rajesh bhutra : newsletter for march 2015 ( union budget 2015 review)

MARCH 2015For private circulation only

The Budget was presented in a much improved economic environment than the recent past, as was highlighted by the Economic Survey. Riding on back of record breaking elections and improving economic environment, there were heightened expectations from Mr. Jaitley to deliver on big bang reforms and a host of goodies by everyone. Here is our update on the highlights of the recent Union Budget - the first full budget presented by the NDA government.

INTRODUCTION

STATE OF ECONOMY: Credibility of Indian economy has been re-established in the last 9 months. Real GDP growth expected to be 7.4% in 2014/15. India about to take-off on a fast growth trajectory. Macro-economic stability and conditions for sustainable poverty alleviation, job creation and durable double digit economic growth have been achieved.

VISION FOR “TEAM INDIA”: Housing for all, 24x7 power, clean drinking water, a toilet and road connectivity. Job to at least one member in family and substantial reduction in poverty. Electrification and communication connectivity to all villages with medical services and higher education school in vicinity. To make India, the manufacturing hub through Skill India and Make in India and support entrepreneurship.

THREE KEY ACHIEVEMENTS: (i) Financial Inclusion - 12.5 crores families financially mainstreamed in 100 days. (ii) Transparent Coal Block auctions (iii) Swachh Bharat mission

INFRA FOCUS: Major boost to infrastructure development, allocation for Roads and Railways. Resources targeted towards Pradhan Mantri Krishi Sinchai Yojana, Rural Electrification and Sagar Mala Project. Game changing reforms on the anvil: (i) GST (ii) Jan Dhan, Aadhar and Mobile (JAM) - for direct benefit transfer.

KEY HIGHLIGHTS ON DIFFERENT THEMES

COMMON MAN: (a) Social security system for all Indians. (b) Pradhan Mantri Suraksha Bima Yojna to cover

accidental death risk (R 2 Lakh) with R 12 premium per year. (c) Atal Pension Yojana with Government contributing 50% of beneficiaries’ premium upto R 1,000 p.a. for 5 years. (d) Pradhan Mantri Jeevan Jyoti Bima Yojana to cover both natural and accidental death risk of R 2 lakh with R 330 premium per year.

AGRICULTURE: (a) To create a unified National Agriculture Market (b) ‘Pradhanmantri' Gram Sinchai

Yojana’ to provide ‘Per Drop More Crop’. R 5,300 cr. support for irrigation. (c) Target of R 8.5 lakh cr. of agricultural credit during the year 2015-16. R 75,000 cr. for facilitating rural credit. (d) R 25,000 cr. for Rural Infrastructure Development Fund (RIDF).

INFRASTRUCTURE: (a) Sharp increase in outlays of roads and railways. PSU capital expenditure to rise. (b)

Establish National Investment and Infrastructure Fund (NIIF) with R20,000 cr. annual flow (c) Fuel excise duty (R 4 per liter) to be used as Road Cess for investments (d) Tax free infrastructure bonds for rail, road and irrigation projects. (e) PPP mode of infrastructure development to be revitalised. (f) 5 new Ultra Mega Power Projects, each of 4,000 MW, in the Plug-and-Play mode.

ENTREPRENEURSHIP: (a) Incubation facilities, funding for seed capital and ease of Doing Business. (b)

Establishing (SETU) Self-Employment and Talent Utilization as Techno-financial, incubation and facilitation programme; R1,000 cr. earmarked. (c) Atal Innovation Mission (AIM) & Promotion Platform to be setup.

FINANCIAL MARKETS: (a) Foreign investments in Alternate Investment Funds to be allowed. (b) No

distinction between FPI and FDI. (c) Public Debt Management Agency (PDMA) to bring all borrowings under one roof (d) Forward Markets Commission (FMC) to be merged with SEBI. (e) One financial redressal agency to cover all financial service providers. (f) Monetising Gold: Gold monetisation scheme will give interest to depositors and loans to jewellers. Alternative of Sovereign Gold Bond scheme to physical gold. To develop Indian gold coin (g) Option for employees to opt for EPF or NPS.

BLACK MONEY: ((a) New comprehensive law for foreign black money and Benami Transactions (Prohibition) Bill

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The Budget was presented in a much improved economic environment than the recent past, as was highlighted by the Economic Survey. Riding on back of record breaking elections and improving economic environment, there were heightened expectations from Mr. Jaitley to deliver on big bang reforms and a host of goodies by everyone. Here is our update on the highlights of the recent Union Budget - the first full budget presented by the NDA government.

INTRODUCTION

STATE OF ECONOMY: Credibility of Indian economy has been re-established in the last 9 months. Real GDP growth expected to be 7.4% in 2014/15. India about to take-off on a fast growth trajectory. Macro-economic stability and conditions for sustainable poverty alleviation, job creation and durable double digit economic growth have been achieved.

VISION FOR “TEAM INDIA”: Housing for all, 24x7 power, clean drinking water, a toilet and road connectivity. Job to at least one member in family and substantial reduction in poverty. Electrification and communication connectivity to all villages with medical services and higher education school in vicinity. To make India, the manufacturing hub through Skill India and Make in India and support entrepreneurship.

THREE KEY ACHIEVEMENTS: (i) Financial Inclusion - 12.5 crores families financially mainstreamed in 100 days. (ii) Transparent Coal Block auctions (iii) Swachh Bharat mission

INFRA FOCUS: Major boost to infrastructure development, allocation for Roads and Railways. Resources targeted towards Pradhan Mantri Krishi Sinchai Yojana, Rural Electrification and Sagar Mala Project. Game changing reforms on the anvil: (i) GST (ii) Jan Dhan, Aadhar and Mobile (JAM) - for direct benefit transfer.

KEY HIGHLIGHTS ON DIFFERENT THEMES

COMMON MAN: (a) Social security system for all Indians. (b) Pradhan Mantri Suraksha Bima Yojna to cover

accidental death risk (R 2 Lakh) with R 12 premium per year. (c) Atal Pension Yojana with Government contributing 50% of beneficiaries’ premium upto R 1,000 p.a. for 5 years. (d) Pradhan Mantri Jeevan Jyoti Bima Yojana to cover both natural and accidental death risk of R 2 lakh with R 330 premium per year.

AGRICULTURE: (a) To create a unified National Agriculture Market (b) ‘Pradhanmantri' Gram Sinchai

Yojana’ to provide ‘Per Drop More Crop’. R 5,300 cr. support for irrigation. (c) Target of R 8.5 lakh cr. of agricultural credit during the year 2015-16. R 75,000 cr. for facilitating rural credit. (d) R 25,000 cr. for Rural Infrastructure Development Fund (RIDF).

INFRASTRUCTURE: (a) Sharp increase in outlays of roads and railways. PSU capital expenditure to rise. (b)

Establish National Investment and Infrastructure Fund (NIIF) with R20,000 cr. annual flow (c) Fuel excise duty (R 4 per liter) to be used as Road Cess for investments (d) Tax free infrastructure bonds for rail, road and irrigation projects. (e) PPP mode of infrastructure development to be revitalised. (f) 5 new Ultra Mega Power Projects, each of 4,000 MW, in the Plug-and-Play mode.

ENTREPRENEURSHIP: (a) Incubation facilities, funding for seed capital and ease of Doing Business. (b)

Establishing (SETU) Self-Employment and Talent Utilization as Techno-financial, incubation and facilitation programme; R1,000 cr. earmarked. (c) Atal Innovation Mission (AIM) & Promotion Platform to be setup.

FINANCIAL MARKETS: (a) Foreign investments in Alternate Investment Funds to be allowed. (b) No

distinction between FPI and FDI. (c) Public Debt Management Agency (PDMA) to bring all borrowings under one roof (d) Forward Markets Commission (FMC) to be merged with SEBI. (e) One financial redressal agency to cover all financial service providers. (f) Monetising Gold: Gold monetisation scheme will give interest to depositors and loans to jewellers. Alternative of Sovereign Gold Bond scheme to physical gold. To develop Indian gold coin (g) Option for employees to opt for EPF or NPS.

