Hence, there won’t be any updates on the Nifty 50, Sensex, Top Gainers, and Top Losers sections today.

Global markets: US markets showed a mixed trend. Most Asian markets and European markets fell (as of 6 pm IST).

Stocks Updates

• L&T: completed 100% divestment of Nabha Power Ltd to Torrent Power for Rs 3,632.35 crore. Following this Nabha Power has ceased to be a subsidiary of the company.

• Adani Power: subsidiary Adani Atomic Energy Ltd incorporated wholly owned step-down subsidiary Progressive-UP Atomic Energy Ltd to generate, transmit and distribute nuclear/atomic energy power.

• NTPC: incorporated wholly owned subsidiary NTPC (Mauritius) Energy Ltd with capital of MUR 1 million (around Rs 19.8 lakh) to develop floating solar projects and other power projects in Mauritius.

• HCLTech: completed its Rs 1,427.25 crore investment in Axonwise Private Ltd (Sarvam AI), acquiring a 10.46% stake.

• Power Grid: board approved raising borrowing limit to Rs 2.2 lakh crore, subject to shareholder approval. It also approved raising up to $500 million through an External Commercial Borrowing (ECB) from Bank of Baroda, and sanctioned a Rs 772.65 crore investment to upgrade the Udumalpet–Madurai 400 kV transmission line.

• Cholamandalam Investment: allotted unsecured subordinated NCDs worth Rs 2,000 crore (including Rs 1,400 crore green shoe) at a coupon rate of 8.88% via private placement basis.

• Zydus Lifesciences: formed a 50:50 joint venture with Sri Lanka’s Sunshine Healthcare Lanka Ltd to set up a pharmaceutical manufacturing facility in Sri Lanka.

• Lupin: received tentative USFDA approval for Enzalutamide tablets used to treat prostate cancer.

• Aurobindo Pharma: acquired a 26% stake in Swarnaakshu Solar Power Pvt Ltd and signed a power purchase agreement for captive solar power consumption against an approved investment of up to Rs 10.40 crore.

Word of the Day

Greenshoe Option

It is an option used during an IPO or a bond/NCD issue to issue more securities than originally planned

It is also called the over-allotment option.

In an IPO, underwriters can issue up to 15% extra shares if investor demand is high.

In bond/NCD issues, the greenshoe option lets the company increase the issue size and raise more money when demand is strong.

Example: Cholamandalam Investment raised Rs 2,000 crore through NCDs (including Rs 1,400 crore green shoe). This means the company originally planned a smaller issue but increased the issue size because investor demand was strong.

6 Day Course

Theme: crucial points in IPO

Day 5: Friday

In case of IPOs, another important metric to check is the lock-in and large sellers.

Investors must remember that anchor investors usually have a lock-in till which they cannot sell.

This means, they are allowed to sell only after a certain time period. This usually ranges from 30 to 90 days.

If many large investors are waiting to sell, the share price can fall drastically as the lock in period ends.

On similar lines, IPO investors must also check sentiments of other investors in general.

Why are most other investors buying into the IPO?

Is it because of quick listing gains? In that case, the investor needs to be careful since the share price might fall or be volatile upon listing.

Is it because they are excited about the company’s long-term future? In such a case, the IPO may be a good candidate for long-term holding.

Featured Question

Q. “While Selling why I'm not allowed to sell which transaction date stock to be sold to decide my own P&L. Why it is always First In First Out is followed while selling MF units/equity shares.”We include this line in every Groww Digest Daily and update the numbers everyday.

FIFO or First In First Out principle is followed while selling shares or mutual funds’ units in India.

It is the default way of selling. It is in compliance with the tax regulations in India.

From the investors’ perspective, FIFO allows the lowest possible tax burden since long term tax has a lower rate.

Hence, it is the default option in India.

Markets opened above yesterday’s closing point.

Auto stocks and FMCG stocks rose the most today. Metal stocks and oil and gas stocks fell the most.

Global markets: US markets showed a mixed trend. Most Asian markets and European markets rose (as of 6 pm IST).

News

• The government has removed restrictions on the supply of commercial LPG cylinders and restored supplies to pre-West Asia crisis levels. It has also resumed bulk LPG supplies at 50% of pre-crisis levels.

• The government is planning to estimate the economic value of India’s coal reserves, helping track their role in the economy and environment rather than their market price.

• Waterways Leisure Tourism IPO was subscribed 1.46 times. Retail subscription: 4.19 times. IPO is closed for subscription.

Stocks Updates

• ONGC: bp (UK-based oil and gas company) has been appointed as the Technical Services Provider (TSP) for ONGC’s fields in the Western Offshore Basin. bp will provide technical expertise to improve oil and gas production from offshore fields.

• Hindustan Zinc: deployed India’s first 250 metric tonne capacity electric crane at Zinc Smelter Debari in Rajasthan to reduce emissions and improve energy efficiency.

• GMR Airports: subsidiary GMR Nagpur International Airport Ltd (GNIAL) took over operations of Dr. Babasaheb Ambedkar International Airport, Nagpur, effective from 25 June.

• Shree Cement: GST appellate authority in Patna has rejected the company’s appeal against an earlier GST demand order on technical grounds. The company will challenge the orders.

• Tata Steel: invested $172 million (around Rs 1,625 crore) in its wholly owned Singapore subsidiary, T Steel Holdings Pte Ltd (TSHP), through subscription to equity shares. The funds are part of Tata Steel’s previously approved investment plan of up to $2 billion.

• L&T: subsidiary Vyoma.AI incorporated a wholly owned step-down subsidiary LTA Data Centres Pvt Ltd to develop data centres and related technology-enabled services.

Word of the Day

Private Equity Firms

They are institutions that invest money in other companies.

They usually invest in companies not listed on the stock market.

These firms pool money from large investors like rich individuals, pension funds, insurance companies, family offices, and other institutions and use it to buy a part of another company.

Private equity is different from venture capital.

VCs usually invest in very young companies, and PE firms invest in companies that are already established but need support to grow further.

PE firms often buy a large part of the company. Sometimes, even buy the full company or take a controlling stake.

Their goal is to hold the investment for a few years, improve the business, and later sell their stake at a profit through an IPO, merger, or acquisition.

6 Day Course

Theme: crucial points in IPO

Day 4: Thursday

Every IPO has anchor investors — reputed institutional investors who are investing in the IPO.

Anchor investors are decided before the IPO opens up for individual investors to invest in.

Good anchor investors does not necessarily mean that the IPO will be a good investment for individual investors.

But missing good anchor investors is usually not a good sign. It shows they choose to stay away from the IPO for some crucial reason.

Investors also keep a tab on how many times a particular IPO has been oversubscribed. Example: “XYZ IPO was oversubscribed by 7.2 times.”

This tells us about how much the IPO is in demand.

We also get this number’s breakup based on each investor type. Example: oversubscription in the QIB segment, individual investor segment, etc.

Featured Question

Q. “Kindly explain Nifty 50 has risen between 0% and 1% about 539 times in the last 5 years (22 june & 24 June )”

We include this line in every Groww Digest Daily and update the numbers everyday.

The markets are always falling and rising.

The intensity of that varies. So, sometimes, it falls or rises by a percentage that is between 0% and 1%.

In a few days, it rises or falls between 1% and 2%.

Even more rare is a rise/fall between 2% to 3%. So on.

With this line we are trying to show how commonly or rarely the rise/fall is occurring.

Example: let’s say the markets have risen by 1.2% on a particular day. That means it has risen between 1% and 2% on that day.

So we try to count the number of times the markets have risen between 1% and 2% (over the previous 5 years).

So, in the example given by you in the question, the markets had risen between 0% and 1% on ~539 days over the last 5 years.

Since we are measuring the number of times the market rose/fell over exactly 5 years, the number may or may not be the same.

Markets opened above yesterday’s closing point.

All sectors’ stocks rose today except for the auto stocks and metal stocks. Realty stocks and IT stocks rose the most.

Global markets: US markets fell. Most Asian markets rose. European markets showed a mixed trend (as of 6 pm IST).

News

• The government will auction securities worth Rs 28,000 crore on 25 June, including Rs 17,000 crore of 6.68% GS 2040 and Rs 11,000 crore of 7.43% GS 2076.

• Ministry of Statistics and Programme Implementation (MoSPI) will launch the Index of Services Production (ISP) in July 2026, a new monthly indicator to track growth in India’s services sector, similar to the Index of Industrial Production (IIP) for manufacturing.

• The government has approved 96 road projects worth Rs 211.71 crore in Tripura under PMGSY-IV. The projects will cover 163.9 km.

• RBI has proposed draft guidelines requiring banks to strengthen governance and risk management of AI and machine learning models.

Stocks Updates

• Bajaj Finance: allotted NCDs worth Rs 2,000.45 crore at a coupon rate of 7.92% through a private placement basis.

• IRFC: Ministry of Railways exercised the oversubscription option in its Offer for Sale (OFS), increasing the total offer size from 13.07 crore shares (1.0% stake) to 24.31 crore shares (1.86% stake).

• Bajaj Auto: disclosed a ransomware attack that impacted its systems and those of subsidiary Bajaj Auto Technology Ltd. The company said precautionary actions were taken, and the incident was reported to CERT-In.

• ABB India: partnered with Kolkata Metro to deploy electrification and motion control solutions across its network.

• Vedanta: incorporated wholly owned subsidiary Vedanta Property Platforms Ltd in Mumbai to undertake real estate and related business activities.

• Bharat Forge: subsidiary BF Industrial Solutions Ltd completed the acquisition of a 90% stake in RS Aerostructures Ltd (RSAL), making it a step-down subsidiary.

• Infosys: partnered with US-based healthcare provider Sentara to scale AI adoption across hospital operations, clinical support and enterprise functions.

Word of the Day

Contract Note

It is an official document that is issued by stockbrokers to their clients

Every time a transaction takes place in the stock market (buying or selling shares), this note is generated.

