Market Recap – Weekly Update (October 21, 2023)

by Kevin Jose

October 22, 2023

Market Recap: Weekly Update

(October 21, 2023)

YTD refers the Returns from January 1, 2023 till October 20, 2023

	Weekly Change	YTD
Nifty 19,542.65	-0.9%	INR 7.54% USD 7.5%
Sensex 65,397.62	-1.18%	INR 7.49% USD 7.03%
Bank Nifty 43,723.05	-0.94%	INR 1.71% USD 1.28%
NASDAQ 100 14,560.88	-3.28%	34.05%
S&P 500 4,327.78	-2.72%	10.46%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	21.7	901.4
Nifty Bank	15.5	2813.6
Nifty Financial Services	17.7	1110.2
Nifty IT	26	1209
Nifty Auto	26	634.5
Nifty FMCG	42.8	1210.3
Nifty Healthcare	36	264.5
Nifty Pharma	31.9	473.7
Nifty Consumer Durables	62.7	457.4

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.24	-0.13%
EUR/INR	88.27	-0.65%
EUR/USD	1.0593	0.8%
Brent Crude	92.43	1.54%
Gold (USD/OZ)	1977.75	2.32%
Gold (INR/10G) 24 caret	62,515 Delhi	3.9%

FII and DII Weekly Trading Data

FII

Gross Purchases	49,040.47
Gross Sales	51,839.55
Net Purchases / Sales	2799.08

DII

Gross Purchases	35,517.10
Gross Sales	32,006.13
Net Purchases / Sales	3,510.97

Key Market Updates

Nifty 50, Top gainers -Bajaj Auto (7.49%), Tata Motors (4.12%), Hero MotorCorp (3.98%), Cipla (3.65%), IndusInd Bank (3.15%).
ITC Q2 Results: Net profit rises 10% to Rs 4,927 cr, revenue rises 3% to Rs 17,160 cr.
Paytm Q2 Results: Net loss shrinks to ₹291 crore, revenue up 32% to ₹2,519 crore.
Avenue Supermarts revenue increased 18.66% year-on-year to Rs 12,624.37 crore, net profit slips 9.09% to Rs 623.35 cr.
JSW Energy Q2 results: Net profit rises 83% YoY to ₹850 crore, reports highest ever quarterly EBITDA, revenue at 3387cr.
Bandhan Bank Q2 Results: Net profit up 244% YoY at Rs 721 crore, Provisions higher QoQ, NPAs worsen.
ICICI Bank Q2 results: Net profit rises 35.8% YoY at ₹10,261 crore, NII increase by 23.8% at ₹18,308 crore.
Yes Bank Q2FY24 results: Net profit up 47.4% YoY to ₹225 crore, NIM dips.
Kotak Mahindra Bank Q2 results: Total income rise 36% to Rs 13,507.40 cr, PAT surges by 24%.
IDBI Bank Q2 results: Net profit jumps 60% to Rs 1,323 cr on declining NPAs.
CG Power Standalone September 2023 Net Sales at Rs 1,900.14 crore, up 19.65% Y-o-Y.
Glenmark Life Sciences Q2 results: Net profit rises over 11% to Rs 119 crore.
RBL Bank Q2 results: Net profit rises 46% YoY to ₹294 crore, net interest income up by 26%.
Central Bank of India Q2 result: Net profit rises 90% YoY to ₹605 crore on strong NII, net NPA down to 1.64%.

Startup, M&A Deals

Zetwerk Raises $120 Mn From Avenir, Lightspeed.
Wealth and asset management startup Neo bags $35 million in funding from Peak XV Partners
Bajaj Finance acquires 26% stake in Pennant Technologies for ₹267.50 crore.
Faering Capital invests $30 million in Vastu Housing Finance.
Indian space start-up Agnikul raises additional $27 million to launch its first rocket.
Binny Bansal-Backed VideoVerse Acquires AI-Powered Graphics Engine Optikka.