BLACK MONEY: ((a) New comprehensive law for foreign black money and Benami Transactions (Prohibition) Bill

TAX IMPACT: (a) Direct tax proposals to result in revenue loss of R 8,315 cr. (b) Proposals in indirect taxes to yield

R 23,383 cr.

PERSONAL INCOME TAX: (a) No change in tax rates & slabs. Tax benefits upto R 4,44,200 with concessions in

present & last budget. (b) Wealth-tax replaced with additional surcharge of 2% on income over R 1 cr.

CONCESSIONS: (a) Limit for contributions to PF and NPS increased from R 1 lakh to R 1.5 lakh. Additional

deduction of R 50,000 for NPS u/s 80CCD. (b) Limit of health insurance premium up from R 15,000 to R 25,000 & for senior citizens from R 20,000 to R 30,000. (c) Senior citizens above 80 years (uncovered), deduction of R 30,000 for medical expenses (d) Limit of R 60,000 for senior citizens w.r.t. specified & serious diseases enhanced to R 80,000. (e) Additional deduction of R 25,000 for differently abled persons. (f) Transport allowance at R 19,200, up from 800 p.m. to R 1,600 p.m. (g) Sukanya Samriddhi scheme to be fully

exempt on EEE mode.

CORPORATE TAX: (a) To reduce rate from 30% to 25% over next four years, starting FY.2016-17 accompanied by

rationalisation & removal of various exemptions & incentives.

INDIRECT TAX PROPOSALS: (a) GST to be implemented by 2016. (b) Service-tax plus education

cesses increased from 12.36% to 14%. (c) Provision to levy Swachh Bharat cess at 2% or less if needed (d) Education cess to be subsumed in Central Excise Duty. (e) Time limit for taking CENVAT credit increased from 6 months to 1 year. (f) Minor adjustments in excise duty structure, Service Tax negative list and customs duty structure.

BUDGET ESTIMATES: (a) The total Plan Outlay for 2015-16 is R 465,277 crore. (b) Proposed spending of R

17.77 lakh crore in 2015-16, up about 6% with tax receipts expected to increase by 16%. (c) Fiscal deficit is targeted at 3.9% of GDP and revenue deficit at 2.8%.

The Economic Survey is an important source of key economic information, views of the government on economic issues, highlights of key policy initiatives and the prospects of the economy in the short to medium term. The Economic Survey for 2014-2015 was tabled in the parliament, as is the tradition, a day before the Union Budget. The survey carries the imprint of the government's Chief Economic Adviser, presently Mr. Arvind Subramanian, who is it's principal author. In this article we present the important highlights & observations of this year's survey.

ECONOMIC GROWTH: 2015/16 GDP growth seen at between 8.1 to 8.5% and expected to be around 7.4% for

2014-15. FY 2014/15 saw hardly any external support to growth and the growth was largely domestic demand driven. Double digit economic growth trajectory now a possibility. Expectations for such high growth rate is due to a number of reforms already undertaken and more that are being planned for, backed by optimistic outlook for domestic macro economic parameters. Services sector clocked double-digit growth in FY 2014/15. Year 2017 to be a game-changing year for growth.

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Tax Proposals & Budget Estimates:

Economic Survey 2015: Key Highlights

(b) Strict imprisonment terms for evasion of tax /non-filing of return/ inadequate disclosures (upto 10 years). All entities covered in same. Mandatory filing /disclosures of any foreign assets and returns. Concealment/evasion of income to be predicate offence under PML Act (c) Domestic black money laws to discourage cash transactions and encourage payments through cards and keep PAN mandatory for any purchase or sale over R 1 lakh. Acceptance or re-payment of an advance of R 20,000 or more in cash for purchase of immovable property to be prohibited.

MAKE IN INDIA: (a) Tax “pass through” to both category I and category II alternative investment funds. (b) GAAR

deferred by two years (c) Income-tax on royalty/fees for technical services reduced from 25% to 10% (d) Basic Custom duty for inputs in 22 items, reduced to minimise the impact of duty inversion. (e) Almost all goods exempted from Special Additional Duty (SAD) (f) Improvements in structure /laws for REITs (g) Permanent Establishment (PE) norm to be modified to encourage fund managers to relocate to India.

EASE OF DOING BUSINESS: (a) Comprehensive Bankruptcy Code soon (b) To replace multiple prior

permission with a pre-existing regulatory mechanism (c)

Domestic transfer pricing threshold limit up from R 5 cr. to R 20 cr. (d) MAT rationalised for FIIs and AOPs. (e) Tax procedures simplified, online central excise & service tax registration in 2 days.

SWACHH BHARAT: (a) 100% deduction for Swachh Bharat Kosh and Clean Ganga Fund. (b) Clean energy

cess up from R 100 to R 200 per metric tonne of coal (c) Provision to levy 2% or less of Swachh Bharat cess, if needed (d) Common affluent treatment plant services exempt from ST. Concessions on custom & excise duty to electric/hybrid vehicles extended.

OTHER: (a) Skill India: To launch unified National Skill Mission. A student Financial Aid Authority to oversee all

scholarship & loan schemes. (b) Education: Setting up of 1 new IIT, 5 AIIMS, 3 National Institute of Pharmaceuticals Education and Research & 2 institutes of Science and Education Research. (c) Tourism: Visas on arrival for 150 countries in stages. More resources for heritage sites. (d) Green India: Renewable energy target revised to 1.75L MW till 2022 (e) Digital India: Push National Optical Fibre Network Programme (NOFNP) with states participation (f) Gift City: Appropriate regulations very soon.

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INFLATION: Structural shifts are underway caused by lower oil prices and deceleration in agriculture prices

and wages. These are simultaneously being reflected in dramatically improved household inflation expectations. Inflation showing a declining trend in 2014/15 and likely to be below RBI targets next year. CPI inflation in 2015/16 is likely to range between 5 to 5.5%. Presently, the CPI is at 5.1% and wholesale inflation is negative. Lower inflation will open up space for reducing interest rates & increasing credit flow which will help boost growth.

FISCAL CONSOLIDATION: Government committed to fiscal consolidation and will adhere to fiscal deficit

target of 4.1% in 2014/15. Must meet medium-term fiscal deficit target of 3%. Current Account Deficit is estimated to fall 1% in 2015/16 and to be below 1.3% for 2014/15. India can balance the short-term imperative of boosting public investment to revitalize growth with the need to maintain fiscal discipline. Expenditure control and expenditure switching, from consumption to investment in short to medium term will be key. Outlook for external financing is correspondingly favourable. Focus should now be on reducing revenue deficit and any excess borrowings /expenditure must be in capital investments only.

SUBSIDIES: For April-December major subsidies were up 12.5%. Survey stated that revamping of the subsidy

regime would help in rationalisation of expenditure, especially food subsidies. Food subsidy bill rose 20% in April-January 2014-15 at R 1.07 lakh crore. Price subsidies (about 4.24% of GDP) are often regressive and may not be best weapons for fighting poverty. Rationalisation of subsidies and better targeting of beneficiaries through direct transfers would help generate part of the resources for the public investment. Ending, phasing out subsidy was not feasible, nor desirable. Under-recoveries on petroleum products to come down to R 74.7 thousand crore in 2014/15, from R 1.39 lakh crore in FY 2013/14.

REFORMS: Reforms initiated in numerous areas and major ones are on the horizon. The macroeconomic

response to the favourable terms of trade shock has led to an appropriately prudent mix of increased government savings and private consumption. There is scope for big bang reforms now. GST, expanding direct benefit transfers to be game-changers. Labour, capital, land, market reform and skills to be engines of growth. Potential for large gains from coal pricing reforms.

AGRICULTURE: Survey stated that one of most striking problems is how unintegrated and distortions-ridden

are agricultural markets. India needed a national common market for farm goods, instead of thousands of APMCs controlled markets. All states urged to drop fruits, vegetables from APMC and for policy help to farm markets in private sector. Agricultural strategy must focus on raising yield, productivity.

