FINACE - ACE THE WORLD OF FINANCE(MAY EDITION)

HIGHLIGHTS

Adani Wilmar becomes the new champ
of FMCG sector

Pfizer sets up global drug development
centre in India

Flipkart acquires Wealthdesk & OpenQ
to step into wealth management
sector

Bank of Baroda posts ₹1,779 crores
profit in March quarter

Reliance Jio & Retail To Likely Get
Listed By December 2022: Report

FASTags May End Soon Across IndIa Germany pledges 10 billion euros
Satellite-Based Toll Based On Distance bilateral cooperation with India
Covered Under Testing

China may chalk up more debt as
lockdowns hit the economy

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ISSUE • 31 MAY 2022 • SUBSCRIBE

CONTENT 1 FROM OUR MENTOR'S DESK II
2 Meet the team
III
3 Corporate and startups
4 Financial entrepreneur 1
5 Personal finance
6 Financial facts you didn't N4
know
7 IPO 5

8 India 6

9 World 8D
10 Miscellaneous
11 Voice your opinion 10
12 Financial Metrics
13 Financial Aptitude E12
14 Lights camera and finance
13

14

X15

16

17

"When you INVEST , you are buying a "

day you don't have to work"

PRINCIPAL'S
CORNER

PROF.V.K.PALIWAL

Professor VK Paliwal, Ph.D., the esteemed principal
of our college, has been a valuable support for
Finanza. He is currently the officiating principal of
Dyal Singh College, University of Delhi . He has been a
valuable support for our society Finanza.

He was felicitated with the full bright Nehru Senior
Research Scholarship, USA in 2010-11. He has been
awarded the best Ph.D. thesis award in Material
Sciences-G. C. Jain Memorial Prize in 2005. He has
published numerous articles in national and
international journals and attended several
conferences as well.

Team Finanza is elated to work and learn under his
supervision and guidance. We sincerely thank Sir for
his unconditional support and guidance.

Team Finanza
Session 2021-22

I

FROM
OUR
MENTOR'S DESK
DR. RITA NAGPAL

( TIC , FINANZA )

Finanza, the finance society of With each new edition of
Dyal Singh College is a
voluntary group of students the newsletter, I hope
aiming to disseminate
quintessential knowledge on that our society creates
finance and related aspects
through the conduct of its the best content for you
activities throughout the year.
Since its inception in 2015, to make it not only
society has traversed a great
path to grow in size, scope and informative but also
shape to make it more
engaging for its members and interesting and
community. Members of
society have diversified relatable. Society
themselves in all manners. Be
it organising multifarious promises to be
events or hosting regular
speaker sessions with eminent unfettered in efforts to
personalities, the society has
managed to build a reputation make finance easy and
of its own.
simple for you. With the

hope that these pieces

help you enhance your

knowledge, I wish that

you have a pleasant

reading experience.

II

ANANYAA OBEROI PRESIDENT

2021 - 22 Finanza has always been a
bunch of enthusiastic
individuals who have
strived to impart
knowledge in the most
simple yet effective
manner. Our efforts are
aligned with our vision of
enhancing the financial
intelligence of the youth.
We strive to create an
environment where people
can grow and learn to lead
their lives as more socially
and financially responsible
individuals. Stay safe! Stay
informed!

VICE
APOORVA TYAGI PRESIDENT

III

ANURAG VANSHIT
TEWARI TYAGI

(SECRETARY) (CHIEF COORDINATOR)

MEET THE TEAM SHREY GOYAL LEEPAKSHI KHANNA SHREYANSH SARANSH TIWARI
(HEAD OF OPERATIONS) ARYA (PROJECT
(PROJECT LEADER)
(EDITOR-IN-CHIEF) COORDINATOR)

MANYA JUNEJA YASH ANANAYA
KULSHRESTHA KHARBANDA
(PROJECT SUPERVISOR)
(PROJECT SUPERVISOR) (PROJECT SUPERVISOR)




VARUN DEBROTO TEESHA ANJALI
SONI MANDAL ARORA JAIN

(PROJECT SUPERVISOR) (PROJECT SUPERVISOR) (PROJECT SUPERVISOR) (PROJECT SUPERVISOR)