Checkout the last week’s Market trends here: Market Recap (October 14, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik


Read Market Recap – Weekly Update (October 28, 2023)

Economy & Market, Insights

Market Recap – Weekly Update (October 14, 2023)

by Kevin Jose

October 15, 2023

Market Recap: Weekly Update

(October 14, 2023)

YTD refers the Returns from January 1, 2023 till October 13, 2023

	Weekly Change	YTD
Nifty 19,751.05	1.25%	INR -9.09% USD - 8.3%
Sensex 66,282.74	0.86%	INR - 8.94% USD - 8.18%
Bank Nifty 44,287.95	1.03%	INR - 3.03% USD - 2.31%
NASDAQ 100 14,995.12	0.83%	38.04%
S&P 500 4,327.78	0.9%	13.17%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	22.3	884.5
Nifty Bank	16.3	2720.4
Nifty Financial Services	18.5	1073.5
Nifty IT	26.6	1194.4
Nifty Auto	26	631.8
Nifty FMCG	43.4	1210.2
Nifty Healthcare	36.4	264.5
Nifty Pharma	32.2	473.7
Nifty Consumer Durables	63.8	457.3

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.12	-0.29%
EUR/INR	88.12	0.9%
EUR/USD	1.06	1.15%
Brent Crude	84.40	-8.73%
Gold (USD/OZ)	1831.66	-0.92%
Gold (INR/10G) 24 caret	59,300 Delhi	-2.24%

FII and DII Weekly Trading Data

FII

Gross Purchases	46,360.99
Gross Sales	48,560.98
Net Purchases / Sales	48,560.98

DII

Gross Purchases	33,759.45
Gross Sales	29,821.79
Net Purchases / Sales	3,937.66

Key Market Updates

Nifty 50, Top gainers -Tata Motors Ltd. (7.17%), Coal India (7%), Tata Consumer Products Ltd. (4.41%), Grasim Industries (4.17%), Maruti Suzuki (4.13%).
HDFC Life Reports 15% Profit Growth in Q2 FY24.
TCS Q2 Results: Net profit rises 8.7% on year to ₹11,342 crore.
HCL Tech Q2 Results: Net profit rises 9.8% to ₹3,832 crore, revenue up 8% YoY
Infosys Q2 net profit jumps 3% to Rs 6,212 crore; firm declares dividend of Rs 18 per share.
HDFC AMC Q2 results: Net profit rises 20%, revenue grows 18%
Gold roars above $1,900 as Middle East tensions deepen.

Startup, M&A Deals

Zolve raises $100M in warehouse financing from Community Investment Management.
InsuranceDekho raises $60 million led by Beams Fintech Fund.
Insurtech startup Onsurity raises $24 million led by IFC.
Krutrim SI Designs has received $24 million debt from Matrix Partners.
Virbac acquires Globion, an Indian specialist in poultry vaccines.
Birla Carbon completes acquisition of Nanocyl, to drive growth in battery materials.

Checkout the last week’s Market trends here: Market Recap (October 7, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik

Read Market Recap – Weekly Update (October 21, 2023)

Economy & Market, Insights

India’s Premium Hotel Industry: Essential Factors to Consider

by Kevin Jose

October 15, 2023

Introduction:

The Indian luxury hotel sector has undergone significant transformation in recent years, influenced by evolving trends in tourism and travel. The Indian hospitality industry faced a severe setback during 2020 and 2021 due to the COVID-19 pandemic. However, business is rebounding, with occupancy rates returning to pre-pandemic levels after a two-year slowdown.

The Indian hotel market is poised for significant growth, projected to reach $47.50 billion by 2030 with a compound annual growth rate of 12.50%. Notably, the Indian hotel industry sets itself apart through factors such as facing intense competition, navigating ever-shifting demand patterns, and requiring substantial capital investment.

In this article, we will explore the key factors that influence the business performance of hotels in India. We will also look at the essential parameters for investors to consider before investing in this industry.

Some of the players in the luxury Hotels or hospitality industry are as follows:

Now, the following are some of the KPI’s that needs to be considered before investing in this industry.

Occupancy Rate

Measures the number of occupied rooms divided by the total available rooms. A higher occupancy rate is desirable.

Average Daily Rate (ADR)

A measure of the average rental revenue per occupied room. ADR is significant in hotels because it is a direct measure of the hotel’s ability to generate revenue from its rooms. A higher ADR means that the hotel is able to charge more for its rooms, which can lead to increased profits.

Revenue per available room (RevPAR):

Revenue per Available Room (RevPAR) is a more comprehensive metric for measuring a hotel’s performance than Average Daily Rate (ADR) because it takes into account both occupancy rate and ADR. RevPAR is calculated by multiplying ADR by occupancy rate. It is a better measure of a hotel’s overall performance because it takes into account both the price of rooms and the number of rooms that are occupied. A hotel can increase its RevPAR by either increasing its ADR, increasing its occupancy rate, or both.

Other Key Parameters to consider:

EBITDA Margins: EBITDA margins measure a hotel’s profitability before interest, taxes, depreciation, and amortization. They are a key indicator of financial health and attractiveness to investors.

