Infrastructure Fund: (Review & Analysis of NFO), the Franklin Templeton Investments (India), which is another big name in Mutual fund industry, has come out with its Infrastructure focussed fund called the Franklin Build India Fund FBIF NFO. In this article, we will analyse how good is this Franklin Build India Fund NFO, whether this Franklin Build India Fund offers anything new or unique for the investors and whether the investors should invest in Franklin Build India Fund FBIF.
Let's begin with some details about Franklin Build India Fund FBIF.
What are the NFO dates for Franklin Build India Fund FBIF?
The NFO for Franklin Build India Fund will open on July 10, 2009 and will close on August 8, 2009.

What is so unique about this Franklin Build India Fund ?
There is nothing so special or unique about this fund. It has the title "Build India" - and is attempting to generate returns from investing in companies or stocks for Infrastructure, Financial Services, Social Development, Agriculture and Resources. Basically, they have covered everything and all the sectors.
They claim that India (still) is the fastest growing economy of the world and the above listed sector specific companies and stock will be beneficial for investments. Hence they have come out with this NFO.

Nothing so different about the investment strategy:
Equities and Equity-linked instruments: 70%-100% (Infrastructure-related companies investment will be: 65%-100%, Other companies: 0%-35%); So major focus will be on infrastructure.
Debt securities (including government securities & securitised debt) and Money Market Instruments: 0%-30% [including investments in Foreign Securities as may be permitted by SEBI/RBI up to 35% of the net assets of the scheme, exposure in derivatives up to a maximum of 50%].

What is the Load Structure (Entry Load & Exit Load) for Franklin Build India Fund ?
Load Structure: Entry Load: Less than Rs.5 crores - 2.25%, Rs.5 crores & above - Nil
However, in accordance with SEBI rules, Zero entry load will be charged for direct applications;
Exit Load: Less than Rs. 5 crores - 1% if redeemed within 1 year of allotment, Rs.5 crores and above - 1% if redeemed within 6 months of allotment.

Franklin Build India Fund NFO offer price: Rs. 10 per unit plus applicable load, if any.

Final Thoughts about the Franklin Build India Fund?
Nothing so special or unique about the Franklin Build India Fund - same asset allocation promise, same long only investment strategy, same load structure as like the other fund. in the budget, there were huge expectations that the infrastructure sector will be given a big boost, but we all know what the budget has offered - it was a cautious approach budget. Infra Companies like IVRCL stock prices were beaten up severly immediately after the budget. So the investor has to take a call - whether the infrastructure sector & its stocks and companie will deliver handsome returns is a call in the future

Marico Bangladesh IPO: Review Analysis & Details

After so many months, a new IPO or Initial Public Offering is expected to hit the stock markets of Bangladesh. The company bringing out the IPO is a consumer care company based in India and its subsidiary in Bangladesh is set to come out with a local IPO for Bangladesh. It's the Marico Bangladesh IPO. In this article, we will look at the review, analysis and fine details of the Marico Bangladesh IPO.
Some basic details first:
What is the issue size of the Marico Bangladesh IPO?
The Marico Bangladesh IPO is planning to raise around 2 million USD thorough the IPO.

What is the company profile & business for the Marico Bangladesh IPO
The company is in the business of consumer care - basically, its the largest cocunut hair oil producing company of India. It has a subsidiary since last 7 years in Bangladesh and it is this local subsidiary which is bringing out the IPO.

How many shares will be offered for sale for the Marico Bangladesh IPO?
Around 1.49 million shares or around 5% of the total share offering are expected to be sold through the Marico Bangladesh IPO.

What is the price band of the Marico Bangladesh IPO
The shares of Marico Bangladesh IPO are offered in the price range of 90 Taka per share.

What is the trading symbol & exchange for the Marico Bangladesh IPO
no info is available about the trading symbol, but the listing will be on Dhaka Stock Exchange and Chittagong Stock Exchange

What are the IPO dates for Marico Bangladesh IPO
The IPO for Marico Bangladesh is expected to come out next month.

What are the financial results and position for Marico Bangladesh IPO
Despite the recession, the company has managed to show good results. There were sales of Rs212 crore in 2008-09, and has been growing at a compounded annual growth rate of 70% for the past three years.

Who are the underwriters of the Marico Bangladesh IPO?
No info about that.

What is the current share holding pattern of Marico Bangladesh ?
As of now, the parent company marico India is the sole share holder.

What are the analysts recommendations for this IPO?
Some of the stock market analysts are surprised by this move from Marico, because the amount of money raised is not significant. Also, the company has claimed that it does not really need money, but is coming out with the IPO for better brand building. Some analysts feel that it may be gathering capital for a local acquisition

One Rank-1 Pension for Ex-Servicemen: Sixth Pay Commission Pension & Salary

Thousands of Ex servicemen - Retired Army Jawans and Commission officers will now have reasons to feel happy about. They will benefit from the recent announcement made by the Finance Minister Pranab Mukherjee, about a One Rank One Pension scheme. It will come as a big bonanza for the retired army jawans. As per Express India, Pranab Mukherjee had said the government had accepted recommendations to improve the pension prior to January 1, 2006, and have defence pensioners below officer rank and bring pre-October 10, 1997, pensioners on par with those who followed.
How many officers and jawans will benefit from this announcement for the One Rank One Pension scheme for Sixth Pay Commission?
Around 12 lakh awans and JCOs (Junio Commissioned Officers) are expected to benefit from this latest announcment.

Latest on Supreme Court order: Ex-servicemen Armed forces Sixth Pay Commission: Pay Arrears & Salary Hike Details after SC ruling

By which date will the the One Rank One Pension scheme for Sixth Pay Commission be implemented?
It is reported that the scheme will be implemented from July 1.


General Sixth Pay Commission Salary Hike & Arrears Calculator (Indicative)

Salary Calculator for Pension calculations for Sixth Pay Commission Salary Hike (Indicative)



Any details about the designation or posts for which people will benefit?
Yes. Officers at the ranks of jawan, naik, havildar, naik subedar and subedar major are learnt to benefit from this scheme.

The biggest cause of concern for these officers was that there was a big differene or gap in the pensions of past and present retirees. October 1997 post and pre were affected by the Fifth pay Commission.

Any other details available regarding the salary?
Yes. As per the reports, OROP scales should come around Rs 14,000 for all. "It would benefit all ranks." Now there are three bands of payment, to be now merged. The first band features sepoy to havildar at Rs 4,500 basic pension, the second band includes naik subedars and subedar majors at Rs 9,300, while the third band pays Rs 13,750 after the Sixth Pay Commission