It contains details such as the stock traded, whether it was bought or sold, the trade time, order number, brokerage charges, and broker information.

Brokers are required to send contract notes for equity and derivatives trades. Contract notes are not issued for mutual fund transactions.

It acts as an important legal record in case of any dispute between an investor and a broker and is proof for all the transactions made on the stock markets.

Most brokers sent contract notes via email in the form of Electronic Contract Notes (ECNs).

6 Day Course

Theme: crucial points in IPO

Day 3: Wednesday

The shares that are sold during an IPO are of two types.

Fresh issue and Offer for Sale (OFS).

In case of a fresh issue, the company is literally creating fresh shares and selling in the IPO.

This means all the money that is raised in the IPO will go directly to the company.

It can use this money for the company’s growth, operations, future expansion, debt clearing, etc.

On the other hand OFS is the sale of existing shares by existing shareholders.

In this case, the money does not go to the company, it goes to the shareholders.

This allows early-stage investors to sell their shares and exit the company.

During IPOs, many companies do a mix of fresh issues and OFS.

Sometimes, all shares are fresh issues and sometimes, all are OFS.

Investors like to keep an eye on this because it can hint about how the company thinks about its own future and what its early investors plan.

Featured Question

Q. “If I have held shares of a company for more than one year and continue buying additional shares over time, and the company later undergoes a demerger resulting in shares of a new company being allotted to me, how is the holding period of the new company’s shares determined for capital gains tax purposes? If I sell those new shares, will the gains be treated as short-term or long-term capital gains?”

The new shares are treated as bought on the original date of purchase.

The tax is calculated based on the original date of purchase, not based on the date of demerger.

If you bought shares multiple times, you will have to calculate the tax for each purchase separately.

Example:

Let’s say you bought 100 shares 3 years ago. Then you bought 50 shares 6 months ago.

On the shares you bought 3 years ago, you will pay a Long Term Capital Gains tax (LTCG tax) since the investment is more than 1 year old.

On the shares you bought 6 months ago, you will pay a Short Term Capital Gains tax (STCG tax) since the investment is less than 1 year old.

Likewise, each share purchase will have to be treated as a separate investment and tax calculated accordingly.

Markets opened below yesterday’s closing point.

Pharma stocks and healthcare stocks rose the most today. Metal stocks and IT stocks fell the most.

Global markets: Most US markets and Asian markets fell. Most European markets fell (as of 6 pm IST).

News

• India’s manufacturing PMI fell to 57.4 in June (vs 59.3 in May) as per preliminary estimates. Services PMI fell to 54.5 (vs 55.0 in May). Composite PMI fell to 57.3 (vs 59.8 in May). This means that economic activity grew less in June than in May.

• The RBI sold a net $8.9 billion in April to protect the rupee amid West Asia war tensions, while physical gold holdings remained unchanged: RBI

• Waterways Leisure Tourism IPO has been subscribed 0.19 times. Retail subscription: 0.99 times. IPO closes on 25 June.

• Turtlemint Fintech Solutions IPO was subscribed 1.20 times. Retail subscription: 1.07 times. IPO is closed for subscription.

Stocks Updates

• Airtel: completed the acquisition of an additional 16.3% stake in Airtel Africa plc from Indian Continent Investment Ltd (ICIL), increasing its effective stake to around 79%.

• Infosys: expanded its multi-year partnership with GlobalFoundries, a semiconductor manufacturer, to provide AI-led managed services across application, infrastructure, data and service desk operations.

• NTPC: subsidiary PVUNL declared commercial operation of Unit-2 (800 MW) of the Patratu thermal power project from 25 June. Following this, NTPC Group’s installed capacity increased to 90,857 MW.

• HCL Tech: partnered with Circles and GreySkies under TM Forum’s Catalyst Program to develop an AI-powered multi-agent framework for network operations and customer experience.

• Bajaj Auto: subsidiary Bajaj Auto Credit Ltd allotted and listed NCDs worth Rs 500.19 crore on NSE through private placement basis.

• Hindalco: subsidiary East Coast Bauxite Mining Company Pvt Ltd was struck off and dissolved following voluntary closure.

• Grasim: invested Rs 2,880 crore in Aditya Birla Capital through a preferential issue, increasing its stake from 52.27% to 52.30% on a fully diluted basis.

• Aditya Birla Capital: allotted 11.24 crore equity shares through a preferential issue, raising around Rs 4,000 crore from Grasim Industries, Suryaja Investments and the International Finance Corporation (IFC).

• Wipro: expanded partnership with Palo Alto Networks to offer AI-driven managed detection and response (MDR) cybersecurity services. The company also said the acquisition of select customer contracts of Alpha Net Consulting LLC is now expected to be completed by 30 Sept instead of 30 June.

• Vodafone Idea (Vi): allotted 430 crore warrants to the promoter group entity Suryaja Investments, an Aditya Birla Group entity, at Rs 11 per warrant, raising Rs 1,182.5 crore through the upfront payment.

• PFC: subsidiary Bihar Infrapower Ltd was struck off and dissolved by the Ministry of Corporate Affairs following the closure of the Banka UMPP project.

Word of the Day

PMI (Purchasing Managers' Index)

It is an economic indicator that measures business activity in the manufacturing and services sectors

The PMI is based on monthly surveys of purchasing managers, who provide insights on factors such as new orders, production, employment, and business activity.

A PMI above 50 indicates expansion in business activity, while a PMI below 50 suggests contraction. A PMI of 50 indicates no change.

PMI provides an early indication of the economy’s direction before official GDP data is released.

Example: if the PMI has dropped from 58 to 53, business activity is still expanding (because it’s above 50), it has just expanded at a slower pace than last month (and vice versa).

6 Day Course

Theme: Theme: crucial points in IPO

Day 2: Tuesday

The shares that are sold during an IPO are of two types.

Fresh issue and Offer for Sale (OFS).

In case of a fresh issue, the company is literally creating fresh shares and selling in the IPO.

This means all the money that is raised in the IPO will go directly to the company.

It can use this money for the company’s growth, operations, future expansion, debt clearing, etc.

On the other hand OFS is the sale of existing shares by existing shareholders.

In this case, the money does not go to the company, it goes to the shareholders.

This allows early-stage investors to sell their shares and exit the company.

During IPOs, many companies do a mix of fresh issues and OFS.

Sometimes, all shares are fresh issues and sometimes, all are OFS.

Investors like to keep an eye on this because it can hint about how the company thinks about its own future and what its early investors plan.

Featured Question

Q. “how do you calculate returns on a mutual fund in which you invested different amounts at different times example- I invested 5K for the first three months and further invested 10K for 6 months”

A public company is one of which you can buy shares in the share markets.

This can be done using XIRR.

It even allows you to factor in withdrawals in between.

The formula to calculate XIRR is a bit complicated. It is far easier to calculate the XIRR on Excel or Google Sheets.

There are readymade formulas you can use to do the same.

In this, you need to give the various different investment/withdrawal amounts and their respective dates, along with the current value of the investment.

Many investment platforms automatically calculate the XIRR and show it to investors so the investors need not do the calculation themselves.

Markets opened significantly above Friday’s closing point.

All sectors’ stocks rose today except for FMCG and consumer durables stocks. Media stocks and pharma stocks rose the most.

Global markets: US markets were closed on Friday. Most Asian markets rose. European markets showed a mixed trend (as of 6 pm IST).

News

• India’s infrastructure output of core industries grew 0.5% year-on-year in May (vs 1.7% in April). Electricity, cement and steel production increased, while coal, crude oil, natural gas, petroleum refinery products and fertilizer production declined.

• SBI Mutual Fund received SEBI’s approval for a Rs 13,000 crore IPO.

• Turtlemint Fintech Solutions IPO has been subscribed 0.52 times. Retail subscription: 0.60 times. IPO closes tomorrow (23 June).

Stocks Updates

• L&T: subsidiary Vyoma.AI Ltd incorporated wholly owned step-down subsidiary LTN Compute Pvt Ltd to build AI compute infrastructure and provide technology-enabled services.

• Sun Pharma: will acquire 100% stake in Innovcare Lifesciences Pvt Ltd for around Rs 271.20 crore to strengthen its product portfolio.

• Bharat Electronics: received additional orders worth Rs 1,081 crore since its last disclosure on 25 May. Major orders include communication equipment, radars, CBRN protection systems, seekers, avionics, upgrades, spares and services.

• Bajaj Auto: shareholders approved the company’s buyback of up to 46.94 lakh shares at Rs 12,000 per share, aggregating up to Rs 5,632.80 crore via the tender offer route.

• Hindustan Zinc: signed an MoU with Advantek Associates LLP and Aero Eagle Automobiles to explore green hydrogen and alternative clean energy solutions for mining operations, including heavy earth-moving machinery, surface vehicles and generators.

• Tata Motors: secured orders for over 3,400 electric commercial vehicles across freight, logistics and passenger mobility segments.

• Aurobindo Pharma: received US FTC approval for its $250 million acquisition of Lannett Company. The deal is expected to close before the end of June.

Word of the Day

Contingent Liability

It is the possible cost that a company might have to pay in the future.

It depends on whether a certain event happens or not.

If the event seems possible and the cost can be estimated, the company shows it in its financial statements. It keeps aside money in case the event happens.

Example: say a company is being sued. The outcome of the case is uncertain. If the company loses, it may have to pay a settlement. The company would keep aside money as a contingent liability until the case is resolved.

6 Day Course

Theme: crucial points in IPO

Day 1: Monday

Many new investors are growing more interested in IPOs.

In this week’s course we’ll try to explore the important points to look at in greater detail.

The first thing to remember is that an IPO must be looked at as any other share.

Behind the stock name and price is a business. That business must be analysed.

This is true for companies that are going for an IPO as well as companies that are already on the stock markets.

This includes understanding the company’s business model, cash flows, revenue, earnings/losses, debt, valuation, business stage, etc.