FINANCIAL SECTORS, MARKETS: Must remove market access barriers to boost services sector and

boost capital markets and bond financing. Capital, labour, land market distortions hurting manufacturing. SLR need, priority lending creating financial repression. Liquidity conditions remained broadly balanced and RBI played key role for same.

EXTERNAL TRADE, FOREIGH INFLOWS: Foreign portfolio flows have stabilised the rupee. Foreign inflows

since April 2014 have been about $55 billion. Foreign exchange reserves up at record $340 billion. Trade performance signals good time to scrap gold curbs. Rising non-oil, non-gold imports are major source of concern. Oil prices expected to stay benign in coming months. India can increase public investments and still hit its borrowing targets and ensure that borrowings over the cycle is only for capital formation. Portfolio flows were pressurising long-term interest rates.

INVESTMENTS: India among most attractive investment destinations and investment activity seems

grounded on stronger footing. Private investment must remain the primary engine of long-run growth; but in the interim, to revive growth and to deepen physical connectivity, public investment, especially in the railways, will have an important role to play. Due to weak profitability and over-indebtedness, private sector having limited ability to invest. Need to revitalize PPP model of investment and higher public investment to ramp up capital formation and recreate an attractive environment. Expenditure switch from consumption to investment to be key.

STALLED PROJECTS: Immediate resolution needed for several stalled projects, adding upto 7% of GDP,

mostly by private sector and for manufacturing & infrastructure. Vicious circle of weak corporate & PSU bank balance sheets which in turn constrain future private investment.

SKILLING INDIA: Need balance between ‘Make in India’ and ‘Skilling India’. 'Make in India' has skill

development and employment as a major challenge. It requires improving infrastructure and reforming labor and land laws by complementing it with the Skilling India initiative.

JAM TRINITY: Exciting possibilities with cash-based transfers using JAM trinity - Jan Dhan Yojana + Aadhaar

+ Mobile - to effectively target resources to those who need it most. Success will allow prices to be liberated to perform their role of efficiently allocating resources and boosting long-run growth. Today there are about 12.55 crore Jan Dhan bank accounts 78.73 crore Aadhaar numbers, and approximately 90 crore mobile phones. When the JAM trinity becomes linked, the goal of periodic and seamless financial transfers to bank accounts after identification through the Aadhaar number can be implemented with immeasurable benefits to helping the lives of the poor.

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MF NEWS

Axis Equity Fund - Gr Axis MidCap Fund - Gr Baroda Pioneer Growth Fund - Growth Plan Birla Sun Life Advantage Fund Gr Birla Sun Life Dividend Yield Plus - Growth Birla Sun Life Equity Fund - Gr Birla Sun Life Frontline Equity Fund - Gr Birla Sun Life India Opportunities Fund - Gr Birla Sun Life Long Term Advantage Fund - Gr Birla Sun Life Midcap Fund - Gr Birla Sun Life MNC Fund Gr Birla Sun Life Pure Value Fund - Gr Birla Sun Life Small and Midcap Fund - Gr Birla Sun Life Special Situations Fund - Gr Birla Sun Life Top 100 Fund - Gr BNP Paribas Dividend Yield Fund- Gr BNP Paribas Equity Fund - Gr BNP Paribas Midcap Fund - Gr BOI AXA Equity Fund - Regular Plan Gr Canara Robeco Emerging Equities Fund - Gr Canara Robeco Equity Diversified - Gr Canara Robeco F.O.R.C.E. Fund - Regular Gr Canara Robeco Large Cap Plus Fund - Gr DSP BlackRock Equity Fund - Reg. Plan - Div DSP BlackRock Focus 25 Fund - Gr DSP BlackRock Micro Cap Fund - Gr DSP BlackRock Opportunities Fund - Gr DSP BlackRock Small and Mid Cap - Reg Gr DSP BlackRock Top 100 Equity Fund Gr DWS Alpha Equity Fund - Gr DWS Investment Opportunity Fund - Gr Edelweiss Diversified Growth Equity Top 100 Fund - Gr Franklin India Bluechip Fund Gr Franklin India Flexi Cap Fund - Gr Franklin India High Growth Companies Fund - Gr Franklin India Opportunities Fund-Gr Franklin India Prima Fund Gr Franklin India Prima Plus Gr Franklin India Smaller Companies Fund - Gr Goldman Sachs India Equity Fund - Gr HDFC Capital Builder-Gr HDFC Core and Satellite Fund - Gr HDFC Equity Fund - Div HDFC Growth Fund Gr HDFC Large Cap Fund - Gr HDFC Mid Cap Opportunities Fund - Gr HDFC Premier Multi-Cap Fund - Gr HDFC Small and Mid Cap Fund - Gr HDFC Top 200 Fund - Div HSBC Equity Fund - Gr HSBC India Opportunities Fund - Gr ICICI Prudential Dynamic Plan-Cum ICICI Prudential Exports and Other Services Fund - Gr ICICI Prudential Focused Bluechip Equity Fund - Gr ICICI Prudential MidCap Fund - Gr ICICI Prudential Select Large Cap Fund - Retail Gr ICICI Prudential Top 100 Fund - Gr ICICI Prudential Top 200 Fund - Gr ICICI Prudential Value Discovery Fund Gr IDFC Classic Equity Fund - Regular Plan - Gr IDFC Equity Fund - Regular Plan - Gr IDFC Imperial Equity Fund - Regular Plan - Gr IDFC Premier Equity Fund - Regular Plan - Gr IDFC Sterling Equity Fund - Regular Gr Indiabulls Blue Chip Fund - Gr JP Morgan India Equity Fund - Gr JP Morgan India Mid and Small Cap Fund - Gr Kotak 50 Equity Scheme Div Kotak Classic Equity Fund - Gr Kotak Emerging Equity Scheme - Gr Kotak Midcap - Gr Kotak Opportunities Fund - Gr Kotak Select Focus Fund - Gr L&T Equity Fund - Gr L&T India Large Cap Fund - Gr L&T India Special Situations Fund - Gr L&T India Value Fund - Gr L&T Midcap Fund - Cum Mirae Asset Emerging Bluechip Fund - Gr Mirae Asset India Opportunities Fund - Gr Pramerica Large Cap Equity Fund - Gr Principal Dividend Yield Fund - Gr Principal Emerging Bluechip Fund - Gr Principal Growth Fund Gr Principal Large Cap Fund - Gr Quantum Long Term Equity Fund - Gr Reliance Equity Opportunities Fund - Gr Reliance Focused Large Cap Fund - Gr Reliance Growth Fund Gr Reliance Mid & Small Cap Fund - Gr Reliance Quant Plus Fund - Gr Reliance Regular Savings Fund Equity Plan - Gr Reliance Small Cap Fund - Gr Reliance Top 200 Fund - Gr

35.2557.2144.5957.4042.8448.4244.5152.4349.0762.97

100.9250.0059.1854.1742.9149.0149.6159.6237.4778.6739.7656.6435.5848.2354.7179.6944.2062.0837.8044.8738.9044.5037.8751.3973.1860.3070.1254.6869.6259.6341.6629.7932.9130.7726.4955.3936.5737.5131.7432.8647.7733.0351.3639.2766.5536.6134.5240.9561.5337.7330.8133.9560.0560.2833.8446.9376.5043.3039.3477.9864.5452.6856.0248.8346.8849.0163.8068.2368.0246.0532.8926.6467.9940.2937.0523.9253.5640.4855.0766.5030.8450.2568.3152.06

29.7444.3830.5240.1430.2338.3333.6842.8236.6040.7551.6548.2841.1437.3034.3033.9434.3444.0628.5653.1628.6933.7726.0933.0233.4353.8932.2642.6726.6431.3828.4230.2726.6637.0948.1537.6148.1836.7154.08

