SEBI has mandated registration of index providers managing “significant indices,” in terms of the AUM attached that is linked to the index and the importance of securities included in the index. The idea is to foster transparency in governance of such financial benchmarks. In the last 4 years post-COVID, there has been a sharp shift towards passive investing in such benchmark-index funds and index ETFs. Indices that are for exclusive use in a foreign jurisdiction and benchmarks regulated by RBI will be exempted by SEBI.
The Adani Group is planning to invest Rs60,000 crore in its seven existing airports. Currently, the airports are business that have been incubated by Adani Enterprises under the aegis of Adani Airports Holdings Ltd (AAHL). Out of the allocation of Rs60,000 crore, the company has confirmed that Rs30,000 crore would be spent on the airside over the next five years, while the balance Rs30,000 crore will be spent on the cityside across Mumbai, Ahmedabad, Lucknow, Mangalore, Guwahati, Jaipur, and Thiruvananthapuram.
According to AMFI data, the net inflows into equity mutual funds for February 2024 at Rs26,860 crore, the highest in 23 months. On a MOM basis, the flows were higher by 23%. The equity flows came largely from Rs11,470 crore of NFOs, led by the Rs6,700 crore SBI Energy Opportunities Fund. In addition, the SIP flows in the month were also strong at Rs19,186 crore; the highest level ever. SIP accounts touched a new high of 8.2 crore, while 49 lakh new SIP registrations were seen. Overall, the AUM touched Rs54.54 trillion.
It has now been revealed that the investigation into the non-convertible debenture (NCD) issue of JM Financial, was floated by Piramal Enterprises. Through the NCD issue, Piramal Enterprises had raised Rs533 crore, which included a greenshoe option over the base size of Rs200 crore. RBI had put a ban on JM Financial taking up any form of IPO financing due to various deficiencies noted in the reporting done to regulators. JM has been barred from accepting any new mandates to lead manage public debt issues.
According to Bob Iger, the CEO of Walt Disney, the joint venture between Reliance and Walt Disney India is likely to be value accretive for the Disney India business. It would not only expand its reach, but also de-risk its current business model. The intent of the deal was to create an entity to stay in the market at a significant level. Under the terms of the deal, Reliance will hold 63.16% of the JV and Disney 36.84%. It will create India’s leading media company with 2 streaming services and around 120 television channels.
Union Minister Piyush Goyal has asserted that the central government will ensure prices of essential food items like onion, tomatoes, and pulses do not spike during elections. Goyal said they wanted to ensure no stress on household budgets. In the last few years, the government has spent Rs28,000 crore from the price stabilization fund to ensure prices of essentials do not go out of control. General elections are to be held in April and May and the newly elected government is likely to assume office by the end of May 2024.
In the truncated week to March 08, 2024, total market cap of 7 of the 10 most valuable Indian companies listed on NSE saw accretion of Rs71,301 crore. Bharti Airtel emerged top gainer. Among major gainers, Bharti Airtel jumped Rs38,727 crore, SBI Rs13,476 crore, HDFC Bank Rs12,243 crore, ICICI Bank Rs3,100 crore, ITC Rs1,470 crore and TCS Rs1,158 crore. Among losers; Infosys market cap dwindled by Rs15,876 crore, Reliance Industries Rs15,392 crore and LIC Rs6,167 crore. Nifty and Sensex closed at lifetime highs. Foreign Portfolio Investors (FPIs) infused Rs6,139 crore in March 2024 on the back of strong GDP data and falling US bond yields. In the last 3 weeks, FPIs have been net buyers in equities and have infused $2.07 billion into Indian equities. The big boost to flows came after the GDP growth for Q3-FY24 came in sharply higher at 8.4% and got a further boost after Moody’s raised India’s GDP estimate for FY24 to 8%. There are hopes that the US may embark on rate cuts, as hinted in Jerome Powell in his Congressional testimony.