Beyond those points, the next point to look at is the reason for going for an IPO.

Companies choose to go for an IPO for multiple reasons. One of the most common reason is to raise money.

What will this money be used for? That’s the first question to be asked in case of IPOs.

We explored the question “What if you invest in a Nifty 50 Equal Weight Fund instead of a Nifty 50 Index Fund?”

Check out the full report here.

Markets opened significantly below yesterday’s closing point.

Healthcare stocks and pharma stocks rose the most today. IT stocks and oil and gas stocks fell the most.

Global markets: US markets closed in the green. Most Asian markets and most European markets fell (as of 6 pm IST).

News

• India’s forex reserves fell by $9.98 billion to $671.63 billion in the week that ended on 12 June.

• Jio Platforms has filed draft papers with SEBI for an IPO with a fresh issue of up to 27 crore equity shares.

• Turtlemint Fintech Solutions IPO has been subscribed 0.45 times. Retail subscription: 0.29 times. IPO closes on 23 June.

Stocks Updates

• Bharat Forge: signed a Rs 425 crore contract with the Ministry of Defence to supply gas turbine generators for Indian Navy warships.

• Hindalco: commissioned an aluminium bicycle components manufacturing facility in Chakan, Pune, with an annual capacity of 5 lakh frames and forks, 7.5 lakh handlebars and 8 lakh pairs of wheel rims.

• Cholamandalam Investment: allotted NCDs worth Rs 100 crore at a coupon rate of 8.08% and a re-issue yield of 8.15% on a private placement basis.

• Tata Power: Received a Letter of Intent from REC Power Development and Consultancy to acquire Ryapte Power Transmission Ltd, an SPV developing a 250-km transmission network in Karnataka, with annual transmission charges of Rs 521.07 crore.

• Aurobindo Pharma: received approval from the US Federal Trade Commission for its proposed acquisition of Lannett Company LLC. The deal is expected to close before the end of June..

Word of the Day

Capital Gains Tax

It is the tax you pay on the profit made after selling an asset.

The profit earned after selling assets like stocks, bonds, real estate, etc is known as capital gains.

The amount of tax paid depends on how long you have had the asset.

Short-term and long-term capital gains (STCG and LTCG) are taxed differently. The time required for an asset to qualify as long-term or short-term can also vary.

For example:

If you sell equity shares within 12 months, the profit is taxed at 20% (STCG).

If you sell them after 12 months, the profit is taxed at 12.5% (LTCG) with exemption up to Rs1.25 lakh annually.

6 Day Course

Theme: understanding FIIs

Day 5: Friday

Finally, let’s talk about geopolitics.

When FIIs invest, they have expectations of a certain kind of returns and a minimum threshold.

Below that threshold, they are not comfortable investing.

Anything that threatens this leads to FIIs selling and withdrawing.

One common observation is that of conflicts. Whenever countries or regions enter into a conflict, FIIs get nervous about their future prospects.

For smaller scale conflicts, it affects only the Emerging Markets (EM) involved directly.

But for larger conflicts with an impact across the global economy, FII starts selling across all EM.

Likewise, if good developments take place, FIIs start investing uniformly across all EM.

In case of more regional threats, they start investing in greater quantities in the EM that were involved.

In short, fear of a disruption causes FIIs to sell and withdraw. Opportunities including potential growth leads them to invest in EM.

Featured Question

Q. “What is the difference between a public and a private company”

A public company is one of which you can buy shares in the share markets.

It is also called a publicly listed company. As in, the company that is listed on the share markets.

Private companies are those that are not available on the share markets.

Another common way these labels are used is to describe who owns the company.

A public-sector company is a government run company.

A private-sector company is a company that is not a government company.

Here’s the crucial distinction.

A publicly listed company can be both types of companies — privately owned and government owned.

Similarly, an unlisted company can also be privately owned and government owned.

In short:

Publicly listed: shares available on share markets (government company or private company)
Unlisted company: shares not available on share markets (government company or private company)

Markets opened below yesterday’s closing point and stayed in the green.

All sectors’ stocks rose today except for the IT stocks and metal stocks. Healthcare stocks and cement stocks rose the most.

Global markets: US markets fell. Most Asian markets rose. Most European markets fell (as of 6 pm IST).

News

• The US Fed kept the interest rate unchanged in the 3.5% to 3.75% range.

• The US and Iran have officially signed an interim peace agreement to end the West Asia war. Iran has agreed to dilute its enriched uranium in exchange for major economic relief. In return, the US will lift its naval blockade and waive oil sanctions, while Iran will reopen the Strait of Hormuz.

• The RBI has removed interest rate limits on fresh foreign currency NRI deposits until 30 Sept (allowing them to offer higher interest rates) to bring in foreign cash and keep the Rupee stable.

• The India-UK Free Trade Agreement (CETA) will officially take effect on 15 July, 2026, significantly reducing tariffs for both sides.

• NSE has filed draft papers with SEBI for a Rs 30,000 crore IPO.

Stocks Updates

• Bajaj Finance: allotted NCDs worth Rs 1,455.40 crore at 7.07% interest rate on a private placement basis.

• Wipro: will acquire an additional 20% stake in Aggne Global IT Services for $2.1 million, increasing its holding to 80%.

• Varun Beverages: partnered with Japan’s Asahi Group Holdings to launch dairy-based beverage brand ‘Calpis’ in India from the second half of 2026, with Varun Beverages handling manufacturing, distribution, and sales.

• Tata Motors: will increase prices of its commercial vehicles by up to 2.5% from 1 July due to rising commodity and input costs.

• Bharat Forge: subsidiary Kalyani Strategic Systems partnered with US-based AM General to jointly offer mounted artillery gun systems for global defence markets.

• IDBI Bank: clarified that there is no undisclosed price-sensitive information behind the recent surge in trading volumes and that all developments related to its strategic disinvestment are being disclosed as required.

Word of the Day

Asset Turnover Ratio

It measures how efficiently a company uses its assets to generate revenue

A higher asset turnover ratio indicates that the company is generating more sales from its assets, while a lower ratio may suggest that assets are not being utilized effectively.

It is a metric used to assess the operational efficiency of a business and can be used to compare companies within the same industry.

6 Day Course

Theme: understanding FIIs

Day 4: Thursday

FIIs often invest in multiple emerging markets (EM).

These are countries like India, Vietnam, Brazil, Mexico, South Korea, etc.

Each of these countries are governed by their own individual factors.

Many times FIIs sell in one country to invest in another because they think they’ll get a better return there.

Example: stocks in another country seem very undervalued and therefore attractive. FIIs might sell existing shares they have to buy more shares in the other EM.

Or, if something goes wrong in one EM country, they’ll sell stocks there and invest in other healthier EM countries.

Example: a policy announcement in one EM might signal tougher times ahead. So FIIs start selling shares in that EM and buying shares in other EMs.

Featured Question

Q. “While starting a SIP in MF time will be prefixed for a certain period like 10years or 5 years 1month etc. After completion of SIP say after 5 yrs total SIP investments 5.00lacs and Fund value with NAV may be around 12.00 lacs. Can I lock this NAV value because of Maturity of Fund and withdraw 12.00 lacs in 5 years in monthly instalments without further participating in market due to fluctuations (NAV may be come less and fund value also may be reduced) or I have to withdraw entire 12.00 lacs at the time of maturity of my SIP?”

This is a misconception many investors have.

Mutual funds have no maturity period.

That’s the best part. Money does not automatically stop being invested.

Once you invest in a mutual fund, the amount remains invested forever — until you withdraw it.

For that period, the money continues to be invested and keeps growing.

Think of it like buying a house. Once you buy a house, you will get money when you sell it.

There’s no period after which your money will automatically be given out.

Many investors develop this misconception because nearly all mutual fund pages show historical mutual fund returns commonly in 6 month, 1 year, 3 years, and 5 years format.

So they assume that these are the optimal investment periods.

That is a wrong assumption. The options exist merely for you to analyse the mutual fund’s past performance.

Markets opened above yesterday’s closing point.

Consumer durables stocks and PSU bank stocks rose the most today. Auto stocks and realty stocks fell the most.

Global markets: Most US markets fell. Most Asian markets rose. European markets showed a mixed trend (as of 6 pm IST).

News

• The sales of India’s listed private non-financial companies grew 13.9% year-on-year in the Jan-March quarter.

• The government has increased the export duty on diesel to Rs 14 per liter and aviation turbine fuel (ATF) to Rs 12.5 per liter, while leaving petrol levies unchanged.

• The Indian Railways approved multiple infrastructure projects including: Rs 493 crore for the doubling of the Adipur-Bhuj line in Gujarat, Rs 405 crore for upgradation across 32 Eastern Railway stations, Rs 172 crore for the Somtane-Chikhli chord line in Maharashtra, and Rs 139 crore to rebuild the Shastriya Road Over Bridge in Indore, Madhya Pradesh.

Stocks Updates

• M&M: Mahindra Summit Agriscience (MSAL), a joint venture between Mahindra Agri Solutions and Japan’s Summit Agro, has issued new shares to Summit Agro. As a result, MSAL will cease to be a subsidiary and become an associate company/joint venture.

• Power Grid: has been declared the successful bidder for the ‘WR-ER Inter-Regional Network Expansion Scheme Part-A’ project through the Tariff Based Competitive Bidding (TBCB) route. It involves setting up two new 765/400 kV substations in Jharkhand and Chhattisgarh.

• Motherson: subsidiary SMR Automotive will acquire a 67.78% stake in China-based Shenzhen Autocruis Technology for about $22.6 million to strengthen its automotive vision systems business.

• Tata Capital: board approved raising up to Rs 36,000 crore through NCDs, perpetual debt, green bonds and other debt instruments.

• HDFC Life: allotted 1.45 crore equity shares to promoter HDFC Bank on a preferential basis, raising around Rs 1,000 crore.