- 34.1728.3331.9724.8921.9844.0330.1331.1029.1325.4136.4730.4746.9030.5349.8229.3629.8432.7746.3325.1024.4623.8940.7937.1522.9231.5250.6029.2728.7346.9441.1633.8537.8733.4931.4434.6544.5447.4250.3835.9523.0423.8447.8134.9129.5725.8138.1031.0335.5746.5624.4933.6455.8736.03

20.76-

18.3924.5819.8324.1823.0227.1823.8825.1734.7930.3225.6422.5323.6623.2923.9430.7418.4534.3420.1523.14

- 21.08

- 33.2020.7026.9418.1619.9017.6921.2518.3324.2031.1023.4831.6724.6335.27

- 22.6816.8920.9416.7514.8930.0118.0720.3519.5416.4623.8721.2931.8821.6130.0420.0321.3121.6730.9616.6216.9715.2727.8925.06

- 20.7332.6119.3119.7629.4126.4122.0325.0321.8920.6523.7528.5329.34

- 24.64

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- 23.95

- -

16.2120.7720.5520.8721.2923.5021.4522.9432.34

- 23.5718.7021.2022.3520.3727.08

- 31.0620.17

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19.73-

31.1919.2125.9017.1317.0015.35

- 18.0122.1926.9419.6028.2622.1830.63

- 21.7117.2321.1016.7214.2228.6217.69

- 19.2714.4620.0520.4126.76

- 25.45

- 19.4019.6630.0214.6115.5614.1426.9025.17

- 18.8628.1617.1418.2224.8323.8419.59

- 20.7019.9021.99

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16.04-

19.3018.9220.0726.3915.8819.9725.03

- 19.92

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14.8616.1517.9617.4619.2716.67

- 19.3425.40

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17.77- -

18.24- -

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16.6415.3014.37

- 16.4118.69

- 15.7220.9819.35

- -

18.2414.6518.9715.9911.53

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18.1513.2016.2718.53

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18.82-

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15.41- -

17.8917.32

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20.15- - -

12.84-

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17.94- - - - -

- - -

17.8819.4921.0621.5317.02

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- - - - - - - - - - - -

21.98- -

19.78-

19.8018.0515.82

- 19.18

- -

18.3122.8621.92

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21.27-

22.1119.2413.51

- - -

21.5016.88

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19.0419.06

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15.71- - - -

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SIP RETURN AS ON 28TH FEBRUARY 2015

Starting - March Month of

Years

Invested Amount :

Schemes (Diversified Equity)

2014

1

1,20,000

2012

3

3,60,000

2010

5

6,00,000

Returns % - CAGR

2008

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

Modi, markets propel mutual fund assets past C 12 lakh crore

Buoyed by good inflows and strong showing by equity schemes, the assets under management (AUM) of the mutual fund (MF) industry has zoomed past the R 12 lakh crore mark or around $200 billion for the first time ever in February. Equity schemes alone have gained about R 1.3 lakh crore in assets or over $20 billion since the post-election rally started in May. Investor accounts with MF schemes and demat accounts that is used for trading in shares have surged by nearly 28 lakh since April. Net inflows (higher purchases in schemes than sales by investors) into equity schemes has topped $10 billion (R 62,548 crore) so far in in the current financial year. Equity schemes have seen an addition of 12.32 lakh investor accounts since April, data with market regulator SEBI showed. Assets managed by equity funds jumped to yet another record high of R 3.46 lakh crore in February. The MF industry's AUM advanced 1.8% month-on-month (m-o-m) to around R 12.02 lakh crore at the end of the month, as per AMFI data.

MF industry may see several mergers of schemes in coming weeks

The mutual fund industry may witness several mergers of schemes in coming weeks after the Budget proposed an exemption from capital gains tax in case of amalgamation of funds with similar features. The government's move could lead to further consolidation in the nearly R 12 lakh crore mutual fund industry. Finance Minister Arun Jaitley, in his Budget speech, had proposed tax neutrality in case of merger of MF schemes with similar features, on which investors had to pay capital gains tax earlier. According to experts, the consolidation will also provide clarity in terms of the investment objective of different schemes available with each fund house and will help investors take appropriate investment decisions.

FMC SEBI merger may open gates for commodity mutual funds in India

Finance Minister Arun Jaitley’s announcement to merge the commodity market regulator Forward Markets Commission (FMC) with capital market regulator SEBI may enable fund houses to come up with commodity mutual funds. Commodity funds invest in food crops, spices, fibers, copper, aluminium, oil, gold, silver and platinum. In India, mutual fund houses are not permitted to invest in commodities other than gold. However, a few fund houses have thematic funds which invest in companies engaged in commodity business.

India poised to be world's 3rd largest economyAs India's investment climate seems to be improving, the moment might not be far away for the country to emerge as the world's third economy, says Jim O'Neill who is better known for coining the acronym BRIC. It is probably too early to say with certainty that India will soon take its place as the world's third largest economy, behind China and the United States. But, given that India's investment climate seems to be improving, that moment might not be too far away, he said in a recent commentary posted on Project Syndicate website. By 2017, India could surpass Italy and Brazil to become the world's seventh largest economy; by 2020, there is a reasonable chance that it will overtake France and the United Kingdom to become the fifth largest.Domestic car sales up 6.85 per cent in FebruaryDomestic passenger car sales grew by 6.85 per cent to 1,71,727 units in February this year as compared to 1,60,717 units in the same month of 2014. According to the data released by the Society of Indian Automobile Manufacturers (SIAM), motorcycle sales in last month were down by 8.22 per cent to 7,74,122 units from 8,43,436 units in the same month previous year. Total sale of vehicles across categories registered a growth of 0.15 per cent to 15,26,125 units in February 2015 as against 15,23,823 units in the same month last year.Foreign investors pour $11 bn in Indian capital marketsWith an average of over R 1,000 crore a day, the net foreign fund inflows into Indian capital markets have crossed USD 11 billion (over R 68,000 crore) in little over two months so far in 2015. The analysts expect the inflows to further accelerate going ahead, following assurances in the Union Budget to revisit controversial issues like GAAR (General Anti Avoidance Rule). Overseas investors witnessed a net inflow of R 24,563 crore February, while the same in the previous month January stood at R 33,688 crore. FIIs (Foreign Institutional Investors) were rechristened as FPIs last year under a new regulatory regime that has made it easier for them to invest in India.Direct tax collections up 10.67% in 11 months of FY'15Collection from direct taxes rose by 10.67 per cent to R 6.12 lakh crore in the first 11 months of the current financial year in line with the revised Budget projections. During the April-February period of the last fiscal, the government had collected R 5.53 lakh crore under this head. As per the Budget for 2014-15, the revenue mop up from direct taxes was targeted at R 7.36 lakh crore. It was, however, revised downwards to 7.05 lakh crore as per the revised estimate in the Budget for 2015-16. Thus, as per the revised estimates, government expects a 10.5 per cent increase in direct tax collections over the previous fiscal which was R 6.38 lakh crore.Govt, RBI sign pact to target CPI at 4%The Reserve Bank and the finance ministry