RESEARCH & CORPORATE MRIDUL YASH
RELATIONS GARG SETHI

KANISHKA VIHANA PURVA
PANDEY BHARGAVA DUDHANI

NIHARIKA ISHIKA SHRISTY
PAHWA RASTOGI PRIYA

EDITORIAL TANVI
TEAM MADHAW

KHUSHI HARSH
KANDWAL GARG

GRAPHIC
TEAM

TARANG
CHAUDHARY

IV

CORPORATE

&STARTUPS
Adani Wilmar becomes the new champ of FMCG sector
Adani Wilmar's (AWL) sales reported Rs 54,214 crore revenue from operations
dethroning HUL from its top spot in the sector. Its revenue has seen a 46.2% jump from
its earlier sales. Meanwhile it's competitor Hindustan Unilever (HUL) reported Rs 51,468
crore sales. A major chunk of its sales comes from edible oils. However, a major concern
for AWL is that it's profit margins remained lower than the FMCG industry average. It's
net profit stood at Rs 803.7 crore against Rs 728.5 crore in the previous year.READ MORE

Adani Wilmar acquires Kohinoor and Charminar rice brands

Adani Wilmar has acquired renowned basmati rice brands Kohinoor and Chaarminar from the
US based McCormik, to expand its staple foods portfolio. The company, a joint venture
between the Adani group and the Singapore Agribusiness 'Wilmar International' didn't
disclose the consideration for acquisition, but it is said that the purchase was financed from
the IPO proceeds.Apart from Kohinoor and Chaarminar, Adani Wilmar has acquired Trophy -
which is popular in the hotel, restaurant and catering segment. The three brands are valued at
Rs 115 crore. The deal fortifies Adani Wilmar's position in India's branded basmati rice
segment as the number three player and aligns with its strategy to ramp up its packaged food
business.READ MORE

Pfizer sets up global drug development centre in India

US pharmaceutical company Pfizer has set up its global drug development centre at IIT
Madras Research Park, at an outlay of over Rs 150 crore. The centre which employs 250
scientists and technicians, would develop innovative formulations, small molecules and active
pharmaceutical ingredients. Is is also noteworthy that this facility is among 12 centres
established worldwide and the first one in Asia. The centre integrates two functions under the
export - oriented undertaking of Pfizer - pharmaceutical sciences and Global Technology and

undertaking centre of excellence. READ MORE

Firstcry haults IPO plans amid volatility

Ecommerce firm Firstcry will delay it's planned $1 billion IPO by a few months. The Pune

based etailer had filed plans to file it's draft IPO papers this month but is pulling back on

the advice of its bankers and investors. Firstcry, which also runs offlone stores, is also
thinking of recalibrating it's issue size and the vuation it is seeking when compared to its

initial plans. Earlier FirstCry was aiming for a valuation of close to $7 billion for an issue

size of $1 billion with an offer for sale component of around $700 million. READ MORE

South Aramco dethrones Apple Inc, becomes most valuable
company

.South Aramco, the world's largest crude oil exporter and the company which was ranked 4th
most valuable company last year has managed to dethrone Apple from its spot of the most
valuable company this year atleast for this month. Currently, Apple is valued at $2.37 trillion
and Aramco managed to squeak past it at a $2.43 trillion market value. A noteworthy thing
here is that Apple lost its position despite being the first company to hit a $3 trillion market
value back in January and that in the same time period Saudi Amramco witnessed a rise of

30% in its share value. READ MORE

1

CORPORATE

&STARTUPS
Flipkart acquires Wealthdesk & OpenQ to step into wealth
management sector

Flipkart owned digital payments and fintech company PhonePe is set to acquire two
wealthtech platforms, Wealthdesk and Quantech Capital Investment advisors (OpenQ) for
$70-80 million dollars. This deal will help Flipkart square up against its rivals Amazon and