• Lupin: launched Azilsartan Medoxomil tablets used to treat hypertension in the US. The company has 180-day generic exclusivity for the product. The branded drug had annual US sales of around $53.5 million.

• TCS: won a multi-year deal from Norway-based packaging company Elopak to transform and manage its global IT operations using AI and cloud technologies.

Word of the Day

Listing Gains

It refers to the profit earned when an IPO share lists on the stock exchange at a price higher than its issue price.

The issue price is the price at which shares were offered to investors in the IPO.

Listing gains occur when there is strong demand for the IPO and investors are willing to buy the shares at a higher price after listing.

Many investors apply for IPOs with the aim of benefiting from potential listing gains. However, listing gains are not guaranteed, and a stock can also list below its issue price.

6 Day Course

Theme: understanding FIIs

Day 3: Wednesday

FIIs tend to invest using US dollars. Which means, they convert their money from USD to INR and then invest.

This means that they tend to measure their returns in USD terms, not in INR terms.

So, let’s say their Indian investments were up 20% in value (when calculated in INR), but at the same time, USD-INR exchange rate changed by 5% where USD got stronger.

This will effectively mean that when they calculate their returns in USD, their Indian investment would have returned 15%, and not 20%.

The opposite can happen if the Rupee grows stronger.

So FIIs’ investment decisions are also greatly affected by the exchange rates.

India is a heavy crude oil importer. When the price of crude oil rises, India has to spend more money to import oil. This leads to the weakening of the INR.

Thus, crude oil prices heavily affect the exchange rates and therefore, crude oil prices also affect FII investors’ behaviour.

Featured Question

Q. “Do Foreign Institutional Investors (FIIs) face a lock-in period when investing in India? Additionally, if they have already invested in U.S. Treasury bonds, how can they withdraw their funds, and do those bonds have a lock-in period?”

The rules are the same for Indian individual investors and FIIs in this case of shares.

FIIs can buy and sell shares any time they want to.

They must pay the relevant taxes as per the investment period, but that’s it.

There are some lock-ins applied in case of IPO investment which can be up to 90 days.

Yes, bonds are held till maturity for getting the payout but bonds are also trade-able. Which means, bonds can be bought and sold before their maturity period also.

So, say you own a bond that matures in 10 years from now. But you need money today. So you can sell this bond to a willing buyer at a price you both can agree upon.

10 years later, the maturity amount will be received by the new owner of the bond.

Markets opened above yesterday’s closing point.

Realty stocks and IT stocks rose the most today. Metal stocks and healthcare stocks fell the most.

Global markets: US markets and most Asian markets rose. Most European markets rose (as of 6 pm IST).

News

• India’s passenger vehicle sales grew 27.3% year-on-year to 4.39 lakh units in May: SIAM

• India’s Union Minister Nitin Gadkari has officially signed rules giving legal recognition to 100% ethanol fuel (E100) for vehicles in India.

• RBI has given final guidelines banning third-party cash or travel incentives for bank staff to eliminate conflicts of interest and curb mis-selling from 1 Jan, 2027. They also classify financial influencers as Direct Selling Agents, making banks fully liable for any misleading promotional claims made by online creators.

Stocks Updates

• Airtel: incorporated a wholly owned subsidiary, Airtel Global IFSC Ltd in GIFT City, Gujarat, to undertake global treasury and related financial activities. The company also received a DoT penalty of Rs 1.06 lakh for alleged violation of subscriber verification norms and has decided not to contest it.

• TCS: announced a multi-year strategic partnership with Tottenham Hotspur Football Club to serve as the club’s digital transformation partner.

• Infosys: partnered with Finland-based Valmet for an AI-led IT transformation programme to modernise its IT operations and cloud infrastructure.

• M&M: subsidiary, Mahindra Holidays & Resorts India Ltd completed the acquisition of a 100% stake in Aditatva Estates for Rs 37.5 crore. Aditatva owns a 50-acre coffee estate in Chikmagalur, Karnataka, which will be used for expanding the company’s leisure resort business.

• Adani Ports: expanded partnership with US-based Kaleris to deploy AI-powered terminal operating systems across 15 container terminals in India and overseas.

• Grasim: inaugurated Phase 1 of its CPVC resin manufacturing plant at Vilayat, Gujarat, with a planned capacity of approx. 50,000 metric tonnes per annum.

• Zydus Lifesciences: completed the acquisition of US-based Assertio Holdings through its wholly-owned subsidiary Zara Merger Sub Inc.

Word of the Day

Subsidiary

It is a company that is controlled by another company, known as the parent company

A company is generally considered a subsidiary when the parent company owns more than 50% of its voting shares or has control over its operations and decisions.

If the parent company owns 100% of the shares, it is called a wholly-owned subsidiary.

Subsidiaries allow companies to expand into different businesses or markets while remaining under the same corporate group. They can protect the parent company from the subsidiary’s legal and financial liabilities.

6 Day Course

Theme: understanding FIIs

Day 2: Tuesday

Many different factors affect the buying/selling/holding decision of FIIs.

Each of them is governed by their own set of criteria. But some factors are common to them all.

One such factor is US interest rates.

This seems trivial but a lot of money moves in and out of emerging markers (like India) simply because of the US interest rates.

The US government bonds are considered the least risky of all investments in the world. But their returns are also very low.

So whenever the interest rates are increased in the US, many investors move some part of their money to the US. This leads to sell off in countries like India and Vietnam (emerging markets).

Most investors have rough targets for their investments. Based on these targets, investors invest in different assets in different percentages.

When the US bond rates go up, they sell elsewhere and move some money into US bonds.

The opposite also happens. When the interest rates are reduced, money starts flowing away from the US bonds and into emerging markets.

Featured Question

Q. “I see some actively managed mutual funds have more than 1 fund managers. How do they mostly divide the responsibilities of managing the fund among themselves?”

There can be many reasons for having multiple fund managers.

Many times, it is based on expertise.

Example: one fund manager may be an expert in certain industries while the other one specialises in other industries.

Or it may be based on strategy — example, one is a more value oriented fund manager while another is a more growth oriented manager.

In some funds it is based on assets. Example: balanced funds might need one fund manager for equity investments and another for debt investments.

Sometimes, one fund manager is the more experienced fund manager while the other is a junior fund manager who will take the fund over from the senior manager at a later stage.

In short, it is a hand over process for someone’s exit or retirement.

There can be other reasons behind having multiple fund managers as well.

Markets opened significantly above Friday’s closing point.

Nifty 50 opened higher due to positive global sentiments over the news of a US-Iran peace agreement.

Realty stocks and consumer durables stocks rose the most today. Pharma stocks and healthcare stocks fell the most.

Global markets: US markets and Asian markets rose. European markets rose (as of 6 pm IST).

News

• Iran and the US have reached an agreement, providing for an immediate ceasefire on all fronts, including Lebanon. The deal (MoU) is expected to be signed on Friday.

• India’s wholesale inflation rose to 9.68% year-on-year in May (vs 8.26% in April). Fuel inflation rose 30.33% year-on-year (vs 24.89% in April).

• India’s merchandise exports rose 18% year-on-year to $45.2 billion in May while imports rose 20.6% to $73.41 billion. The trade deficit increased to $28.21 billion (vs $22.56 billion in April)

• India’s unemployment rate rose to 5.5% in May (vs 5.2% in April).

  Razorpay has filed for an IPO with SEBI through the confidential route.

Stocks Updates

• HCL Tech: will invest Rs 1,427 crore in Axonwise Pvt Ltd, Sarvam AI’s parent company, for a 10.46% stake to strengthen sovereign AI and enterprise AI capabilities.

• Adani Enterprises: announced its intent to form a strategic alliance with Jabil Inc. to develop an AI and data centre infrastructure manufacturing platform in India, including AI racks, servers and power equipment.

• Dr Reddy’s: launched the first generic version of Bosulif, a blood cancer drug, in the US with 180 days of generic exclusivity. The brand had annual US sales of about $253.8 million as of April 2026.

• Waaree Energies: received an order to supply 800 MW solar modules from a domestic energy solutions provider, to be executed in FY2026-27.

• JSW Energy: will acquire a 100% stake in Maruti Clean Coal & Power Ltd for an enterprise value of Rs 1,410 crore, adding a 300 MW thermal power plant in Chhattisgarh, subject to approvals.

Word of the Day

Public Private Partnership (PPP)

It is an arrangement where the government and private companies work together to develop and operate public infrastructure projects.

The private company typically brings funding, expertise, and execution, while the government provides support through approvals, land, or revenue arrangements.

PPP projects are commonly used for roads, airports, metro systems, ports, and hospitals.

The aim is to improve public infrastructure by sharing costs, risks, and responsibilities between the public and private sectors.

6 Day Course

Theme: understanding FIIs

Day 1: Monday

Many of us know that Foreign Institutional Investors (FIIs) form a big chunk of investors in India.

Their buying/selling can influence the markets greatly.

But many of us tend to treat them as one block that acts the same which is obviously not the case.

In this week’s course we’ll dive deeper into this category and try to understand more about FIIs.

Any institutional investor that is not based out of India is categorised as FII.

This includes sovereign wealth funds, pensions funds, mutual funds, ETFs, index funds, hedge funds, banks, private equity funds, trusts, and even high-net worth individuals who use family offices to invest.

That is a very diverse group of investors. Each of these investors has their own style, investment duration, investment target, style, objective, holding period, etc.

We explored the question “What if your large-cap funds shared most of their portfolio?”

Check out the full report here.

Markets opened significantly above yesterday’s closing point.

Nifty 50 opened higher due to positive global sentiments over easing US-Iran tensions.

All sectors’ stocks rose today except for the IT stocks. Realty stocks and private bank stocks rose the most.

Global markets: US markets and Asian markets rose. European markets rose (as of 6 pm IST).

News

• India’s annual inflation rate rose to 3.93% in May (vs 3.48% in April).

• India’s forex reserves fell by $0.71 billion to $681.61 billion in the week that ended on 5 June.