have agreed, in the biggest change to monetary policy since opening up India's economy more than two decades ago, to introduce inflation targeting to rein in a long history of volatile price rises. In a document dated Feb 20 but published on the ministry website, the two sides set a consumer inflation target of 4%, with a band of plus or minus 2 percentage points, by the financial year ending in March 2017. The Reserve Bank of India (RBI) will first aim to have consumer inflation fall below 6% by January 2016. The changes bring closer to reality a goal pursued relentlessly by RBI Governor Raghuram Rajan, who has said the inflation targeting, more commonly seen in developed economies, was also vital in India.Manufacturing PMI dips to 5-month low in FebruaryGrowth in the country's manufacturing activities fell to a five-month low in February because of subdued output and new orders, showed widely-tracked HSBC purchasing managers' index (PMI). Some manufacturing companies, which are expected to be driver of job creation, cut the work force, albeit marginally. The slowdown is broad-based by sector, with softer increases recorded in the consumer, intermediate and investment goods sub-sectors, a commentary associated with PMI survey said.GDP in 2015-16 to be 8-8.5%; double-digit growth soonFinance Minister Arun Jaitley has said growth in the next financial year will rise to 8-8.5% and clock double-digit level in the subsequent years. Growth in 2015-16 is expected to be between 8-8.5%. Aiming for a double digit rate seems feasible very soon, he said while presenting the Budget for 2015-16 in the Lok Sabha. The Central Statistical Organisation (CSO) has recently revised the base year for calculation of GDP growth to 2011-12. As per this, the economic growth rate in 2013-14 is estimated at 6.9% and for 2014-15 at 7.4%. The government headed by Prime Minister Narendra Modi, which assumed power in May last year, has initiated a slew of economic reforms, including de-regulation of diesel prices, raising FDI caps in several sectors, and direct transfer of LPG subsidy to beneficiaries.Fiscal deficit pegged at 3.9%; to reach 3% by FY18Finance Minister Arun Jaitley has pegged fiscal deficit for 2015-16 at 3.9% of GDP and proposed to lower it to 3% by 2017-18, a year later than planned earlier. Unveiling the roadmap for fiscal consolidation while presenting the Budget 2015-16, he said the 3% fiscal deficit target will now be achieved in three years as against the FRBM target of two years. As per the earlier roadmap fiscal consolidation, the deficit was to come down to 3% by 2016-17. The additional fiscal space will be available for infrastructure funding. As per the new roadmap, fiscal deficit will be 3.9% of GDP in 2015-16, 3.5% in 2016-17 and 3% by 2017-18. As regard the current fiscal, Jaitley said the deficit will be 4.1% as budgeted.Budget raises tax deduction limit to R 4.44 lakhWith fresh incentives for individuals

announced in the Union Budget, the overall deduction limit under personal income tax has gone up to R 4,44,200 a year. In the Budget for 2015-16, Finance Minister Arun Jaitley has proposed raising the tax deduction limit by R 10,000 for payment towards health insurance premium. At the same time, exemption of transport allowance has been doubled to R 19,200 per year. To provide social safety net and the facility of pension to individuals, an additional deduction of R 50,000 is proposed to be provided for contribution to the New Pension Scheme under Section 80CCD. Other deductions namely - deduction under section 80C of R 1.5 lakh while deduction under section 80CCD R 50,000 - have been maintained. Tax deduction on account of interest on house property loan (for self occupied property) has also been kept unchanged at R 2 lakh.Corporate tax to be brought down to 25% over 4 yearsAfter a gap of 10 years, the government announced a cut in corporate tax by 5% to 25% over four years starting April 2016, but tax exemptions and incentives to the industry will be withdrawn. Jaitley, in his first full-year Budget, said the basic rate of corporate tax in India at 30% is higher than the rates prevalent in the other major Asian economies, making domestic industry uncompetitive. Moreover, the effective collection of corporate tax is about 23%. Jaitley said the move will lead to higher level of investment, higher growth and more jobs. In 2005, the then Finance Minister P Chidambaram had reduced the corporate tax to 30% from 35%.GAAR deferred by two yearsIn an move to further improve investment sentiment in the country, Finance Minister Arun Jaitley proposed deferring General Anti-Avoidance Act (GAAR) by two years. Further, it has also been decided that when implemented, GAAR would apply prospectively to investments made on or after April 1, 2017. The government had earlier proposed imposing the GAAR from April 1, 2015, for those claiming tax benefit of over R 3 crore. The rules are aimed at minimising tax avoidance for investments made by entities based in tax havens.FinMin wants PSU banks to consolidate, mergeIn a step towards consolidation, the Government wants banks to consider merger. It has also proposed more transparency in the appointment of independent director on the bank board. The Government wants to encourage Bank Boards to restructure their business strategy and also suggest a way forward for their consolidation and merger with other banks if it is a win-win for both, the Finance Ministry said in a statement discussing reform measures for public sector banks. At present, there are 27 public sector banks including State Bank of India and its associate banks.


NEWS UPDATE

55.6660.8034.1851.7970.3372.0619.2133.0143.6947.6949.8949.7043.5166.1761.2352.6653.7395.5145.5930.9443.3189.0331.9867.1945.0453.1659.7849.1678.7041.5444.4642.0036.8136.4235.1942.5637.4345.5467.2882.7239.1246.1350.07100.9219.21

36.6741.5527.3734.4048.8148.4322.2934.3434.3829.8633.1134.5929.6144.1748.5835.6536.9756.8630.5623.4029.7653.9125.0445.4230.0334.6740.6234.4349.6728.2527.8029.5628.4628.0825.4931.8228.4429.9752.1645.2728.9030.4635.7456.8621.98

22.0825.8719.1822.6832.5831.7315.0821.5923.0618.2525.4223.5220.1329.5231.6122.6223.9435.3218.9414.9619.5831.3615.8328.9820.5723.0525.2423.6831.3019.4117.1719.4518.19

- 16.8822.3519.0919.6632.9131.4120.9820.4223.4235.3214.89

19.1823.3617.9320.20

- 29.1013.9520.7720.8115.6125.9620.3918.8726.6726.4118.7620.98

- 16.4213.7117.7326.3013.8526.6320.9420.3722.7222.2226.5118.2114.8418.0217.52

- 17.3620.6916.6717.7229.1229.1620.7718.2421.1932.3413.71

16.28- - - - -

13.8217.29

- 14.0619.86

- 16.8920.65

- -

18.08- -

12.08-

21.3513.1722.2518.1216.7119.6917.9320.1916.3211.5715.2716.12

- -

17.40-

15.26- - - -

17.1725.4011.53

19.41- - - - -

16.86- -

20.06- -

19.2625.23

- -

22.42- -

15.09- -

16.3326.25

- 19.98

- 20.70

- 19.7713.1719.2718.60

- -

18.65- - - - - -

19.6726.2513.17



Years

Invested Amount :


2014

1

1,20,000

2012

3

3,60,000

2010

5

6,00,000

Returns % - CAGR

2008

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

Axis Long Term Equity Fund - Gr Baroda Pioneer Elss 96 Birla Sun Life Tax Plan - Div Birla Sun Life Tax Relief 96 Fund - Div Birla Sun Life Tax Savings Fund - Gr BNP Paribas Long Term Equity Fund - Gr BOI AXA Tax Advantage Fund - Regular - Growth Canara Robeco Equity Tax Saver Fund - Div DSP BlackRock Tax Saver Fund - Gr DWS Tax Saving Fund - Gr Franklin India Taxshield Gr HDFC Long Term Advantage Fund - Gr HDFC Taxsaver - Div ICICI Prudential Tax Plan - Regular Gr IDFC Tax Advantage (ELSS) Fund - Regular Gr JP Morgan India Tax Advantage Fund - Gr Kotak Tax Saver - Gr L&T Tax Advantage Fund - Gr LIC Nomura Tax Plan Gr Principal Personal Tax Saver Principal Tax Savings Fund Quantum Tax Saving Fund - Gr Plan Reliance Tax Saver Fund - Gr Religare Invesco Tax Plan - Gr Sahara Tax Gain Fund Gr SBI Magnum Tax Gain Fund - Div Sundaram Tax Saver - Div Tata Tax Saving Fund Plan A - Div Taurus Tax Shield - Gr Union KBC Tax Saver Scheme - Gr UTI Equity Tax Saving Plan - Div Average ReturnsMaximum ReturnsMinimum ReturnsS&P BSE SENSEXCNX NIFTY

62.4144.0464.2666.2356.5553.5744.2143.6645.8642.1854.2630.2838.1744.8753.4247.8162.0040.3154.3437.3640.2125.4070.1659.5524.1148.2443.8954.5938.7746.0941.5747.6970.1624.1128.7231.47

45.6731.9439.7640.9333.1737.0531.7230.8935.1331.3736.4929.9133.5436.8736.6131.5933.8030.1034.0029.8335.0526.3048.9939.3227.3135.0429.5034.8926.7032.2128.6734.0148.9926.3024.2024.66