Paytm. By helping it widen its offerings. READ MORE

Fintech startup BharatX raises $4.5 million in funding

Fintech startup BharatX has raised $4.5 million in a funding round from Silicon Valley-based famed
accelerator Y Combinator, 8i Ventures, Multiply Ventures and Soma Capital. Founded in 2019, by Mehul
Nath Jindal, Eeshan Sharma, and Shyam Murugan, graduates of the National Institute of Technology
(NIT) Trichy, BharatX is a fintech startup that enables consumer-facing platforms to offer credit-as-a-
feature.The company plans to utilise the given funds to expand its team and develop its product.
Meanwhile, the company is presently working with more than 50 brands in India growing its revenue by

more than 10X in the last four months, the company said in a prepared statement. READ MORE

Ecommerce enablement SoftBank plans to slash DoT computes NPV of Voda Idea
investment after a loss of $26 accrued interest on deferred
startup GoKwik raises $35 billion vision fund! dues at ₹16,133.1 crores

million in funding Masayoshi Son, founder and CEO of Vodafone Idea said that the telecom
SoftBank, one of the most aggressive and department has computed the NPV on
Ecommerce enablement company influential technology investors globally, the interest on spectrum and AGR on
GoKwik, on Wednesday, said that it claimed that this year the group will likely deferred statutory dues at ₹16,133.1
has raised $35 million as a part of its invest only half or even a quarter of what it crores. It had earlier calculated that at
new funding round led by Think did in 2021. Son's comment confirms what ₹16,000 crores, which, on conversion,
Investments and RTP Global.The new the startup ecosystem in India and would have given the government a
funding comes on the back of the worldwide has expected for some time 35.8% stake in loss-making telco. The
company raising $15 million as a part which is a slowdown in big-ticket funding carrier’s net loss for the fiscal fourth-
of its last funding round in November led by macroeconomic factors and the quarter beat estimates while narrowing
2021. According to GoKwik, it will use ongoing Ukraine-Russia crisis. Softbank's to ₹6544.9 crores from ₹7,234.1 crores
the funds to beef up its offerings to latest strategy to play 'defence' comes as in the previous three-month period.
online brands, take its product to more its Vision Fund reported a record loss of Quarterly revenue for the cash-strapped
direct-to-consumer (D2C) brands, and $26 billion for the year. AlsoTiger Global, operator increased 5.4% sequentially to
grow its tech, product and data another aggressive tech investor, reported ₹10,239.5 crores in the January-March
science capabilities. Besides that, a loss of $17 billion amid the global tech quarter, while ARPU rose to ₹124 from
GoKwik has also partnered with three
large payment aggregators to offer sell-off resulting in a trend. READ MORE ₹115 in the previous quarter. READ MORE
payment checkouts to smaller direct

to-consumer brands. READ MORE

2

CORPORATE

&STARTUPS

UpGrad Foundation launches with a corpus of INR 500Mn to focus on Scholarships,
Training, Skill Development & Mentorship

Taking another significant leap to make quality education affordable and accessible, upGrad, Asia’s higher Edtech major, announces the
formation of its philanthropic and not-for-profit division called upGrad Foundation.

“LifeLongLearning, upskilling, and career enhancements can no longer be the right of only those who can afford it. Therefore, upGrad
Foundation wants to take this theme of affordability, accessibility, and awareness to all who have growing aspirations and the Foundation
will help adopt, guide and train, at scale, said Ronnie Screwvala Chairperson & Co-Founder, upGrad.

The objectives and goals of this not-for-profit Foundation are wide and include Teachers’ Training, Mentoring & Coaching, Career
Guidance, Scholarships, Internships, and Online Student Exchange programs. It'll focus on all working professionals including 1st

Generation learners, women coming back to the workforce, and many in Public Services or the Armed Forces. READ MORE
Josh Talks raises $3.5M in a round led by Ankur Capital; will utilise funds for

product expansion

Regional content and upskilling platform, Josh Talks announced raising $3.5 million in a round led by Ankur Capital.
Josh Talks app has reported over 3.2 million downloads since its launch and has over 200,000 paid subscribers from
tier-II&-III cities of India. The organisation will utilise the funds to refine its product with the larger goal of making Josh
Skills the preferred social learning platform for Bharat. Further, it'll experiment with new product lines catering to the
aspirations of this user segment.