• The government has banned industrial and commercial users from buying bulk petrol and diesel at retail petrol pumps. Retail diesel purchases are now capped at 200 liters per vehicle daily for the next 90 days.

• SEBI has proposed to harmonize the base price and price bands (circuit limits) for stocks that are listed on multiple exchanges (NSE and BSE). This is to prevent illiquid shares from having price disparities across different exchanges when they are actively traded on one platform but not on the other.

Stocks

• Adani Enterprises: company’s joint venture, AdaniConneX Pvt Ltd, acquired a 100% stake in Madhuvanti Build Estate Ltd from Adani Infra (India) Ltd for Rs 765.25 crore to develop infrastructure facilities.

• Tata Motors Passenger: will increase prices of its passenger vehicles, including EVs, by up to 1.5% from 1 July due to rising input costs.

• Hitachi Energy India: will invest around Rs 2,000 crore to set up a large power transformer manufacturing facility in Vadodara, Gujarat.

• JSW Energy: subsidiary, JSW Neo Energy Ltd, commissioned the 150 MW Tidong hydropower project in Kinnaur, Himachal Pradesh, taking its total installed capacity to around 13,900 MW.

• Sun Pharma: fixed 7 July as the record date for the final dividend of Rs 5 per share.

Word of the Day

Exceptional Items

These are significant one-time gains or losses that are not part of a company’s regular business operations.

They are disclosed separately to help investors understand the company’s normal operating performance without temporary distortions.

Exceptional items can increase or reduce profits significantly in a particular period.

Example: restructuring costs, major asset sales, legal settlements, etc.

6 Day Course

Theme: economy vs stock markets

Day 5: Friday

The economy’s health and the stock markets of a country are somewhat linked to each other. But not fully.

The stock markets are made up of companies that operate in the economy.

In such cases if the economy is not doing well, the stock markets cannot continue doing well for too long.

But if the stock market is made up of companies that are internationally exposed, it is possible that the stock markets might continue doing well while the country’s economy does poorly.

On the other hand, it is possible that the economy of a country does well, but the stock markets fail to deliver good returns.

This can happen because of various factors.

Example: maybe a bulk of the economy’s growth is coming from companies that are not listed on the stock markets (small and medium enterprises).

There can be other reasons for both too — but the point remains. They do not necessarily move in sync always.

Featured Question

Q. “I have watched many finance videos they tell that 1Cr is required which quickly compounds.. why not 10lakh or 50lakhs”

It’s just a value they are choosing for psychological effect.

Compounding is the same across all amounts. It’s just that for us, returns feel better with larger amounts.

Example:

There’s a mutual fund that gives a return of 15% per annum (let’s say).

Case 1: You have invested Rs 5,00,000

After one year your invested value goes up by Rs 75,000 (that’s 15%).

Case 2: You have invested Rs 2,00,00,000

After one year your invested value goes up by Rs 30,00,000 (that’s also 15%).

The rate of return is the same in both cases but the second case might make you feel much more happy because it is a higher amount in absolute terms.

Rs 75,000 might get you a nice phone. But that’s it.

Rs 30,00,000 can get you one or multiple cars as well as nice phones.

Even though you might not buy those things, you might feel nicer knowing how much more you can afford with your invested amount.

So many finance influencers and channels say that this ‘feeling’ gets better after Rs 1 cr. Below that, it doesn’t feel like much.

Markets opened below yesterday’s closing point.

Media stocks and pharma stocks rose the most today. IT stocks and chemicals stocks fell the most.

Global markets: Most US markets fell. Asian markets showed a mixed trend. European markets rose (as of 6 pm IST).

News

• The government has extended its zero-tax (no excise duty) exemption on petrol blended with higher levels of ethanol from E22 up to E30.

• The government has approved 96 companies under round-3 of the Textile PLI Scheme, bringing in a total committed investment of Rs 12,822.67 crore.

• India and Nepal have launched a peer-to-peer (P2P) cross-border remittance mechanism directly linking India’s UPI with Nepal’s National Payments Interface (NPI), allowing citizens of both countries instant money transfers using mobile apps.

Stocks

• UltraTech Cement: will acquire a 13.99% stake in FPEL Services Pvt Ltd, a 15.70 MW AC wind power SPV in Tamil Nadu, for Rs 12.09 crore to meet green energy requirements. Its subsidiary, India Cements, will acquire a 12.48% stake in the same company for Rs 10.78 crore.

• Power Grid: approved a Rs 485 crore project to upgrade its SCADA systems, which help monitor and manage its power transmission network. It also approved a JPY 80 billion through an unsecured term loan from JBIC and other partner lenders.

• Adani Enterprises: subsidiary, Adani Airport City Ltd, completed acquisition of 100% stake in Portus Ventures Pvt Ltd.

• Hindalco: subsidiary, Novelis Inc. restarted operations at its Oswego hot mill in New York, which had been shut following a fire incident last year.

• Power Finance: received approval from the President of India, conveyed via the Ministry of Power for the proposed merger of REC Limited into PFC.

• BHEL: received a Letter of Intent (LOI) from Damodar Valley Corporation (DVC) for the 1x800 MW Durgapur supercritical thermal power station.

• TCS: partnered with Anthropic to help enterprises scale AI adoption and jointly develop AI solutions for regulated sectors including financial services, healthcare, and telecom.

• Infosys: partnered with IHH Healthcare for a multi-country AI-powered ERP transformation programme across key markets including Malaysia, Singapore and Hong Kong.

Word of the Day

Joint Venture (JV)

It is an arrangement where two or more companies come together to undertake a specific project or business activity.

The companies pool their resources but continue to remain separate, independent legal entities.

They share the investment, risks, responsibilities, and profits based on the agreed terms.

Usually, a JV is discontinued once the project’s specific goal is achieved.

6 Day Course

Theme: economy vs stock markets

Day 4: Thursday

So, it is clear so far that the economy represents a much larger portion of the country’s activity.

Stock markets are within that.

One part that the stock markets don’t capture well is the informal economy.

The stock markets are filled with registered and governed companies that are above a certain size.

They do not capture the informal economy — gig workers, freelancers, agriculture, small businesses, etc.

Yes, there are some stocks that are directly affected by some informal sectors — like fertilisers are affected by the agriculture sector.

And overall, if the people in the informal economy aren’t doing well, consumption also starts falling which affects listed companies.

This is why investors tend to keep a close eye on economic performance numbers. Even more so in case of stocks from certain sectors like consumer stocks, agriculture stocks, auto stocks, etc.

It can tell them about the potential future performance of those stocks.

Featured Question

Q. “Exit loads are often presented as a mechanism to protect existing investors from the costs generated by short-term redemptions. Since both significant inflows and outflows can affect a fund’s portfolio management and cash allocation decisions, could you explain the economic rationale behind charging a load only on exits? What specific costs or risks are unique to redemptions that justify this treatment?”

Great question.

You’re right about sudden inflows and outflows affecting a fund manager’s plans.

So to discourage sudden outflow, a small exit load is put in place for some period from the date of investment.

Why not the same for inflow also? Why not an entry load?

This is because when new money gets invested, the investor gets the latest NAV but the fund manager can choose to wait and not invest that cash.

This way, the investor does not miss out on returns (he already has been given the units and will get appreciation benefits like any other investor in the mutual fund).

So the fund manager can wait till the right time to invest the cash. It’s a win-win for both the investor and the fund manager.

When an investor withdraws money, the fund manager is forced to sell stocks to give money back.

This is what hampers the long term plans of the fund manager.

This is why there is an exit load in place, but not an entry load.

Yes, all mutual funds keep some cash buffer so it’s not like the mutual fund manager needs to sell stocks for every withdrawal.

But if too many investors start withdrawing, the fund manager will be forced to sell.

So to discourage this behaviour, an exit load is kept.

Markets opened above yesterday’s closing point.

FMCG stocks and private bank stocks rose the most today. Media stocks and realty stocks fell the most.

Global markets: Most US markets rose. Most Asian markets and European markets rose (as of 6 pm IST).

News

• Fresh military strikes have taken place between the US and Iran, disrupting talks for a peace deal.

• The government has approved Phase 2(A) of the Ahmedabad Metro Rail Project at a cost of Rs 2,169 crore.

• China’s annual inflation rate stayed constant at 1.2% in May.

• The US annual inflation rate rose to 4.2% in May (vs 3.8% in April).

• CMR Green Technologies listed on the stock exchanges at a premium of 39.58% over the issue price and closed 25.62% up at the end of the day.

Stocks

• Hindustan Zinc: signed an MoU with Sulfozyme Agro India Pvt Ltd under its Zinc Industrial Park initiative at Khankhala, Rajasthan, to support sustainable metal recovery and downstream zinc manufacturing.

• Hyundai Motor India: said production at Chennai Plant-1 is expected to normalise by 22 June after disruption caused by a fire at supplier Mobis India’s facility.

• Lenskart: acquired the remaining 3% stake in Quantduo Technologies Pvt Ltd (also known as GeoIQ), increasing its holding to 100% and making it a wholly owned subsidiary.

• Reliance: partnered with Meta Platforms to develop a 168 MW AI-enabled data centre in Jamnagar, Gujarat, with Meta leasing capacity from the facility.

• Eternal (Zomato): received a GST demand order of Rs 6.49 crore, along with interest and penalty, from Andhra Pradesh authorities, which it will challenge.

Word of the Day

Follow on Public Offer (FPO)

It is when a company that is already listed on the stock exchange issues new shares.

This is after the company has already launched its Initial Public Offering (IPO).

It is a way for companies to raise money for growth, expansion, or to reduce debt.

Compared to an IPO, an FPO usually has fewer regulatory steps, since the company is already public.

FPOs can also give existing investors a chance to buy more shares, sometimes at a discounted price.

6 Day Course

Theme: economy vs stock markets

Day 3: Wednesday

One key point to remember about the two is this: stock markets are forward-looking & the economy is backward looking.

