It is good that RBI has moved in early to regulate digital lending In the last few months, we have seen a virtual proliferation of digital lending platforms. Most of them are willing to give away micro loans with digital scrutiny, limited paperwork and almost immediate disbursal. Now RBI has moved in to regulate them.…
Open offers and insider trading issues addressed The SEBI Board meeting has become an important forum for the regulator to give direction to markets. The last SEBI Board meeting during the week had some important takeaways. Preferential pricing In the past, floor price for preferential issue was fixed at the average of 2 weeks price…
Is the GOI floating rate bond a good option for investors Recently, the government announced the launch of its floating rate bonds with 7.15% coupon rate. How attractive is the product and should investors really be enthused enough to investing in these floating rate bonds? Replacing the 7.75% bonds In a way the new 7.15%…
India must avoid China blockade without due deliberation Yes, China needs India One can argue that Indo-China annual trade at around $88 billion is quite small by what China does with countries like the US, EU and Japan. But that is off the point. The fact is that India runs a $70 billion trade…
How the Reliance buyout can help Future Group out of the mess In the last few days, there have been a slew of reports about a likely deal where Reliance Retail could buy a controlling stake in Future Retail. Here is why the deal will add value to the Reliance group as well as bail…
Templeton needs to take responsibility for making a hash of it The Madras High Court has sent notice to Franklin Templeton Fund for closure of its six funds in April 2020 resulting in nearly Rs.30,000 crore being locked up. Notwithstanding the legal outcomes, there are four areas where Franklin Templeton MF has grossly failed. What…
Long traders in crude oil on the MCX must learn to take the losses On the evening of 20th April, the WTI oil futures contract dipped to a low of $- 37.66/bbl due to a sharp demand drop. The shortage of storage in the US also took the US crude into negative. In the process,…
Central Bank gives an aggressive boost to NBFCs and banks On 17th April, the RBI announced slew of measures to boost the sentiments in the market and specifically to bail out the NBFCs. While the package was for markets overall, the primary focus was to help the NBFCs survive the torrid challenges posed by COVID-19.…
SEBI curbs on short selling may work, but it may be a tad too late During the week, the regulator stopped short of imposing a ban on short selling. Instead, it tweaked the MWPL limits and the margin requirements to discourage the creation of naked short positions. It may still work in curbing speculation but…
It is time banks wrote off their loans to IL&FS and Jet Recently, the RBI had instructed all banks having exposures to IL&FS group to make provisions for their exposure to the IL&FS group. Indian banks have lent close to Rs.97,000 crore ($14 billion) to the IL&FS group and it is not clear how much…