Last year, it launched new content categories like Josh Money, Josh Maati and Josh Aasha, and earned a revenue of
$1.5 million while aiming to clock a revenue of $4 million this financial year. It is also targeting to reach 35 million

subscribers and increase its monthly viewership to 195 million across all channels by March 2023. READ MORE

Bank of Baroda posts ₹1,779 crores profit in March quarter

Bank of Baroda reported a ₹1,778.77-crore net profit for the quarter ended March 2022, against a net loss of
₹1,046.50 crores for the year-ago period. The lender reported strong growth in net interest income (NII).

The NII grew 21.18% year-on-year to ₹8,611.67 crores, from ₹7,106.62 crores in 2021. Non-interest income,
however, witnessed an over 47% y-o-y decline at ₹2,522.29 crores. The net interest margin (NIM) rose 36 basis
points at 3.08% from 2.72% in the 4th quarter of FY21. On a quarter-on-quarter basis, it saw a 5-bps decline
from 3.13%. The bank’s provisions (other than tax) rose 5.10% to ₹3,736.38 crores for the period under review,

compared with ₹3,555.06 crores for Q4FY21. READ MORE

Only 23 of India’s 100 unicorn startups are profitable

In a historic moment for the world’s third-largest startup ecosystem, India got its 100th unicorn when Open, a neobanking platform

for small and medium enterprises, raised $50 million at a valuation of $1 billion.

These 100 unicorns have been aggressive in raising funds at high valuations but only 23 of the 100 unicorns, or startups valued at

$1 billion or more, have managed to achieve profitability for a financial year. These startups have raised over $80 billion from

investors to date, creating a total market value of more than $300 billion.

Some unicorns that have listed on stock exchanges last year have confronted an investor backlash for not managing to achieve

company-level profitability. Shares of Paytm’s parent One97 Communications Ltd, Policybazaar’s parent PB Fintech Ltd, and


Zomato Ltd have fallen below their IPO prices since they listed. READ MORE

Reliance Jio & Retail To Likely Get Listed By December 2022: Report

Mukesh Ambani-led Reliance Industries is gearing up for the mega IPO of two of its prized jewels—Reliance Retail and
Jio. Each company expected to raise between $6.5 Bn and $10 Bn during the market debut assuming dilution of at least
10% of the holdings by the promoters. The announcement, been hindered by the ongoing US-Russia tensions that have
battered tech stock across the globe, is likely to be made public at the upcoming AGM of RIL later this year.

In January, Reliance Retail had acquired a 25.8% stake in Dunzo, for $200 Mn while Jio acquired a 54% stake in robotics
startup, Addverb Technologies, for $132 Mn. In February, Jio picked up a 25% stake in Pranav Mistry-led Two Platforms

for $15 Mn and pumped in $200 Mn in Google-backed Glance in its Series D funding round. READ MORE

3

FINANCIAL
ENTREPRENEUR

Madhabi Puri Buch is the first women chairperson of Securities and exchange
board of India. Besides being the first woman to head India’s stock market
regulator, the 56-year-old Madhabi is also the youngest chairperson. She is
also the first person from the private sector and the first non-IAS individual
since 2002 to lead SEBI. And that’s not all, Madhabi had previously served as
a whole-time member of market watchdog SEBI for over 4.5 years. She held
this post, which is just below the chairperson, till October 4, 2021. A graduate
of St Stephen’s College and an MBA from IIM Ahmedabad, Buch started her
20-year stint in ICICI Bank as a project finance analyst and went on to
become the executive director—part of the fab six led by the then chief
executive K.V. Kamath. In 2011, Buch quit as the managing director and chief
executive of ICICI Securities to hand over the reins to Anup Bagchi. Industry
veterans say Buch is progressive, not always sticking to the required
regulatory processes and was instrumental in ensuring a consultative
approach by the regulator on key policy reforms. She also served as the non-
executive director at Zensar Technologies, InnoVen Capital India Pvt. Ltd,
Idea Cellular Ltd, Max Healthcare and Gabelhorn Investments Pte. Ltd.