What does this mean?

When the economy’s numbers are released (GDP, inflation, etc), they are about a past period.

So it tells us about how the economy has been doing so far.

Stock markets usually perform based on future expectations (they are forward looking). In some sense, it is based on the potential future.

So if the future looks bright, investors start investing more causing markets to go up. If the future looks negative, investors start selling and the markets fall.

This is why, sometimes, we see the markets rise when the economy at present isn’t looking great — investors might be expecting a better future. Vice versa is also possible.

Of course investors can be wrong too.

They might be expecting a dull future and the markets start performing well instead. And vice versa.

This is why we see different types of market sentiments even when GDP and other economic numbers look good or bad.

Featured Question

Q. “When referring to the whole world, one can say ‘stock markets’, referring to the stock markets of different countries. In the case of India, why does Grow use ‘stock markets’ instead of the singular ‘stock market’?”

This is because it is referring to the stock exchange where the trading is taking place.

A stock exchange is a marketplace where stocks are bought and sold. It is a meeting point for sellers and buyers.

Yes, this happens online now, so we don’t have to go to the actual stock exchanges. But the idea is still valid.

In India, there are two stock exchanges — BSE or Bombay Stock Exchange and NSE or National Stock Exchange.

This means there are two stock markets in India where investors can buy/sell shares.

Most of the big companies are listed on both of these exchanges. Which means, you can buy from one exchange and sell on another.

This is why both of them behave similarly.

This is why people say ‘stock markets’. They are referring to the two exchanges in India.

In the US, there are many more stock exchanges and therefore they too use ‘stock markets’.

Usually, when investors say ‘stock markets’ they are referring to the stock markets of their own country.

If they speak about another country’s stock markets, they mention the country. Example: “the South Korean stock markets were up today”.

Or, if they want to speak about the entire globe, they say so specifically.

Example: “the global stock markets saw good sentiments today”.

Markets opened above yesterday’s closing point.

PSU bank stocks and private bank stocks rose the most today. IT stocks and media stocks fell the most.

Global markets: Most US markets rose. Most Asian markets and European markets rose (as of 6 pm IST).

News

• India’s current account surplus narrowed to $7.1 billion (0.7% of GDP) in the Jan-March quarter (vs $13.7 billion or 1.4% of GDP in the same quarter last year).

• The Indian Railways has approved multiple infrastructure projects. This includes Rs 285 crore to upgrade the 141 km Mahbubnagar-Secunderabad-Medchal electric line in Telangana and Rs 220.5 crore for doubling the 10.65 km Mararikulam-Alappuzha track section in Kerala and Rs 162.57 crore to upgrade the 120 km Bengaluru-Tumkur electric line in Karnataka.

• China’s exports rose 19% year-on-year in May (vs 14.1% in April) and while imports rose 27.4% (vs 25.3% in April). It recorded a trade surplus of $105.43 billion.

• Zepto has filed an updated DRHP (Draft Red Herring Prospectus) for a Rs 8,010 crore IPO.

Stocks

• Airtel: Bombay High Court has ruled in favour of the company in the long-running One-Time Spectrum Charge (OTSC) dispute. The court quashed the DoT’s demand of Rs 8,414 crore and set aside the related notices.

• Vodafone-Idea (Vi): Bombay High Court quashed DoT’s one-time spectrum charge demand of Rs 2,113 crore and ordered DoT to return the bank guarantees submitted by the company.

• Adani Enterprises: subsidiary Adani Airport City Ltd will acquire a 100% stake in Portus Ventures Pvt Ltd, a real estate and hospitality entity, for Rs 1.4 lakh to undertake real estate, hotel and resort development activities.

• Adani Energy Solutions: will acquire a 100% stake in IntelliSmart Infrastructure Pvt Ltd (a smart metering company) for Rs 3,050 crore, subject to regulatory approvals.

Word of the Day

Fresh Issue

It is when a company issues new shares typically as part of an IPO or follow-on public offer (FPO).

The money raised goes directly to the company and can be used for purposes such as business expansion, debt repayment, working capital requirements, etc.

A fresh issue increases the total number of shares in the market, which may lead to dilution of existing shareholders’ ownership.

A fresh issue is different from OFS or offer for sale where existing shareholders of the company (like founders) are the ones to sell the shares.

6 Day Course

Theme: economy vs stock markets

Day 2: Tuesday

Let’s talk about measuring both.

The stock markets are vast. We use indices to measure the performance of the markets.

Example: Nifty 50 is often used as an indicator of market performance.

Nifty 50 is made up of the 50 biggest companies on the markets only. But since they are the biggest 50, they have an outsized impact on the overall market.

Hence, measuring their performance is a good proxy for the overall markets’ performance. It is not perfect, but still good enough.

So if Nifty 50 goes up by x% in a day, we say ‘the markets were up x% today’.

On the other hand, the country’s economy is measured using GDP.

GDP (Gross Domestic Product) is a measure of the value of all the goods and services of a country.

Change in GDP tells us about GDP growth.

Example: India’s GDP grew by 7.7% in the financial year 2025-26.

Featured Question

Q. “Is our Indian stock market mostly dependent on Foreign investors? Mostly we see the major ups and downs when FIIS buy or sell in huge amount. Market is at the same place where it was before two to three years. No return generated at all. What’s the solution?””

The Indian stock markets have many different kinds of investors.

Yes foreign investors are a significant group of investors. But there are others also.

So in case they start selling/buying in big numbers, it does have an impact on the markets.

But they are not the biggest group. So it is not fair to say that the Indian markets are ‘mostly dependent’ on them.

These are the biggest players in the stock markets:

+Promoters of companies: ~40%
+Domestic Institutional Investors (DII): ~19%
+Foreign Institutional Investors (FII): ~16%
+Government: ~11%
+Individual Investors: ~9%
+NRIs, Trusts, other bodies: ~5%

The stock markets are affected by various factors. Periods of low returns and even negative returns are common.

This is why investing for the long term is suggested. In the shorter periods, returns can vary and even be negative.

Markets opened significantly below Friday’s closing point.

All sectors’ stocks fell today except for the healthcare stocks. Realty stocks and metal stocks fell the most.

Global markets: US markets fell on Friday. Asian markets and most European markets fell (as of 6 pm IST).

News

• India had launched E85 fuel, an 80-85% ethanol blend designed specifically for flex-fuel vehicles, across 48 retail outlets. It is priced around Rs 20 less than normal petrol (per litre). A flex fuel vehicle is a vehicle equipped with an engine that can run on petrol, ethanol, or any blend of the two.

Stocks Updates

• Adani Ports: subsidiary, Adani Harbour International FZCO, secured a 10-year marine services contract for Argentina’s first LNG export project (Southern Energy FLNG), through a 51:49 JV with Argentina-based Meridian Group, marking its entry into South America.

• Hindustan Zinc: signed an MoU with TERI to develop a 250-hectare ecological restoration project at its Chanderiya Lead Zinc Smelter Complex in Chittorgarh, Rajasthan.

• Grasim: approved Rs 3,094 crore investment to expand Lyocell fibre capacity at Harihar, Karnataka by 110,000 TPA.

• Samvardhana Motherson: commissioned its first captive solar power project in Uttar Pradesh through subsidiary Onega Solar. The 15 MW project will supply renewable power to its manufacturing plants.

• Lupin: partnered with Spain-based ERN to launch Luforbec, a respiratory drug used for asthma and COPD treatment, in Spain.

• JSW Energy: commissioned its wind blade manufacturing plant at Halol, Gujarat, with an annual production capacity of up to 450 blades (equivalent to supporting 600 MW of wind projects).

• TCS: won a multi-year IT infrastructure transformation and managed services deal with Canada Life to modernise its data centres and software lifecycle management across European operations.

Word of the Day

Promoter Holdings

It refers to the percentage of a company’s shares held by its promoters.

Promoters are the founding members, individuals, or entities that are responsible for controlling and managing the company.

A higher promoter holding often indicates strong confidence in the business, as promoters have a larger stake in the company’s future performance.

Changes in promoter holding can directly impact the stock price, as they affect market sentiment and investor trust.

Example: If a company has 100 crore shares outstanding and its promoters own 60 crore shares, the promoter holding is 60%.

6 Day Course

Theme: economy vs stock markets

Day 1: Monday

We often hear of good/poor performance of the economy/stock markets in the news.

Many people treat both as the same thing. But the reality is that they are different things and indicate different things.

In this week’s course, we will try to understand the key differences between the economy and the stock markets.

The first thing to understand is that they are looking at overlapping things, but not the same things.

The stock markets are made up of listed companies (companies whose shares are available on the share markets).

Even in that, there are indices that measure a portion of the stock market.

Example: Nifty 50 is made up of only the 50 biggest companies in the stock markets. Sensex 30 has only the 30 biggest. So on.

When we talk of the economy of a country, it includes all economic activity in the country.

It includes the production, spending and income of all companies and businesses (even if they are not on the stock markets), government spending, and even individual spending, and external trade etc.

We explored the question “What if you invest in a Regular mutual fund instead of a Direct mutual fund?”

Check out the full report here.

Markets opened above yesterday’s closing point.

Media stocks and healthcare stocks rose the most today. Metal stocks and IT stocks fell the most.

Global markets: Most US markets rose. Asian markets fell. Most European markets rose (as of 6 pm IST).

News

• The RBI has kept the repo rate constant at 5.25%, maintaining a neutral policy stance.

• India’s real GDP for FY25-26 grew 7.7% year-on-year (vs 7.1% in FY24-25). The GDP grew 7.8% in the Jan-March quarter: Ministry of Statistics and Programme Implementation.

• India’s forex reserves rose by $0.94 billion to $682.32 billion in the week that ended on 29 May.

• The government has doubled the equity investment cap for individual foreign nationals to 10% and waived income and capital gains taxes on FPI investments in government bonds, effective retrospectively from 1 April. These changes are part of the measures taken to simplify procedures and attract foreign inflows.