31.4519.9025.7725.3820.6525.7120.1621.1123.4119.5324.8620.5821.5824.7224.6020.5721.1720.1021.4319.2923.5219.2131.5825.9318.6223.3319.3323.2017.40

- 18.8022.4331.5817.4016.3916.68

- 17.1821.7421.7218.9822.12

- 21.0721.3016.3922.9019.9520.9523.76

- -

18.4519.7217.7117.0719.34

- 27.5823.9418.5020.2416.7420.5716.80

- 16.5920.0527.5816.3915.1115.26

- 13.3616.9817.4514.01

- -

19.15- -

19.2416.3517.5718.94

- - - -

13.1014.2514.82

- - -

18.5516.7515.0716.1914.74

- 13.1516.0919.2413.1013.3713.53

- 14.4419.4818.97

- - -

21.26- -

21.4319.5721.7622.41

- - - -

13.4816.4717.17

- - -

20.1822.8219.0518.36

- -

15.0018.8722.8213.4815.5915.41


Starting - MARCH Month of

Years

Invested Amount

Schemes (ELSS)

2014

1

1,20,000

2012

3

3,60,000

2010

5

6,00,000

Returns % - CAGR

2008

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

Reliance Vision Fund Gr Religare Invesco Contra Fund - Gr Religare Invesco Equity Fund - Gr Religare Invesco Growth Fund - Gr Religare Invesco Mid N Small Cap Fund - Gr Religare Invesco Midcap Fund - Gr Sahara Growth Fund Gr Sahara Midcap Fund - Gr Sahara Wealth Plus Fund Variable - Gr SBI Contra Fund - Regular Div SBI Emerging Businesses Fund - Regular Plan - Gr SBI Magnum Blue Chip Fund - Gr SBI Magnum Equity Fund - Div SBI Magnum Global Fund - Div SBI Magnum MidCap Fund - Gr SBI Magnum Multicap Fund - Gr SBI Magnum Multiplier Plus 93 - Div SBI Small & Midcap Fund - Gr Sundaram Equity Multiplier Fund - Gr Sundaram Growth Fund Gr Sundaram Rural India Fund - Gr Sundaram S.M.I.L.E. Fund - Gr Sundaram Select Focus - Gr Sundaram Select MidCap - Gr Tata Dividend Yield Fund - Gr Tata Equity Opportunities Fund - Gr Tata Equity P/E Fund Gr Tata Ethical Fund - Gr Tata Mid Cap Growth Fund - Gr Tata Pure Equity Fund - Gr Taurus Bonanza Fund Gr Taurus Starshare Growth Templeton India Growth Fund Gr Union KBC Equity Fund - Gr UTI Dividend Yield Fund. - Gr UTI Equity Fund - Div UTI Leadership Equity Fund - Gr UTI Master Share - Div UTI Mid Cap Fund - Gr UTI MNC Fund - Gr UTI Opportunities Fund - Gr UTI Top 100 Fund - Gr Average ReturnsMaximum ReturnsMinimum Returns




Axis Equity Fund - Gr Axis MidCap Fund - Gr Baroda Pioneer Growth Fund - Growth Plan Birla Sun Life Advantage Fund Gr Birla Sun Life Dividend Yield Plus - Growth Birla Sun Life Equity Fund - Gr Birla Sun Life Frontline Equity Fund - Gr Birla Sun Life India Opportunities Fund - Gr Birla Sun Life Long Term Advantage Fund - Gr Birla Sun Life Midcap Fund - Gr Birla Sun Life MNC Fund Gr Birla Sun Life Pure Value Fund - Gr Birla Sun Life Small and Midcap Fund - Gr Birla Sun Life Special Situations Fund - Gr Birla Sun Life Top 100 Fund - Gr BNP Paribas Dividend Yield Fund- Gr BNP Paribas Equity Fund - Gr BNP Paribas Midcap Fund - Gr BOI AXA Equity Fund - Regular Plan Gr Canara Robeco Emerging Equities Fund - Gr Canara Robeco Equity Diversified - Gr Canara Robeco F.O.R.C.E. Fund - Regular Gr Canara Robeco Large Cap Plus Fund - Gr DSP BlackRock Equity Fund - Reg. Plan - Div DSP BlackRock Focus 25 Fund - Gr DSP BlackRock Micro Cap Fund - Gr DSP BlackRock Opportunities Fund - Gr DSP BlackRock Small and Mid Cap - Reg Gr DSP BlackRock Top 100 Equity Fund Gr DWS Alpha Equity Fund - Gr DWS Investment Opportunity Fund - Gr Edelweiss Diversified Growth Equity Top 100 Fund - Gr Franklin India Bluechip Fund Gr Franklin India Flexi Cap Fund - Gr Franklin India High Growth Companies Fund - Gr Franklin India Opportunities Fund-Gr Franklin India Prima Fund Gr Franklin India Prima Plus Gr Franklin India Smaller Companies Fund - Gr Goldman Sachs India Equity Fund - Gr HDFC Capital Builder-Gr HDFC Core and Satellite Fund - Gr HDFC Equity Fund - Div HDFC Growth Fund Gr HDFC Large Cap Fund - Gr HDFC Mid Cap Opportunities Fund - Gr HDFC Premier Multi-Cap Fund - Gr HDFC Small and Mid Cap Fund - Gr HDFC Top 200 Fund - Div HSBC Equity Fund - Gr HSBC India Opportunities Fund - Gr ICICI Prudential Dynamic Plan-Cum ICICI Prudential Exports and Other Services Fund - Gr ICICI Prudential Focused Bluechip Equity Fund - Gr ICICI Prudential MidCap Fund - Gr ICICI Prudential Select Large Cap Fund - Retail Gr ICICI Prudential Top 100 Fund - Gr ICICI Prudential Top 200 Fund - Gr ICICI Prudential Value Discovery Fund Gr IDFC Classic Equity Fund - Regular Plan - Gr IDFC Equity Fund - Regular Plan - Gr IDFC Imperial Equity Fund - Regular Plan - Gr IDFC Premier Equity Fund - Regular Plan - Gr IDFC Sterling Equity Fund - Regular Gr Indiabulls Blue Chip Fund - Gr JP Morgan India Equity Fund - Gr JP Morgan India Mid and Small Cap Fund - Gr Kotak 50 Equity Scheme Div Kotak Classic Equity Fund - Gr Kotak Emerging Equity Scheme - Gr Kotak Midcap - Gr Kotak Opportunities Fund - Gr Kotak Select Focus Fund - Gr L&T Equity Fund - Gr L&T India Large Cap Fund - Gr L&T India Special Situations Fund - Gr L&T India Value Fund - Gr L&T Midcap Fund - Cum Mirae Asset Emerging Bluechip Fund - Gr Mirae Asset India Opportunities Fund - Gr Pramerica Large Cap Equity Fund - Gr Principal Dividend Yield Fund - Gr Principal Emerging Bluechip Fund - Gr Principal Growth Fund Gr Principal Large Cap Fund - Gr Quantum Long Term Equity Fund - Gr Reliance Equity Opportunities Fund - Gr Reliance Focused Large Cap Fund - Gr Reliance Growth Fund Gr Reliance Mid & Small Cap Fund - Gr Reliance Quant Plus Fund - Gr Reliance Regular Savings Fund Equity Plan - Gr Reliance Small Cap Fund - Gr Reliance Top 200 Fund - Gr

140,411152,271145,523152,372144,571147,588145,478149,738147,937155,300174,499148,439153,309150,659144,612147,908148,228153,544141,633163,390142,890151,969140,590147,488150,950163,904145,312154,834141,817145,671142,420145,471141,857149,180160,585153,899159,010150,934158,749153,548143,929137,370139,111137,921135,516151,310141,137141,656138,463139,085147,239139,178149,167142,621157,160141,158140,004143,541154,547141,777137,943139,690153,770153,886139,626146,785162,284144,824142,664163,037156,116149,868151,643147,808146,761147,904155,732158,031157,927146,309139,099135,598157,910143,179141,405134,055150,338143,284151,140157,137137,960148,570158,073149,540