Return on Capital Employed (ROCE): A measure of how efficiently hotel companies use capital. A company with a high ROCE is generating a good return on its investment and is using its capital efficiently.

Net Debt to Equity Ratio: NDER is a particularly important metric for hotels because they are capital-intensive businesses that require a lot of upfront investment in property and equipment. Hotels with low NDERs are better able to withstand economic downturns.

Parent Company Support: Strong backing from a well-established and financially strong promoter group provides stability and additional resources.

Risk Management: Investors must understand how companies handle debt, project risks (such as time and cost overruns), and concentration risk (related to guest profiles, geography, and revenue sources).

Profit Calculation: Profits of the company must be assessed properly. It’s vital to differentiate core earnings from revenue generated through management contracts and property sales.

Valuation

The most common used metric for this industry is Enterprise Value/EBITDA. This ratio is used taking into account the capital intensive nature and long gestation period of the hotel industry. Here Enterprise Value = (Market Cap + Debt – Cash). EBITDA is the earning of the company before Interest, Tax, Depreciation, Amortization. The thumb rule is that a company with lower EV/EBITDA is more attractive.

Conclusion:

With COVID issues already resolved and tourism picking up, the Indian luxury hotel sector anticipates significant growth. However, investors should remain aware of the risks, including economic downturns, competition from other hotels, and the necessity for substantial capital investment. Before investing in this sector, investors should carefully consider their risk tolerance and investment goals.

Read About Investment avenues for residents and NRIs in Gift City

Economy & Market, Insights

Market Recap – Weekly Update (October 7, 2023)

by Kevin Jose

October 8, 2023

Market Recap: Weekly Update

(October 7, 2023)

YTD refers the Returns from January 1, 2023 till October 6, 2023

	Weekly Change	YTD
Nifty 19,653.50	0.45%	INR - 8.55% USD - 8.2%
Sensex 65,995.63	0.48%	INR - 8.47% USD - 8.1%
Bank Nifty 44,360.60	-0.08%	INR - 3.2% USD - 2.83%
NASDAQ 100 14,973.24	1.73%	37.8%
S&P 500 4,308.5	0.56%	12.67%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	22.2	884.1
Nifty Bank	16.3	2720.2
Nifty Financial Services	18.5	1073.6
Nifty IT	27.2	1188.6
Nifty Auto	25.3	631.8
Nifty FMCG	42.6	1210.2
Nifty Healthcare	36	264.4
Nifty Pharma	31.9	473.8
Nifty Consumer Durables	64.2	457.3

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.12	-0.29%
EUR/INR	88.12	0.9%
EUR/USD	1.06	1.15%
Brent Crude	84.40	-8.73%
Gold (USD/OZ)	1831.66	-0.92%
Gold (INR/10G) 24 caret	59,300 Delhi	-2.24%

FII and DII Weekly Trading Data

FII

Gross Purchases	36,594.65
Gross Sales	45,007.30
Net Purchases / Sales	8,412.65

DII

Gross Purchases	34,211.24
Gross Sales	29,776.07
Net Purchases / Sales	4,435.17

Key Market Updates

RBI keeps the repo rate unchanged at 6.5%.
Nifty 50, Top gainers – Bajaj Finserv (6.13%), Titan Company(5.11%), Bajaj Finance Ltd.(4.58%), Infosys (3.01%), Adani Enterprises Lt (2.66%)
India’s forex reserves drop $3.7 bn to $586.9 bn in 4th straight weekly decline.
Oil prices recorded the worst weekly fall since March on demand fears. Russia lifts ban on diesel exports.
India, Japan launch $600 million fund for low carbon emission projects. (NIIF and JBIC).
Gold fragile on lofty US dollar and yields; palladium at 5-year low.

Startup, M&A Deals

House of Brands firm Mensa Brands secured $40 million from EvolutionX Debt Capital, a leading debt financing platform for growth-stage companies.
Bizongo, a B2B e-commerce startup, raised $50 million from Schroder Adveq, IFC, Corp, Chiratae Ventures, B Capital, and British International Investment.
Bolt.Earth, an EV infrastructure and software startup, raised $20 million from Union Square Ventures, Prime Venture Partners, and ITIGO Funds.
IQuest Enterprises acquires Viatris’ Indian API operations.
Fintech unicorn Slice merges with North East Small Finance Bank.