TIMELINE

1983-1986- Bachelor's degree from St. Stephen’s college

1986-1988- MBA from IIM Ahmedabad

1988-1989- Social worker for PRADAN(Professional Assistance
for development action)

1989-1992- Finance Analyst at ICICI Bank

1993-1995- Lecturer at west cheshire college

1995-1996- Market research consultant at ORG-MARG

1997-2009- Re-joined ICICI Bank and rose Executive director

2009-2011- Served as CEO of ICICI securities

2011-2017- Non executive director at Idea
cellular, Zensar Technologies, Innoven Capital etc

2017-OCT 2021- Whole time Member at SEBI(Securities and
exchange board of India)

Feb 28 2022- Became First Women Chairperson of SEBI

4

PERSONAL
FINANCE

How to save more when
inflation makes your money
count less?

IfInflation has become a reality over the past few months, thanks to the
dwindling economy. But what is inflation? It means that things cost more
and that your money becomes less valuable. When a period of high
inflation hits - like right now - you may want to consider changing up the
way you handle your finances to help protect the value of your cash.
"Inflation is a time for investors and savers to reevaluate their strategies,"
says Walter Russell, CEO of financial adviser firm Russell and Company.

Here are some ways to save more during periods of inflation.

LOOK FOR HIGH-YIELD INTEREST RATES

Consumers can take advantage of higher interest rates on bank accounts
to fight the effects of inflation on their cash. Bank account interest rates
usually don't totally beat the rate of inflation, but these accounts can help
hedge against inflation far better than keeping cash at home or in a low-
rate account.

FIND WAYS TO KEEP COSTS LOW

If you haven't looked over your budget in a while, now may be a good time.
During the pandemic, you may have subscribed to multiple streaming
services that you don't use anymore, or you might be spending more
money dining out or paying for more convenience services now. Many
companies have resorted to increasing their prices or reducing the
quantity of products. Sometimes, even at the same time. This phenomenon
is called shrinkflation (shrinking+inflation).

CONSIDER INVESTING OR BUYING BONDS FOR LONG-TERM SAVINGS

It's a good idea to keep short-term cash - like an emergency fund -
accessible in a savings account, but if you have savings that you don't
expect to need for a year or more, you may want to consider investing
those funds or buying a treasury bond to earn at least some percent of
interest for the principle. READ MORE

5

1.It is a market that
4.Hyperinflation and high

experiences a prolonged price
interest rates are the major

decline causes of a Bear market

IThe term Bear Market originates from the Several circumstances cause a Bear
Bearskin traders. The original traders of the Market. Such scenarios include rising
country usually entered into an agreement where inflation, higher interest rates, military
they sold skins they had not received or paid for. conflict, a sputtering economy, and
This is because the traders wished to buy the skin geopolitical crisis. But which among
from sellers at a lower price and sell it at a higher these is likely to cause a Bear Market?
price which is synonymous with what happens in a We can note that military conflicts and
declining market. It is related to how a bear geopolitical crises are the most
attacks its prey by scratching its claws negligible contributing factors to a Bear
downwards, an action that resembles the Market.
downward trend in a declining market.

2.A Bear Market occurs when the
FINANCIAL 5.Bear Markets do not

overall market index falls by 20%
FACTS automatically result in

or more YOU recessions
DIDN'T
A Bear Market does not occur when stock prices are KNOW We have two types of Bear Market;
on a lower trend on most trading days, usually ninety recessionary and non-recessionary. A
days. When two businesses collude to publish that Bear market will often precede or
we are in a Bear Market, it does not occur. In reality, a coincide with an economic downturn.
Bear Market is where the overall market index falls However, there are several situations
by 20% or more from its peak. There are ongoing where there is a Bear Market in the
conversations among market watchers about the stock market, which has zero ripple
declining trend in 1990 that lasted for three months, effect on the economy.
whether it is a bear. During this period, the S&P
declined by 19.9% 6.In 1929 we had the worst

Bear Market of all time
3.On average, a bear market can

occur after 56 months. The Bear Market in 1929 is one of the
worst to date because it happened just
We can predict that, on average, a Bear before the much anticipated Black
Market occurs every 56 months. Monday. It will be a shock to many, but
According to Fedsmith, a good illustration the worst Bear Market started in 1973
of a Bear Market is when the Nasdaq and lasted through the fall of 1974.
Composite index closed on March 7 at a During this period, we saw oil prices
20% low below its previous high on Nov skyrocketing, which resulted in
19, 2021. The S&P 500 on its side was at exorbitant prices of essential
a high of 4976.56 on 3rd January. commodities.
Additionally, any close of 3837.25 is
below the set standard, and it loosely
translates into a Bear Market.

