Markets opened above yesterday’s closing point.
Nifty 50 rose to an all-time high before falling in the second half of the day and closing flat.
Media stocks and private banks stocks rose the most. Oil and gas stocks and realty stocks fell the most.
Global markets: Most US markets and most Asian markets rose. European markets showed a mixed trend (as of 6 pm IST).
News
India and the UAE advanced their talks under the Comprehensive Economic Partnership Agreement (CEPA) on trade, market access, data exchange, gold import quotas and anti-dumping. The India-UAE trade crossed $100 billion in FY 24-25.
India will open up the nuclear energy sector to private players, to boost innovation, investment, and clean‑energy growth: Prime Minister Narendra Modi
Stocks Updates
Zydus Lifesciences: signed an exclusive deal with RK Pharma to license and commercialize a novel supportive oncology injectable for the US market. It also received tentative USFDA approval to manufacture and sell Empagliflozin and Linagliptin diabetes tablets in the US.
TCS: signed a 5-year deal to modernize SAP’s IT systems using cloud and AI.
Tata Steel: company’s ongoing court case over a Rs 1,902 crore Sukinda mining demand has received extended interim protection from the Orissa High Court.
Sun Pharma: received FDA approval to update UNLOXCYT’s label with improved long-term efficacy data for advanced skin cancer.
Word of the Day
Cash Conversion Cycle
It shows how long it takes a company to turn its investments into cash
It measures the time from buying materials, making products, selling them, to collecting money from customers.
The time taken is measured in days.
A shorter cycle means the company gets cash back faster, which shows it is running efficiently.
For companies that keep products or materials in stock (inventory), this is one of the metrics of their financial health.
6 Day Course
Theme: company designations
Day 4: Thursday
Some mandatory roles are auditing roles.
Financial auditor: this role can be served by an Accountant or by a firm of Chartered Accountants.
This auditor is responsible for auditing financial records like balance sheets, profit and loss statements, cash flows, revenue, etc.
Internal auditor: this role can also be done by an individual or a firm.
The role audits operational processes like purchases, sales, inventory, etc.
Internal controls like segregation of duties, approvals, etc are also looked at by internal auditors.
Secretarial auditor: this role mainly checks if the company is fully complying with laws, regulations, and other such laws that might apply to companies belonging to certain industries/sectors.
Some companies might have a few other auditors that are mandatory based on the sector that they operate in.
Example: companies operating in the manufacturing, mining, metals, etc sector need to have a cost auditor who keeps a detailed eye on the expenses being incurred.
The quality and integrity of the people in the auditor roles is extremely important as the audits done by them are a direct source of truth about a company’s health for investors.
Featured Question
“Can we transfer equity mutual funds to my son without selling them. How capital gain tax is calculated”
Yes, it is possible.
When a gift is made from a father to the son, no gift tax is applicable. So this tax is not considered here.
This is done without selling the units or withdrawing money from the mutual fund. It happens via transfer of units.
The procedure to transfer equity mutual funds is different depending on if the mutual funds are stored in demat form or SOA form.
This will depend on the mutual fund platform you’re using.
The taxation occurs only at the time of withdrawing the money from the mutual fund. So tax is due when the son withdraws money from the mutual fund.
In this case, while calculating tax, capital gains and date of investment are calculated using the original investment date (when the father invested originally).
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Regarding the article, the TCS deal with cloud and AI is so fashinating for future sistems.
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