Checkout the last week’s Market trends here: Market Recap (September 30, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik

Economy & Market, Insights

Market Recap – Weekly Update (September 30, 2023)

by Kevin Jose

September 30, 2023

Market Recap: Weekly Update

(September 30, 2023)

YTD refers the Returns from January 1, 2023 till September 29, 2023

	Weekly Change	YTD
Nifty 19,638.30	-0.08%	INR - 8.47% USD - 8%
Sensex 65,828.41	-0.32%	INR - 8.2% USD - 7.75%
Bank Nifty 44,584.55	-0.06%	INR - 3.72% USD - 3.29%
NASDAQ 100 14,715.24	0.36%	35.47%
S&P 500 4,288.05	-0.52%	12.13%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	22.2	884.2
Nifty Bank	16.4	2720.2
Nifty Financial Services	18.5	1073.2
Nifty IT	26.7	1188.6
Nifty Auto	25.6	632
Nifty FMCG	42.6	1210.2
Nifty Healthcare	36.8	264.5
Nifty Pharma	32.6	473.8
Nifty Consumer Durables	63.3	457.3

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.18	0.1%
EUR/INR	88.06	-0.47%
EUR/USD	1.057	-0.64%
Brent Crude	92.13	-0.12%
Gold (USD/OZ)	1,848.76	-3.99%
Gold (INR/10G) 24 caret	59,635 Delhi	-2.08%

FII and DII Weekly Trading Data

FII

Gross Purchases	47,606.37
Gross Sales	56,037.14
Net Purchases / Sales	8430.77

DII

Gross Purchases	48,450.83
Gross Sales	40,307.55
Net Purchases / Sales	8,143.28

Key Market Updates

Nifty 50 Top Gainers: Bajaj Finance (4.55%), Coal India (4.18%), ONGC (3.65%), Larson & Toubro (3.6%), NTPC (3.19%).
6 Of Top 10 Nifty Losers This Week Are IT Stocks (Tech Mah, Infy, LTIM, Wipro, HCL)
10, 30-year US Treasury yields end at fresh highs(4.558%, 4.695%) since 2007, 2011.
Gold price hits two month low on soaring US dollar rates.
The Indian government increased windfall tax on petroleum crude, while reduced it on aviation turbine fuel and diesel.
India’s fiscal deficit hits 36% of full-year target in first five months of 2023-24.

Startup, M&A Deals

Healthtech startup Doceree raised $35 million from Creaegis, Eight Roads Ventures, and F-Prime Capital.
D2C brand Pilgrim raised $20 million from Vertex Ventures Southeast Asia and India, Fireside Ventures, and Narotam Sekhsaria Family Office.
Speciality brand Third Wave Coffee raised $35 million in a Series C funding round led by Creaegis with participation from existing investors.
Saregama acquires majority stake in Pocket Aces, a digital entertainment company for $20 million.
Apollo Hospitals acquires 325-bed Future Oncology in Kolkata for $12.2 million.

Checkout the last week’s Market trends here: Market Recap (September 23, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik

Financial Products, Insights

Investment avenues for residents and NRIs in Gift City

by Kevin Jose

September 30, 2023

Title Cover Image Source: Wikipedia

GIFT City is a special economic zone (SEZ) with multiple services. It houses India’s first International Financial Services Centre (IFSC) and a Domestic Tariff Area (DTA). It also includes a residential zone for people to enjoy a high-quality lifestyle.

Currently, GIFT City is under development. The focus is on creating excellent infrastructure and sustainable planning. The IFSC aims to compete with global financial centers like London, Shanghai, New York, Hong Kong, Singapore, and Dubai.

The Indian government recognizes GIFT City as a model Smart City among the upcoming 100 smart cities. This recognition positions it as a future financial hub, offering numerous benefits to businesses and investors.

Major exchanges in GIFT City:

India INX:

The first international exchange in India, the India International Exchange (India INX), was inaugurated by Prime Minister Shri Narendra Modi in January 2017. India INX offers a wide range of financial products for trading, including equities, derivatives, debt securities, and currencies.

Image Source: IndNIX

NSE IFSC:

Launched in July 2020, the NSE IFSC serves as a subsidiary of the National Stock Exchange of India (NSE) and provides trading opportunities in a wide range of financial products.

Source: NSEIX Presentation

Direct Stock Investing

Investors can buy foreign shares directly through the BSE IFSC (India INX) using the direct share buying facilitator route, while the NSE IFSC employs the depositary receipt (DR) route.
BSE IFSC enables investors to purchase foreign shares directly from over 130 stock exchanges in more than 31 countries. In contrast, NSE IFSC currently offers US stock investing options exclusively.
An Indian demat account (opened separately with an IFSC broker) will hold NSE US stock DRs, while a foreign custodian or broker will hold BSE IFSC stocks.