• CMR Green Technologies IPO was subscribed 127.04 times. Retail subscription: 27.03 times. IPO is closed for subscription.

Stocks Updates

• NTPC: signed a supplementary JV agreement with UPRVUNL to increase Meja Stage-II power project capacity from 2x660 MW to 3x800 MW.

• Tata Steel: clarified that a fire occurred at its UK subsidiary’s Port Talbot plant on 3 June. No injuries were reported, and the company is assessing the impact.

• InterGlobe (IndiGo): will temporarily suspend flights to Langkawi, Krabi, Ho Chi Minh City, Hong Kong, Shanghai and Siem Reap from July to September due to a soft demand environment and elevated operating costs.

• Lupin: received USFDA approval for Ranluspec (ranibizumab), an interchangeable biosimilar used to treat multiple eye disorders.

• Ambuja Cements: received no-objection letters from BSE and NSE for the proposed merger of Orient Cement Ltd with Ambuja Cements Ltd, subject to remaining statutory and shareholder/creditor approvals.

• United Spirits: will close its Hyderabad manufacturing unit by 31 August under its supply chain optimisation programme. The unit contributed around 2% of FY26 revenue.

Word of the Day

Real GDP

It is the total value of all goods and services produced in a country during a specific period, taking into account inflation.

GDP = Gross Domestic product

GDP is a metric that measures a country’s economic activity or size. A rising GDP indicates economic growth, while a falling GDP may signal a slowdown.

Sometimes, GDP can go up just because prices have risen and not because more goods and services are produced in a country.

Real GDP helps us see if the economy is actually growing or if things just cost more. It shows the ‘real’ value of a country’s GDP

Example: If the unadjusted (nominal) GDP grows by 8% but inflation is 3%, the real GDP growth is approximately 5%.

6 Day Course

Theme: use of LLMs in investing

Day 5: Friday

Another word that we’re hearing more and more of is ‘agents’.

In simple language, AI agents or LLM agents are dedicated LLM bots that do one role very well.

To better understand, think about the regular ChatGPT or Gemini experience.

You open a new chat, and then write a query. Example: “tell me about the best books on Indian history”.

Now, you might want something more specific like “make sure these books are written by Indian authors”, or “make sure the book is priced below Rs 1,000”.

So this chat is going to behave a certain way.

But when you start a new thread, you will have to explain all of these things again.

Agents are LLM bots that you can assign a highly specific role to. And then, that agent always behaves in that manner.

Not just behave, it will follow instructions by you.

So you could give long and detailed steps about how it must behave and it will try to follow it.

You can even assign it tools it can use to be able to deliver results (use of speadsheets, data plug-ins, etc)

In finance, many investors are starting to use agents for various applications.

Example: agents can be made as an industry expert, value investing expert, an expert who thinks like Warren Buffett, etc.

LLMs are incredibly powerful at summarising.

Many investors use LLMs to quickly read through large PDFs like quarterly reports.

So, they may upload the PDF to an LLM service like NotebookLM and ask it questions.

Example: they upload this years’ annual report along with the previous years’.

Then, instead of looking for differences, they can ask the LLM a question like “what are the major things that have changed in the last 1 year?”

In fact, many documents can be uploaded together to ask for a combined report taking into account all different factors involved.

Similarly, investors can upload their entire portfolio details (of all stocks, bonds, mutual funds, etc) and ask for regular summaries to keep a close track of what’s happening.

Featured Question

Q. “Why companies pay dividends? Are they bound to pay or its depends on their sole discretion...?”

It is the companies’ sole discretion.

Usually, companies give dividends when they have no use for the money.

This is why you will see fast-growing companies often skip giving dividends. It’s because they are re-investing the entire amount back into the business’s future growth.

Larger companies that cannot use such large amounts tend to keep some portion for future re-investment and return some in the form of dividends.

Dividends are a touchy subject and many companies tend to ensure they are consistent with their dividends to keep investors happy.

They feel not doing so will result in investors losing confidence in them and selling the stocks.

This is why companies that give dividends try to be regular with it and also try to keep their dividend amounts consistent.

This is also why many loss-making companies still give dividends.

They are trying to signal that they are confident that the losses are a temporary bump and they will be profitable in the future.

Dividend paying companies tend to be larger in size but that is not a norm. There are smaller companies that pay dividends too.

Markets opened below yesterday’s closing point.

Media stocks and consumer durables stocks rose the most today. Metal stocks and IT stocks fell the most.

Global markets: US markets and Asian markets fell. Most European markets rose (as of 6 pm IST).

News

• SEBI has passed an interim order against Rajesh Exports, a gold refining and jewelry export company, over alleged misrepresentation of Rs 15.15 lakh crore in the revenue. This accounts for nearly 99.8% of the company’s consolidated revenue over 5 years. The company’s chairman has denied the findings.

• CMR Green Technologies IPO has been subscribed 9.59 times. Retail subscription: 7.91 times. IPO closes tomorrow (5 June).

Stocks Updates

• Power Grid: commissioned the Transmission Network Expansion in Gujarat to increase ATC from ISTS, Part-B project to strengthen the state’s power transmission network and improve electricity transfer capacity.

• Vedanta: subsidiary, Talwandi Sabo Power Ltd has been renamed as Vedanta Power Ltd with effect from 3 June, following MCA approval.

• Hindalco: launched Eternia experience centre in Lajpat Nagar, New Delhi, and a 1.2 lakh sq ft manufacturing facility in Bilaspur (Gurugram) with capacity to produce 2.5 lakh sqft of aluminium windows per month.

• CG Power: commissioned a new extra high-voltage switchgear manufacturing facility, S3 Unit-II, in Nashik with an investment of Rs 39.49 crore with an annual capacity of 7,200 units.

Word of the Day

Liquidity

It refers to how easily an asset can be converted into cash without significantly affecting its price

Assets with high liquidity can be bought or sold quickly, while assets with low liquidity may take time to sell or may require a price discount.

Cash is considered the most liquid asset, whereas assets like real estate are less liquid.

Businesses and individuals need to maintain some liquidity to meet short-term expenses or for emergencies.

6 Day Course

Theme: use of LLMs in investing

Day 4; Thursday

Another word that we’re hearing more and more of is ‘agents’.

In simple language, AI agents or LLM agents are dedicated LLM bots that do one role very well.

To better understand, think about the regular ChatGPT or Gemini experience.

You open a new chat, and then write a query. Example: “tell me about the best books on Indian history”.

Now, you might want something more specific like “make sure these books are written by Indian authors”, or “make sure the book is priced below Rs 1,000”.

So this chat is going to behave a certain way.

But when you start a new thread, you will have to explain all of these things again.

Agents are LLM bots that you can assign a highly specific role to. And then, that agent always behaves in that manner.

Not just behave, it will follow instructions by you.

So you could give long and detailed steps about how it must behave and it will try to follow it.

You can even assign it tools it can use to be able to deliver results (use of speadsheets, data plug-ins, etc)

In finance, many investors are starting to use agents for various applications.

Example: agents can be made as an industry expert, value investing expert, an expert who thinks like Warren Buffett, etc.

Not all agents “chat” with the user. Some are automated and simply perform their assigned task without interacting with anyone.

Featured Question

Q. “What is meant by zero interest deep discount bonds”

Zero interest deep discount bonds are bonds that do not pay a regular interest.

When you buy a zero interest deep discount bond, you give the bond issuer the money as an investment.

You get the investment amount + interest back only at the time of the maturity of the bond.

So, instead of paying interest every month/quarter/year, these bonds pay interest only once.

Example: the zero interest deep discount bond offers a maturity amount of Rs 10,00,000 in 10 years, if you invest Rs 3,00,000 today.

Markets opened below yesterday’s closing point.

PSU bank stocks and private bank stocks rose the most today. IT stocks and realty stocks fell the most.

Global markets: Most US markets closed almost flat. Most Asian markets rose. European markets fell (as of 6 pm IST).

News

• India’s composite PMI rose to 59.3 in May (vs 58.2 in April). Services PMI rose to 59.8 (vs 58.8 in April). This means economic activity grew more in May than in April.

• The government approved a one time Rs 10,000 crore Price Stabilization Fund to provide interest-free loans to Oil Marketing Companies. The aim is to stabilize jet fuel (ATF) prices to shield Indian airlines from West Asia crisis shocks and prevent extreme fare hikes.

• The RBI dismissed rumors that it sold gold worth $12 billion to defend the Rupee, clarifying that its physical gold reserves remain entirely steady at 880.52 tonnes.

• The US has proposed tariffs up to 12.5% on goods from India and around 50 other countries, claiming these countries failed to block products made with forced labor from entering their markets. The India-US bilateral trade talks are currently underway.

• The government approved the construction of a new coastal highway from Rameshwar to Paradeep in Odisha at a cost of Rs 8,300.79 crore.

• The government approved Rs 7,597.16 crore for the widening of the Armoor-Jagtial-Mancherial (NH-63) and Jagtial-Karimnagar (NH-563) highway sections in Telangana into 4-lane roads.

• The government approved Rs 4,415.60 crore to upgrade and widen 233.65 km of the NH-347B highway corridor in Madhya Pradesh.

• The government approved Rs 3,936.05 crore for the upgradation of the 143.5 km Khagaria-Purnea section of NH-31 and NH-231 in Bihar to a 4-lane highway.

• Oyo’s parent company Prism received SEBI’s approval for a Rs 6,650 crore IPO.

• CMR Green Technologies IPO has been subscribed 2.46 times. Retail subscription: 2.45 times. IPO closes on 5 June.

Stocks Updates

• IndiGo: will temporarily discontinue flights to and from Manchester from 31 August due to airspace restrictions, higher fuel costs, and operational challenges. The company will return 1 of its 6 leased Boeing 787 Dreamliners to Norse Atlantic Airways.