546,735658,417552,333624,682550,230610,587575,418645,905597,340629,437719,159690,561632,501602,660580,032577,346580,373655,886538,272732,193539,183576,063520,935570,525573,585738,542564,974644,661524,792558,561537,308550,518524,895601,062689,470605,080689,747598,174740,221

- 579,040536,636562,816512,644492,950655,641549,470556,487542,350516,250596,391551,970679,075552,383703,560543,980547,445568,733674,414514,085509,745505,832629,736601,551499,240559,553710,155543,315539,462679,406632,715576,665607,046574,053558,993582,664659,769683,373708,276592,424500,050505,485686,627584,574545,495519,003608,846555,969589,523676,269509,909575,125756,000593,035

999,202-

943,9171,094,477977,150

1,084,1421,054,7451,163,9721,076,3751,109,8971,390,0951,252,9731,122,5271,042,4091,070,9961,061,3831,078,1361,265,444945,230

1,375,695984,689

1,057,796-

1,006,870-

1,339,729997,874

1,157,354938,602978,723928,009

1,011,037942,382

1,084,6721,276,1051,066,3471,293,1741,095,9021,405,588

- 1,046,067910,232

1,003,543907,223867,120

1,243,879936,479989,320970,316900,830

1,076,2051,011,9471,299,5621,019,6451,244,975981,840

1,012,3921,021,2481,271,820904,248912,071875,069

1,183,7481,107,056

- 998,395

1,321,824965,064975,545

1,226,6001,143,0191,030,0361,106,2691,026,700996,565

1,073,1831,201,6311,224,719

- 1,096,112

- 895,565

1,257,6941,059,693971,113958,587

1,147,787983,764

1,030,3711,214,556907,956

1,014,447-

1,078,228

- -

1,489,3561,750,0381,736,1931,756,3101,782,5581,926,2201,792,2921,888,6762,623,161

- 1,931,3851,626,7301,776,7731,849,9031,725,3362,183,863

- 2,509,1391,713,089

- -

1,686,832-

2,519,1691,656,3102,095,7271,539,0241,531,7161,445,097

- 1,587,4801,839,8552,173,5461,679,0592,275,7681,838,9422,471,716

- 1,809,0971,544,5021,770,1391,516,4471,388,1892,304,7111,569,506

- 1,659,5651,399,9441,706,3071,727,7192,160,101

- 2,062,788

- 1,667,3531,682,7672,420,2591,407,3011,455,3151,384,3132,170,4432,041,878

- 1,636,0742,268,1591,539,5601,599,4712,018,9751,949,3871,678,525

- 1,745,5801,697,1111,826,561

- 2,101,124

- - -

1,480,428-

1,661,7061,639,3901,707,5142,132,4101,472,2001,701,2312,032,512

- 1,698,475

- 1,747,747

- -

2,600,0132,785,3533,068,1892,986,6913,292,8822,863,333

- 3,305,2824,578,727

- - - - -

2,844,201- - -

3,037,598- -

3,115,189- -

2,856,768-

2,859,1662,660,7612,531,752

- 2,824,1173,190,733

- 2,721,4793,608,5683,306,867

- -

3,114,7372,570,1553,239,2752,761,3952,177,132

- - -

3,100,6692,378,7452,802,7513,164,575

- -

3,212,705-

2,882,2452,825,1664,268,278

- - - - - - - -

2,677,040- -

3,056,5272,964,562

- - - - -

3,451,559- - -

2,334,664-

2,495,913- - - -

3,066,000- - - - -

- - -

4,531,6495,047,9955,608,5455,787,4334,277,525

- 6,098,5277,623,181

- - - - - - - - - - - -

5,964,450- -

5,146,624-

5,151,8314,583,8083,909,554

- 4,942,786

- -

4,664,3106,329,8645,939,821

- -

5,686,599-

6,015,8044,964,2503,390,911

- - -

5,772,9644,240,323

- 5,919,996

- - - -

4,895,4214,903,026

- - - - - - - - -

4,782,757- - - - - - - - - - - - - - -

3,920,511- - - -

6,403,677- - - - -


Years

Invested Amount


2014

1

1,20,000

2012

3

3,60,000

2010

5

6,00,000

Investment Value e

2008

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

SIP VALUE AS ON 28TH FEBRUARY 2015 NEWS UPDATEhave agreed, in the biggest change to monetary policy since opening up India's economy more than two decades ago, to introduce inflation targeting to rein in a long history of volatile price rises. In a document dated Feb 20 but published on the ministry website, the two sides set a consumer inflation target of 4%, with a band of plus or minus 2 percentage points, by the financial year ending in March 2017. The Reserve Bank of India (RBI) will first aim to have consumer inflation fall below 6% by January 2016. The changes bring closer to reality a goal pursued relentlessly by RBI Governor Raghuram Rajan, who has said the inflation targeting, more commonly seen in developed economies, was also vital in India.Manufacturing PMI dips to 5-month low in FebruaryGrowth in the country's manufacturing activities fell to a five-month low in February because of subdued output and new orders, showed widely-tracked HSBC purchasing managers' index (PMI). Some manufacturing companies, which are expected to be driver of job creation, cut the work force, albeit marginally. The slowdown is broad-based by sector, with softer increases recorded in the consumer, intermediate and investment goods sub-sectors, a commentary associated with PMI survey said.GDP in 2015-16 to be 8-8.5%; double-digit growth soonFinance Minister Arun Jaitley has said growth in the next financial year will rise to 8-8.5% and clock double-digit level in the subsequent years. Growth in 2015-16 is expected to be between 8-8.5%. Aiming for a double digit rate seems feasible very soon, he said while presenting the Budget for 2015-16 in the Lok Sabha. The Central Statistical Organisation (CSO) has recently revised the base year for calculation of GDP growth to 2011-12. As per this, the economic growth rate in 2013-14 is estimated at 6.9% and for 2014-15 at 7.4%. The government headed by Prime Minister Narendra Modi, which assumed power in May last year, has initiated a slew of economic reforms, including de-regulation of diesel prices, raising FDI caps in several sectors, and direct transfer of LPG subsidy to beneficiaries.Fiscal deficit pegged at 3.9%; to reach 3% by FY18Finance Minister Arun Jaitley has pegged fiscal deficit for 2015-16 at 3.9% of GDP and proposed to lower it to 3% by 2017-18, a year later than planned earlier. Unveiling the roadmap for fiscal consolidation while presenting the Budget 2015-16, he said the 3% fiscal deficit target will now be achieved in three years as against the FRBM target of two years. As per the earlier roadmap fiscal consolidation, the deficit was to come down to 3% by 2016-17. The additional fiscal space will be available for infrastructure funding. As per the new roadmap, fiscal deficit will be 3.9% of GDP in 2015-16, 3.5% in 2016-17 and 3% by 2017-18. As regard the current fiscal, Jaitley said the deficit will be 4.1% as budgeted.Budget raises tax deduction limit to R 4.44 lakhWith fresh incentives for individuals



Reliance Vision Fund Gr Religare Invesco Contra Fund - Gr Religare Invesco Equity Fund - Gr Religare Invesco Growth Fund - Gr Religare Invesco Mid N Small Cap Fund - Gr Religare Invesco Midcap Fund - Gr Sahara Growth Fund Gr Sahara Midcap Fund - Gr Sahara Wealth Plus Fund Variable - Gr SBI Contra Fund - Regular Div SBI Emerging Businesses Fund - Regular Plan - Gr SBI Magnum Blue Chip Fund - Gr SBI Magnum Equity Fund - Div SBI Magnum Global Fund - Div SBI Magnum MidCap Fund - Gr SBI Magnum Multicap Fund - Gr SBI Magnum Multiplier Plus 93 - Div SBI Small & Midcap Fund - Gr Sundaram Equity Multiplier Fund - Gr Sundaram Growth Fund Gr Sundaram Rural India Fund - Gr Sundaram S.M.I.L.E. Fund - Gr Sundaram Select Focus - Gr Sundaram Select MidCap - Gr Tata Dividend Yield Fund - Gr Tata Equity Opportunities Fund - Gr Tata Equity P/E Fund Gr Tata Ethical Fund - Gr Tata Mid Cap Growth Fund - Gr Tata Pure Equity Fund - Gr Taurus Bonanza Fund Gr Taurus Starshare Growth Templeton India Growth Fund Gr Union KBC Equity Fund - Gr UTI Dividend Yield Fund. - Gr UTI Equity Fund - Div UTI Leadership Equity Fund - Gr UTI Master Share - Div UTI Mid Cap Fund - Gr UTI MNC Fund - Gr UTI Opportunities Fund - Gr UTI Top 100 Fund - Gr Average AmountMaximum AmountMinimum Amount