Taxation on US Stocks:

Tax from dividends: Flat 25%
Long-term capital gains (>24 months) are taxable at 20% plus applicable surcharge and fees.
STCG are taxed as per applicable income tax slab rates.

NSE IX International Exchange – Debt Securities Market

Interest on Long Term Bonds and Rupee Denominated Bonds listed only on a recognised stock exchange in IFSC has lower rate of 9% withholding tax on interest paid on debt securities. This makes debt investments attractive in IFSC.

AIFs

A privately pooled fund, known as an AIF, combines capital from multiple investors to make investments that ultimately benefit those investors. NRIs can invest in AIFs listed in the IFSC and enjoy various tax benefits.

The Central Board of Direct Taxes has clarified that non-resident investors will not face taxation on income generated from offshore investments channeled through an Alternate Investment Fund established within an International Financial Services Centre. Foreign investors are exempt from the requirement of obtaining a PAN (Permanent Account Number) and filing Tax Returns.

Any income in the hands of the non-resident investor from off-shore investments routed through the Category I or Category II are not taxed in India. But Category III AIFs are subject to fund level taxation.

The IFSCA currently has approximately 63 AIFs, and some of them are displayed above.

Conclusion:

GIFT City, provides investors with cost advantages, including lower management and operational costs, making it an attractive option compared to hubs like Mauritius, Singapore, Dubai etc. GIFT City is a rapidly developing financial hub that offers a variety of investment opportunities for residents and NRIs alike. With its world-class infrastructure, tax benefits, and wide range of financial products, GIFT City is well-positioned to become a major player in the global financial landscape.

To know more about investing in the Gift city, register your details below:

Economy & Market, Insights

Market Recap – Weekly Update (September 23, 2023)

by Kevin Jose

September 24, 2023

Market Recap: Weekly Update

(September 23, 2023)

YTD refers the Returns from January 1, 2023 till September 22, 2023

	Weekly Change	YTD
Nifty 19,674.25	-2.4%	INR - 8.67% USD - 8.3%
Sensex 66,009.15	-2.44%	INR - 8.49% USD - 8.16%
Bank Nifty 44,612.05	-3.26%	INR - 3.78% USD - 3.46%
NASDAQ 100 14,701.10	-3.03%	35.34%
S&P 500 4,320.06	-2.81%	12.97%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	22.2	885.4
Nifty Bank	16.2	2753.8
Nifty Financial Services	18.2	1084.8
Nifty IT	27.7	1188.8
Nifty Auto	25.7	632.4
Nifty FMCG	43	1201
Nifty Healthcare	35.7	264.6
Nifty Pharma	31.8	474
Nifty Consumer Durables	63.9	455.2

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.10	-0.05%
EUR/INR	88.48	-0.24%
EUR/USD	1.064	-0.49%
Brent Crude	92.24	-1.2%
Gold (USD/OZ)	1,925.52	0.08%
Gold (INR/10G) 24 caret	60,900 Delhi	0.2%

FII and DII Weekly Trading Data

FII

Gross Purchases	43,262
Gross Sales	51,943
Net Purchases / Sales	8,681

DII

Gross Purchases	33,911
Gross Sales	31,972
Net Purchases / Sales	1,938

Key Market Updates

Top NIFTY 50 Gainers: Power Grid Corporation of India Ltd. (2.6%), Asian Paints Ltd. (2.5%), Coal India Ltd. (1.5%), Titan Company Ltd. (0.8%), NTPC Ltd. (0.7%).
Federal Reserve pauses rate hikes as inflation slows down.
Russia has temporarily banned exports of gasoline and diesel to all countries outside a circle of four ex-Soviet states with immediate effect.
Apple outpaces Samsung to become largest smartphone exporter from India.
Indian agriculture exports dip in first quarter of FY24 on bans and curbs.
Rupee hits all-time closing low of 83.27 to dollar amid rise in oil prices on September 18th.

Startup, M&A Deals

Kuku FM bags $25 million funding led by Nandan Nilekani’s Fundamentum Partnership, IFC.
Eloelo raises $22M in Pre-Series B round co-led by Courtside Ventures, Griffin Gaming Partners.
Visa application platform Atlys raises $12 Mn led by Elevation and Peak XV.
Agritech Startup Ergos Raises $10 Million, Led by Abler Nordic to Revolutionise Indian Agriculture.
Manipal Hospitals acquires majority stake in AMRI Hospitals to expand in Eastern India.
Nirma makes big pharma push; acquires 75% in Glenmark Life Sciences for Rs 5,651 cr.