• Lupin: along with alliance partner Natco Pharma, received US FDA approval for Eribulin Mesylate Injection used to treat metastatic breast cancer and liposarcoma. The original drug recorded annual US sales of about $43.7 million.

• TCS: expanded partnership with Euroclear to modernise Sweden’s central securities depository.

Word of the Day

Tariffs

They are taxes imposed by a government on goods imported from other countries.

Tariffs are used as a tool to make imported products more expensive, protect domestic industries from foreign competition and encourage local production.

Higher tariffs can increase the cost of imported goods for consumers, while lower tariffs can promote trade between countries.

Example: If India imposes a 10% tariff on imported steel worth Rs 100, the importer must pay an additional Rs 10 as tax, increasing the total cost to Rs 110.

6 Day Course

Theme: use of LLMs in investing

Day 3: Wednesday

Many LLMs offer integration with spreadsheets.

This means investors can analyse, and make changes to their Microsoft Excel or Google Sheets files.

This is a great tool for investors whenever any kind of calculation or analytics is involved.

Many analysts make use of complicated formulas which can now be written much more easily with the help of these LLM tools.

Not just that, investors can store vast quantities of different data and use LLMs to analyse and summarise them.

Similarly, there are plug-ins for analysing documents, reports, PDFs etc that can help investors get their key desired insights from a vast amount of information or data.

A combination of these plug-ins can be used to collect information from different sources and store in one central document.

Featured Question

Q. “I heard some people say about market corrections some time market starts going down and down... and some say market correction is going that’s why..... If it is true then what exactly is market correction and how it is done.... is there any fixed time or day ??”

‘Market correction’ is a way of describing a fall in the markets.

Usually, ‘correction’ is used for less severe market falls.

The word correction also implies that the fall is temporary and that the markets will catch up.

Obviously it is impossible to predict just how big a market fall will be and how long it will last.

So, corrections do not have a fixed time or day. It is not something that someone consciously controls.

It happens first and gets labelled as a ‘correction’ later.

Some believe a correction is when the market falls over 10% but less than 20%.

But there is no clearly accepted definition of a ‘correction’.

Markets opened below yesterday’s closing point.

IT stocks and consumer durables stocks rose the most today. Pharma stocks and healthcare stocks fell the most.

Global markets: US markets and Asian markets rose. European markets rose (as of 6 pm IST).

News

• India’s fiscal deficit for FY25-26 stood at 4.4% of the GDP, in line with government estimates.

• Commercial LPG prices have been raised by around Rs 42 to Rs 53.50 per cylinder. This is the 4th hike in a month.

• India has officially issued a Letter of Request (LoR) to the French government for a Rs 3.25 lakh crore ($39 billion) deal to purchase 114 Rafale fighter jets for the Indian Air Force (IAF): as per media reports

Stocks Updates

• Adani Green: stepdown subsidiary, Adani Hybrid Energy Jaisalmer Five Ltd, operationalised a 50 MW solar power project at Khavda, Gujarat, taking total operational renewable capacity to 19,835.8 MW.

• Power Finance: 3 wholly owned subsidiaries, Deoghar Infra, Deoghar Mega Power, and Jharkhand Infrapower, were struck off and dissolved by the Registrar of Companies.

• Adani Energy: incorporated 7 wholly owned subsidiaries (Sunrays Step I, II & III Ltd and Arasan Step I, II, III & IV Ltd) to undertake electricity generation, transmission and distribution business.

• Mankind Pharma: subsidiary, Mankind Lifesciences, acquired the remaining 10% stake in Upakarma Ayurveda for Rs 75 lakh, making it an indirect wholly owned subsidiary.

• Infosys: expanded partnership with Norway’s DNB Bank to modernise its financial crime detection systems, including fraud monitoring and anti-money laundering operations.

Auto Updates (May)

• Maruti Suzuki: sales stood at 2.43 lakh units. Domestic sales stood at 1.94 lakh units and exports stood at 41,914 units.

• M&M: sales grew 20% year-on-year to 99,636 units. Domestic passenger vehicle sales grew 11% to 58,021 units while commercial vehicle sales grew 19% to 24,079 units.

• Tata Motors Passenger: sales grew 42% year-on-year to 59,790 units.

• Hyundai Motor: sales grew 4.1% year-on-year to 61,137 units including export sales of 13,300 units.

• Eicher Motors: sales grew 15% year-on-year to 1.03 lakh units. Exports fell 33% to 9,116 units.

• TVS Motor: sales grew 31% year-on-year to 5.67 lakh units. EV sales grew 56% to 43,632 units.

• Ashok Leyland: sales grew 4% year-on-year to 14,923 units.

• Escorts Kubota: sales grew 18.9% year-on-year to 12,310 units.

• Bajaj Auto: sales grew 20% year-on-year to 4.61 lakh units.

Word of the Day

Fiscal Deficit

It occurs when the government’s spending exceeds the government’s income in a financial year.

When government spending exceeds its income, it needs to borrow money to bridge the gap. This gap is known as the fiscal deficit.

It is measured as a percentage of the GDP to see the borrowing level of the government.

A higher fiscal deficit means the government is borrowing more, while a lower fiscal deficit might indicate government is spending efficiently.

Having a fiscal deficit is common for most countries and not always bad. It depends on how the borrowed money is used.

Fiscal deficits can have an effect on inflation, interest rates, national debt, bond yields, and the overall value of a country’s currency.

6 Day Course

Theme: use of LLMs in investing

Day 2: Tuesday

Next, let’s look at the ability to find info.

When given a stock’s name, many LLMs are able to successfully dig up quality information that can range from recent history to way back.

Of course, for this to happen, the data must be easily available. If there is no data, the LLM will not be able to find it.

This means that it is usually better at talking about the history of bigger and older companies than newer and smaller companies.

Published news articles and quarterly reports are two of the biggest sources of information for LLMs.

LLMs also use information available on forums like Reddit and other such online sources.

This can be a potential source of misinformation also, which can cause the LLM to hallucinate.

Along with facts, LLMs have also become good at tracking published numbers (like stock price, revenue, earnings, etc) and have shown the ability to link stock price with various events that happen over time.

Featured Question

Q. “What happens to mutual funds whose AUM drops to 0? (I had an SIP in a very bad fund where the AUM has now fallen significantly. I stopped the SIP but didn't redeem my units)”These platforms partner with a US based firm to make this happen.

A mutual funds’ AUM can drop to 0 under two conditions:

- The value of all assets of a mutual fund go to Rs 0 (all shares, bonds, etc become Rs 0)

- Every single investor withdraws money from the mutual fund

This is an extremely rare situation and does not happen very often.

Sometimes, a mutual fund may be merged with another mutual fund. The investors would get units of the newly merged mutual fund in return.

Sometimes, a mutual fund may be shut down and the investors’ money returned to them.

Sometimes, the mutual fund may just continue to operate for years while having poor performance.

If a mutual fund’s returns are consistently low, you may consider withdrawing the money and investing elsewhere.

Markets opened above Friday’s closing point.

Nifty 50 fell throughout the day and closed in the red.

IT stocks and media stocks rose the most today. FMCG stocks and PSU bank stocks fell the most.

Global markets: US markets rose. Asian markets showed a mixed trend. Most European markets fell (as of 6 pm IST).

News

• India’s manufacturing PMI rose to 55 in May (vs 54.3 in April). This means manufacturing activity grew more in May than in April.

• India’s industrial output rose 4.9% year-on-year in April (vs 4.1% in March).

• India’s gross GST collections rose 3.2% year-on-year to 1.94 lakh crore. Net GST collections rose 3.3% to 1.66 lakh crore.

• The government has reduced export duties on petroleum products, effective 1 June to ensure domestic availability. The Special Additional Excise Duty is revised to Rs 1.5 per litre on petrol, Rs 13.5 per litre on diesel, and Rs 9.5 per litre on aviation turbine fuel (ATF). Domestic duties will remain the same.

Stocks Updates

• M&M: incorporated a 50:50 life insurance joint venture, Mahindra Manulife Insurance Ltd, with Manulife Holdings (Bermuda).

• Kotak Mahindra: approved the acquisition of a loan portfolio and non-treasury investments worth Rs 10,639 crore from subsidiary Kotak Mahindra Investments.

• Wipro: step-down subsidiary, Wipro IT Services LLC, will acquire an additional 20% stake in Aggne Global for $28.5 million, increasing its holding to 80%.

• Groww: company’s subsidiary, Groww Asset Management Ltd, received SEBI approval for State Street Global Advisors to acquire a 22.94% economic interest and 4.85% voting rights in Groww AMC, without any change in control.

• Zydus Lifesciences: revised its Rs 1,100 crore buyback offer o up to 87.3 lakh shares at Rs 1,260 per share through the tender offer route.

Word of the Day

Amortization

It means gradually spreading out a cost over time, instead of paying it all at once.

Amortization can be used in 2 cases: for loans or business expenses.

Payments are made/recorded in regular installments until the full amount is covered.

Example: If a person takes a Rs 5 lakh loan, it can be paid in monthly installments of Rs 20,000 over a few years.

In the case of a company, if it buys a software license, it can spread the cost over the number of years the license is valid, rather than recording the entire expense in one month.

6 Day Course

Theme: use of LLMs in investing

Day 1: Monday

LLMs have become extremely good over the last 3-5 years.

So much so that they have become extremely common in corporate circles.

ChatGPT, Gemini, and Claude are some examples of LLM chatbots that are commonly used.

In this week’s course, we’ll try to learn about possible uses of these tools for an investor.

The first and foremost thing every investor needs to internalise is that no matter how good these LLMs are, they still make mistakes.

Hallucination or presenting false info as real info is still common.

So a habit we all have to build is to never rely fully on these tools.

Yes, they used to hallucinate a lot more earlier, and now, it has reduced significantly.

But the fact remains, they still do hallucinate and are not good at recognising that they are hallucinating.

We explored the question “What if you bought stocks based on promoter buying?”

Check out the full report here.