Niveshak December 2013 Issue with Page Flip version
Monday, December 30, 2013 , Posted by Team Niveshak at Monday, December 30, 2013
Dear Niveshaks,
AAP has won 28 out of 70 seats and emerged as the second
largest party after BJP with the ruling Congress ending up in a humiliating
defeat. The main reason behind this is sighted as the growing distrust on
Congress among the people of the country in the wake of numerous scams and
growing food prices. The assembly elections which were seen as semi-finals
before the upcoming 2014 general elections has shown the signs of uprising
Modi-wave in the country with the BJP emerging victorious in almost all the
states in which the elections were held. Now, the AAP is all set to establish a
new government in Delhi with outside support from Congress. The main agenda of
the party will be to first prove their majority on the floor and then to pass
the Jan Lokpal bill as early as possible. The year has also seen an uproar in
the benchmark stock indices of Sensex and Nifty after they scaled new heights
despite slowing economic growth and high inflation, in hopes of wider reforms
after the 2014 Lok Sabha elections. The strong show by the BJP in assembly
elections contributed to boost investor sentiments and stock indices breaking
their previous all-time highs. The Federal Reserve’s announcement of a $10
billion stimulus cut, finally after a long wait, has also helped the markets
stabilize. After fluctuating in a tight range for a major part of the year, the
Sensex recorded a new intra-day high of 21,483.74 on December 9. The index has risen
by 8.5% in 2013 from 2012 as compared to 26% in 2012.
The article of the month, ‘Telecom Vendor Market undergoing
a paradigm shift’ gives a note on the changing telecom landscape and its
possible ramifications for the cost-sensitive market like India. Our cover
story ‘Outlook 2014’ brings forward a detailed analysis of the prevailing
global and domestic economic factors, their impact on various sectors and give
their standpoint for the year 2014. Our next presentation, ‘Japanese Economy –
How it feels to sit on a Time Bomb’ tells us how the ‘Abenomics’ has affected
Japan’s economy and what they must do to come out of a likely abyss. The
article on “Facebook IPO” from FinPact critically analyzes what went wrong with
the biggest ever IPO. FinSight article “Mc Aloo Pvt Ltd” relates the strategies
adopted by a hypothetical Pani Puri Vendor to that of the banks. The Government
Securities (in short G-secs) are considered to be of low-risk since they are
backed by the taxing power of the government and are issued by it or its
agencies. The classroom section of this issue takes you through how government
uses these instruments to raise money and where to obtain them.
To end this brief note, it’s important that we thank you,
our readers, for your constant support and appreciation. It is your endless
encouragement and enthusiasm that keeps us going. Kindly keep pouring in your
suggestions and feedback to niveshak.iims@gmail.com and as always,
Team Niveshak.
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