Check the last week Market update here: Market Recap (September 16, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik

Financial Products, Insights

Which NRI account is right for you: NRE, NRO, or FCNR? A simple guide.

by Kevin Jose

September 24, 2023

An NRI (Non-Resident Indian) is a person who lives outside of India for more than 181 days. People who live outside India usually have different banking and investment needs because they earn and save money in different currencies from other countries. NRIs have three types of bank accounts to choose from in India: NRE, NRO, and FCNR. and these accounts can be opened at almost every major bank and financial organization in India. In this article, we will delve into the details of these accounts to help you understand their features, advantages, and disadvantages, making it easier for you to decide which one suits your needs best.

Image Source: Freepik

NRO Account (Non – Resident Ordinary)

This account is for NRIs who have some form of income source in India. Example: Rental income from property, dividends, equity returns etc.
You can deposit funds in this account using either Indian or foreign currencies, but you can only withdraw them in INR.
One disadvantage is that TDS will be applied to the accrued interest in this account.
This account is available in various types, including savings, current, fixed deposit accounts etc.
You can repatriate up to $1 million from it each fiscal year.
Also, you can have a joint account with any of your family members in India and you can can also add nominee for your account.
You can avail a loan with this account in Indian currency.

Who should open this account:

This account is good if you plan to use your money only in India. Individuals who have attained NRI status should inform the bank and convert their savings account into an NRO account. Similarly, NRIs who plan to settle back in India should convert their NRO account into a regular savings account.

F&O Trading:

Participation in F&O requires an NRO saving bank account and a Custodial account, often with a minimum balance of 25 lakhs.
Profits earned are subject to a 30% tax imposed by the income tax department.
Also, profits made through this scheme cannot be repatriated.

NRE Account (Non – Resident External)

This account is for NRI’s income sources outside India.
So, the NRI can deposit their foreign currency earning into the NRE account, but it will be denominated in rupees.
Interest income is not taxable and the money in the account is fully repatriatable.
Similar to the NRO account, you can open a joint NRE account and also add a nominee to the account.
Rupee depreciation can pose a disadvantage because the account denominates the money in INR.
You can avail a loan with this account in Indian currency.

Who should open this account:

This account is good if you plan to use your money both in India and in the country where you make money. It is generally recommended to open a NRI account as soon as one attains NRI status.

Steps to Invest in the Indian Secondary Market

Image Source: Freepik

NRIs can invest in shares or convertible debentures of Indian companies under repatriation through a registered stockbroker on a recognized Indian stock exchange using the Portfolio Investment Scheme (PIS) Account.
To participate in PIS, NRIs must open an NRE (Repatriation basis) account with one Designated Bank, following RBI guidelines. This designated bank account should exclusively handle PIS-related transactions, such as buying or selling shares, without any involvement in non-trading activities.

FCRN Account: (Foreign Currency Non-Resident)

Image Source: Freepik

This account resembles a more advanced version of the NRE account.
It keeps your money in the currency in which you deposit it (USD, GBP, JPY, EURO, AUD, CAD etc. which are approved by RBI).
Because the money is being held in those currencies, the risk of exchange rate fluctuations is eliminated.
However, this account only allows term deposits, which you can withdraw prematurely with a small penalty if needed.
You can avail a loan with this account in foreign currency, but with certain conditions.

Who should open this account:

This account is good if you make money in a different country and plan to use most of it outside India.

In general NRI accounts can be opened by:

NRIs, PIOs (Persons of Indian origin), and OCIs (Overseas Citizens of India) can open NRI bank accounts.
Individuals who are eligible under the India Citizen Act of 1955 due to their parents’ or grandparents’ Indian citizenship can also open such accounts.
Those officially deputed abroad by the Government of India or PSUs are eligible to open these accounts.
Individuals who have held an Indian passport at any point in time have the option to open such accounts.
Spouses of Indian citizens or PIOs (Persons of Indian Origin) have the privilege of opening these accounts.
Indian citizens settled abroad for work, studies, or business purposes have the opportunity to open NRI accounts.

To open know about NRI accounts and how to open them, mention your details below:

Indian start-ups, Insights

Cutting-Edge Drone Technology: The Future of Sustainable Farming Practices

by Kevin Jose

September 21, 2023

Cutting-Edge Drone Technology: The Future of Sustainable Farming Practices

In our fast-changing world, technology is changing industries. Drones, also known as unmanned aerial systems (UAS), are one of these innovations. Many companies work on drone technology, but one company stands out.

