Markets opened above yesterday’s closing point.
FMCG stocks and realty stocks rose the most today. Media stocks and PSU bank stocks fell the most.
Global markets: US markets fell. Most Asian markets rose. European markets fell (as of 6 pm IST).
News
India is accelerating negotiations for an FTA with Canada while talks with the Gulf Cooperation Council (GCC) have been paused due to geopolitical tensions in West Asia: Minister of Commerce and Industry
Stocks Updates
L&T: will sell its entire stake in L&T Metro Rail (Hyderabad) for Rs 1,461.47 crore.
Bajaj Finance: net profit rose 27.8% year-on-year to Rs 5,483.68 crore in the Jan-March quarter. Dividend announced: Rs 6 per share.
Vedanta: net profit rose 88.5% year-on-year to Rs 9,352 crore during the Jan-March quarter.
Indus Towers: incorporated a wholly owned subsidiary, Indus Towers Global Ventures IFSC, at GIFT City, Gujarat.
Indian Bank: net profit rose 6.4% year-on-year to Rs 3,115.2 crore during the Jan-March quarter. Dividend announced Rs 18.25 per share
Adani Power: net profit rose 64.3% year-on-year to Rs 4,271.4 crore during the Jan-March quarter.
Dr Reddy’s: received Health Canada approval for its generic Semaglutide Injection, enabling launch in the Canadian market.
Word of the Day
Funding Round
It is a stage where a startup raises money from investors to grow its business.
In return for money, investors usually get ownership (equity) in the company.
Startups raise money in different stages like Pre-Seed, Seed, Series A, Series B, and so on.
Each round signifies a different stage of the company as it grows and helps in determining the company’s valuation.
6 Day Course
Theme: fund manager role
Day 3: Wednesday
Fund managers are subject to regulations to ensure investors’ money is safe and free from any malpractice.
Fund managers’ communications may be tracked during market hours.
They need clearance from their compliance departments to speak about individual stocks.
All their communications (calls, emails, WhatsApp, social media, etc) can be monitored by SEBI if they feel the need to.
They are usually restricted from buying individual stocks. They must invest their personal money in mutual funds and ETFs.
20% of fund managers’ salary must be paid in the form of units in mutual funds they manage to ensure the investors’ and fund managers’ interests are aligned.
This amount is locked in for 3 years.
Fund managers must also declare if they have key relations with key persons in other companies (like a brother who is a senior executive at a listed company, etc).
Even investment accounts of relatives and close relations may be tracked to ensure there is no insider trading./CFA degree is not mandatory.
Featured Question
Q. “How are dividends processed and credited? Additionally, please clarify the difference and the typical time interval between the ex-dividend date and the record date.”
It all starts with a company announcing dividends.
A company declares the dividend amount and the ex dividend date.
On the ex dividend date, the share price is reduced by the dividend amount.
Record date is the date before which you need to own the shares to be eligible for the dividend.
The ex dividend date and the record date are usually the same date.
If your name is not on the company’s ledger on this date, you will not be eligible for the dividend.
By regulation, the gap between the dividend declaration and the record date must be at least 7 working days.
Payment date is the date on which the dividend actually reaches the shareholders’ accounts.
It usually occurs 10-20 days after the record date.
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