151,455154,163139,819149,392159,118160,008131,365139,169145,036147,197148,376148,276144,935156,967154,386149,859150,426171,832146,064138,013144,825168,612138,595157,497145,765150,126153,627147,989163,404143,863145,450144,117141,269141,057140,378144,420141,610146,037157,539165,442142,541146,357148,358174,499131,365

597,890635,739529,899580,811695,035691,821495,035580,336580,649547,567571,198582,225545,746656,747693,117590,124600,157764,833552,596502,501546,865738,748513,702666,926548,785582,817628,407580,998702,223536,082532,895545,402537,563534,864516,807561,744537,443548,383723,562665,719540,707551,867593,193764,833492,950

1,031,3391,128,648961,980

1,046,0631,320,7621,294,843871,143

1,019,2541,055,730940,733

1,116,5371,067,381984,256

1,229,8811,291,2371,044,5781,078,1181,407,114956,507868,566971,356

1,283,753887,013

1,214,232994,737

1,055,3561,111,7121,071,3081,281,960967,254916,325968,322939,369

- 910,025

1,037,915959,970973,157

1,330,8941,285,2981,004,592991,129

1,072,0181,407,114867,120

1,654,3941,917,1021,583,1561,715,267

- 2,343,6781,375,2311,750,0891,752,5501,458,0242,100,1101,726,6361,636,3192,153,1742,133,7801,629,8001,762,936

- 1,500,4991,363,3641,571,5452,125,0231,370,3272,149,8171,760,2321,725,3781,874,4571,841,5372,140,8341,598,7781,418,8401,588,2571,560,279

- 1,551,6571,744,8801,514,1121,571,4032,345,5982,348,9681,749,9351,600,5581,797,2552,623,1611,363,364

2,804,835- - - - -

2,458,7702,960,702

- 2,491,2603,398,096

- 2,896,6973,546,234

- -

3,088,120- -

2,242,429-

3,681,8372,375,4453,865,0403,095,8132,869,3733,367,7423,063,2053,458,2042,810,6842,181,9902,656,8962,780,811

- -

2,977,463-

2,655,641- - - -

2,973,1604,578,7272,177,132

5,018,691- - - - -

4,232,607- -

5,244,225- -

4,969,2067,423,845

- -

6,141,858- -

3,764,352- -

4,087,8607,952,508

- 5,216,408

- 5,473,891

- 5,140,6353,316,6654,972,5464,755,470

- -

4,769,399- - - - - -

5,204,1897,952,5083,316,665

SIP VALUE AS ON 28TH FEBRUARY 2015


Years

Invested Amount


2014

1

1,20,000

2012

3

3,60,000

2010

5

6,00,000

Investment Value e

2008

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

Axis Long Term Equity Fund - Gr Baroda Pioneer Elss 96 Birla Sun Life Tax Plan - Div Birla Sun Life Tax Relief 96 Fund - Div Birla Sun Life Tax Savings Fund - Gr BNP Paribas Long Term Equity Fund - Gr BOI AXA Tax Advantage Fund - Regular - Growth Canara Robeco Equity Tax Saver Fund - Div DSP BlackRock Tax Saver Fund - Gr DWS Tax Saving Fund - Gr Franklin India Taxshield Gr HDFC Long Term Advantage Fund - Gr HDFC Taxsaver - Div ICICI Prudential Tax Plan - Regular Gr IDFC Tax Advantage (ELSS) Fund - Regular Gr JP Morgan India Tax Advantage Fund - Gr Kotak Tax Saver - Gr L&T Tax Advantage Fund - Gr LIC Nomura Tax Plan Gr Principal Personal Tax Saver Principal Tax Savings Fund Quantum Tax Saving Fund - Gr Plan Reliance Tax Saver Fund - Gr Religare Invesco Tax Plan - Gr Sahara Tax Gain Fund Gr SBI Magnum Tax Gain Fund - Div Sundaram Tax Saver - Div Tata Tax Saving Fund Plan A - Div Taurus Tax Shield - Gr Union KBC Tax Saver Scheme - Gr UTI Equity Tax Saving Plan - Div Average AmountMaximum AmountMinimum AmountS&P BSE SENSEXCNX NIFTY

155,007145,225155,970156,998151,925150,341145,316145,015146,207144,211150,711137,646142,019145,676150,263147,261154,792143,195150,750141,572143,139134,896159,031153,504134,165147,493145,141150,883142,349146,331143,880147,126159,031134,165136,770138,307

668,927562,645621,715630,856571,634600,781560,999554,962586,275558,447596,501547,922574,412599,431597,413560,091576,327549,305577,818547,339585,617522,428696,497618,287529,478585,609545,020584,466525,176564,584539,065578,711696,497522,428507,960511,107

1,286,584978,663

1,125,9681,115,521996,459

1,124,162984,903

1,007,6271,064,427970,166

1,101,904994,862

1,019,0231,098,2341,095,083994,681

1,009,067983,566

1,015,453964,407

1,067,225962,572

1,290,5461,130,031948,974

1,062,502965,443

1,059,237921,509

- 953,113

1,043,0641,290,546921,509899,215905,610

- 1,541,4431,810,8521,809,4521,642,9611,835,433

- 1,768,4801,782,9061,499,2201,886,1441,699,9781,761,2231,944,447

- -

1,612,2331,686,2051,570,5951,535,4541,663,924

- 2,223,0451,956,5421,615,2461,717,5831,517,7821,737,7971,521,093

- 1,509,5061,713,9822,223,0451,499,2201,432,6571,440,479

- 2,400,2112,912,0112,986,1432,484,640

- -

3,271,717- -

3,287,4322,815,3253,005,5443,234,588

- - - -

2,367,1922,516,7812,594,511

- - -

3,166,8132,875,6442,628,8352,791,2022,583,112

- 2,373,6542,794,1863,287,4322,367,1922,401,3772,421,643

- 3,604,4525,044,0014,875,154

- - -

5,683,280- -

5,748,5855,073,5895,876,7416,138,738

- - - -

3,384,8934,125,2154,321,587

- - -

5,284,8756,310,0784,901,0794,680,203

- -

3,740,2404,924,5446,310,0783,384,8933,891,7483,845,320

SIP VALUE AS ON 28TH FEBRUARY 2015


Years

Invested Amount

Schemes (ELSS)

2014

1

1,20,000

2010

3

3,60,000

2008

5

6,00,000

Investment Value e

2006

7

8,40,000

2005

10

12,00,000

2003

12

14,40,000

NEWS UPDATE

DISCLAIMER: We have taken due care and caution in compilation of this booklet. The information has been obtained formvarious reliable sources. However it does not guarantee the accuracy, adequacy or completeness of any information and are not responsible for any errors or omissions of the results obtained from the use of such information. Investors shold seek proper financial advise regarding the appropriateness of investing in any of the schemes stated, discussed or recommended in this newsletter and should realise that thestatements regarding future prospects may or may not realise. Mutual fund investments are subject to market risks. Please read the offer document carefully before investing. Past performance is for indicative purpose only and is not necessarily a guide to the future performance.



rajesh bhutra : newsletter for march 2015 ( union budget 2015 review)

Investor Relations

Transcript of rajesh bhutra : newsletter for march 2015 ( union budget 2015 review)