This company uses advanced technology like data analysis, the Internet of Things (IoT), artificial intelligence (AI), and machine learning (ML) to solve big global problems. They’ve pushed drones for farming to do amazing things in different areas. With many firsts, they use their technology to improve farming, infrastructure, and healthcare.

Problem:

India’s agriculture sector grapples with a host of challenges:

According to the FAO, plant pests and diseases cause a significant reduction of between 20% and 40% in global crop yields annually.
Moreover, adding to these challenges is the ageing Indian farmer population. In 2016, the average age was reported to be 50.1 years by MoA&FW.
Furthermore, farm mechanization in India lags behind global standards by 60%, as per NITI Aayog. Consequently, this leads to inefficiencies in farming practices.
Additionally, there are alarming residues of agrochemicals found on over 45% of food crops, further exacerbating environmental concerns.

Solution:

In response to these pressing issues, a startup has introduced a comprehensive solution. – Drone for Farming, one drone, many applications.
Their solution encompasses direct seeding, disease diagnosis, fertilizer spreading, pollination, and thermal fogging.
The drones they offer are versatile and capable of various applications. They can operate during nighttime and effectively avoid obstacles.
These drones are known for their rugged design and swappable payloads. Importantly, they are fully autonomous, and equipped with AI capabilities.
In addition to the above, emergency fail-safes and terrain-following capabilities enhance their performance.

India Commercial Drone Market:

Smart Software Integration:

Their software platform complements their hardware offerings. It facilitates automated regulatory compliance, integrates crop-specific SOPs and calendars, and enables real-time drone health monitoring and maintenance. This software not only enhances farm efficiency but also fosters environmental sustainability.

Agri Intelligence & AI Platform:

his company serves as a drone aggregator, catering to farmers, corporations, and government bodies. Their platform offers a range of services, including fleet management, order matching, real-time tracking, data aggregation, and AI intelligence. As a result, it streamlines farm operations, from defining field boundaries to facilitating order delivery, and this benefits the entire agricultural ecosystem.

Global Impact:

This company’s drones go beyond one country. They use them in faraway places to help with things like giving aid, helping during disasters, and delivering medical supplies. These drones offer remarkable labour cost savings by automating tasks, reducing the reliance on a shrinking agricultural workforce, and making farming economically viable.

Along with this, these drones take care of direct pesticide usage which can lead to health issues, including cancer and life-threatening diseases. But these drones alleviate this concern by accurately targeting pests and diseases, they reduce the use of harmful chemicals, thereby promoting safer farming practices. Drones play a pivotal role in pest control also.

The impact of this company’s UAS technology reaches far beyond national borders. Their drones have been deployed in remote regions for humanitarian aid, disaster relief, and medical supply delivery. This global reach underscores their commitment to making a positive difference in the world. Their drones also have an application in healthcare by helping state governments control malaria and other mosquito-borne illnesses by terminating the larvae with the use of Drones over water bodies.

Traction

1.8 lakhs acres served till date
$1.1 Mn Revenue – FY 22-23
3.9x Revenue FY22-23
$8Mn Revenue in Pipeline

Projections:

Key Growth Drivers for the company:

This company actively fosters innovation through close collaboration with research institutions, startups, and industry partners. Consequently, this collaborative approach not only propels their own growth but also significantly enriches the broader UAS industry.
Furthermore, several significant growth drivers are at play. These include labor shortages, evolving government policies, the expanding adoption of drones, increasing demand across various sectors, heightened demand for drone pilots, as well as post-sale services and consumable sales. Together with these factors, they contribute to their promising future.
Moreover, as revenue continues its upward trajectory, the company is well-prepared to capitalize on economies of scale. This strategic move will lead to reduced manufacturing costs, increased profits, and, consequently, ensure sustainable growth in the future. In essence, their collaborative spirit, diverse growth drivers, and cost-efficient strategy position them for a prosperous future ahead.

Opportunity: Seeking $4.0M Startup Funding

Minimum Investment : $100K

Risk Level: High Risk

Potential Returns: Anticipated ROI of 5-8x

Investment Horizon: 3-4 Years

Investor Profile: Ideal for Angel Investors, Family Offices, and VCs Interested in Startup Investment

Author: Tanushree Pandey

You can Invest in India Startup Ecosystem.
For further details about the company and to know about other startups, please register your information below.

Economy & Market, Insights

Market Recap – Weekly Update (September 16, 2023)

by Kevin Jose

September 17, 2023

Market Recap: Weekly Update

(September 16, 2023)

YTD refers the Returns from January 1, 2023 till September 15, 2023

	Weekly Change	YTD
Nifty 20,192.35	1.5%	INR - 11.53% USD - 11.2%
Sensex 67838.63	1.36%	INR - 11.5% USD - 11.16%
Bank Nifty 46,231.50	2.09%	INR - 7.55% USD - 7.22%
NASDAQ 100 15,202.40	-1.35%	35.95%
S&P 500 4,450.32	-0.68%	16.37%

Index Valuation and Earning

Index	P/E Ratio	EPS
Nifty 50	22.8	885.2
Nifty Bank	16.8	2755.2
Nifty Financial Services	18.9	1084.6
Nifty IT	28.1	1189.1
Nifty Auto	26	632.5
Nifty FMCG	43.2	1201
Nifty Healthcare	37	264.6
Nifty Pharma	32.9	474
Nifty Consumer Durables	64.5	455.3

Exchange Rates, Brent Crude & Gold

	Closing Price	Weekly Change
USD/INR	83.09	-0.04%
EUR/INR	88.69	-0.54%
EUR/USD	1.066	-0.34%
Brent Crude	93.37	3.88%
Gold (USD/OZ)	1,923.9	0.22%
Gold (INR/10G) 24 caret	60,780 Delhi	-0.29%

FII and DII Weekly Trading Data

FII

Gross Purchases	78,492.41
Gross Sales	79,239.03
Net Purchases / Sales	746.42

DII

Gross Purchases	45,993.87
Gross Sales	42,630.51
Net Purchases / Sales	3,363.36

Key Market Updates

Rising gas costs drive US inflation to 3.7% in August.
ECB raises interest rate by 25 bps to record 4% to battle
soaring inflation.
China’s exports fell for the fourth consecutive month in August, declining by 8.8 percent compared to the previous year.
Indian Govt hikes windfall tax on crude oil to Rs 10,000/tonne from Rs 6,700/tonne.
Nifty 50 Top Gainers: Bajaj Auto Ltd. (7.8%), Grasim Industries Ltd. (6.7%), Bharti Airtel Ltd. (5.7%), Axis Bank Ltd. (4.8%), UPL Ltd. (4.6%).
Nifty 50 Touches 20,000-Milestone for the First Time.
U.S. crude oil prices top $90 a barrel for the first time since November 2022.

Startup Updates

SaaS logistics startup Kale Logistics raised $30 million in funding led by Creaegis Advisors, a digital and tech-focused private equity fund.
B2B SaaS fintech startup Perfios raised $229 million in a Series D funding round from private equity investor Kedaara Capital.
Leads Connect, a full-stack agritech startup, raised Rs 500 crore ($60.2 million) from FMCG company BL Agro Industries Ltd.
Kedaara Capital Backs Edtech Startup K12 Techno Services, Peak XV Gets Partial Exit
Vitol, AT Capital Group invest $350 Million in Juniper Green Energy.

Check the last week Market update here: Market Recap (September 9, 2023)

Subscribe to our newsletter and follow us on Instagram, Facebook, and LinkedIn to get the weekly update.

Cover Image Source: Freepik

Market Recap: Weekly Update

(October 21, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup, M&A Deals

Market Recap: Weekly Update

(October 14, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup, M&A Deals

Introduction:

Occupancy Rate

Average Daily Rate (ADR)

Revenue per available room (RevPAR):

Other Key Parameters to consider:

Valuation

Conclusion:

Read About Investment avenues for residents and NRIs in Gift City

Market Recap: Weekly Update

(October 7, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup, M&A Deals

Market Recap: Weekly Update

(September 30, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup, M&A Deals

Major exchanges in GIFT City:

India INX:

NSE IFSC:

Direct Stock Investing

Taxation on US Stocks:

NSE IX International Exchange – Debt Securities Market

AIFs

Conclusion:

Market Recap: Weekly Update

(September 23, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup, M&A Deals

NRO Account (Non – Resident Ordinary)

Who should open this account:

F&O Trading:

NRE Account (Non – Resident External)

Who should open this account:

Steps to Invest in the Indian Secondary Market

FCRN Account: (Foreign Currency Non-Resident)

Who should open this account:

In general NRI accounts can be opened by:

Cutting-Edge Drone Technology: The Future of Sustainable Farming Practices

Problem:

Solution:

India Commercial Drone Market:

Smart Software Integration:

Agri Intelligence & AI Platform:

Global Impact:

Traction

Projections:

Key Growth Drivers for the company:

Market Recap: Weekly Update

(September 16, 2023)

Index Valuation and Earning

Exchange Rates, Brent Crude & Gold

FII and DII Weekly Trading Data

Key Market Updates

Startup Updates

Navigation

Additional Links

Newsletter