6

7.Longest Bear Market FINANCIAL 9.The worst investment
lasted for 9.6 months FACTS in a Bear Market is in
YOU the highest growth
Many investors speculate that an DIDN'T stocks
average Bear Market lasts for about KNOW
a year or several months. Others The worst situation to be in
estimate that it can last for at least when there is a Bear Market is
two years. Regardless of the timing, the highest growth stocks.
it feels like the situation is When there is a Bear Market,
permanent once it sets in. According these stocks are among the
to Ned Davis Research, the longest worst-performing. This is
Bear Market since 1929 has lasted because, before a Bear Market,
for nine and a half months. these stocks’ popularity
According to Forbes, it is better to expanded rapidly before
be in a Bear Market than a Bull everything crashed.
Market. A typical Bull Market can
last for several years. 10.Markets have been less
frequent since World War
8.It is profitable to invest II
in Treasury Bonds and
Gold funds in a Bear The period during World War II was
Market the most turbulent time ever
recorded in history. CNBC has a
Investing in Treasury bonds is the record of 12 Bear Markets between
best investment that one can 1928 and 1945, approximately one
make to get through a Bear Bear Market after one year and
Market. You can also invest in three months. After World War II,
gold or gold funds. Gold is a there were 14 Bear Markets, and
portfolio diversifier, and it takes the statistic improved to one Bear
an upward trend when the stock Market after five years and three
market is on a downward trend. months.

7

Biggest IPO or Blunder?

RELIANCE POWER

Reliance Power Limited, formerly Reliance Energy Generation
Limited is a part of the Reliance Anil Dhirubhai Ambani Group. It
was established to develop, construct, operate and maintain power
projects in the Indian and international markets.

IPO SIZE:- ₹11,563.20 Crores


Reliance Power IPO FAQs
Reliance Power IPO is a main-board IPO of 260,000,000 equity
shares of the face value of ₹10 aggregating up to ₹11,563.20
Crores. The issue is priced at ₹405 to ₹450 per share.


ISSUE PRICE:- Rs 2,150 inr
LISTING PRICE:- 590.00 INR today

LIFE INSURANCE CORPORATION

Life Insurance Corporation (LIC) of India is an Indian statutory
insurance and investment corporation headquartered in the city
of Mumbai, India. It is under the ownership of Government of
India.

IPO SIZE:- The total value of LIC IPO is set at ₹21,000 crore,
making it India's biggest public issue to date. Around 15.81 lakh
shares have been reserved for employees and around 2.21 crore
shares for policyholders.

ISSUE PRICE:- ₹ 867.20 PER SHARE

LISTING PRICE:-822.50 INR

8

COAL INDIA

Coal India Limited is an Indian government-owned coal mining
and refining corporation. It is under the ownership of the
Ministry of Coal, Government of India headquartered in
Kolkata, West Bengal, India. It is the largest coal-producer in
the world and a Maharatna public sector undertaking.
IPO SIZE:- ₹15,199.44 Crores
Coal India IPO is a main-board IPO of 631,636,440 equity
shares of the face value of ₹10 aggregating up to ₹15,199.44
Crores.
ISSUE PRICE:- 15475.1


@245.0/Share

Current price:-184.80 INR

PAYTM

Paytm (a partial abbreviation for "pay through mobile") is an
Indian multinational financial technology company specializing
in digital payment system, e-commerce and financial services.
Paytm is owned by One97 Communications.
IPO SIZE:- ₹18,300 crore

Digital payments and financial services firm Paytm has fixed
an offer price of ₹2,150 apiece for its initial share-sale, the top
of its price range, in its ₹18,300 crore initial public offering
(IPO),

ISSUE PRICE:- Rs 2,150 inr
LISTING PRICE:- 590.00 INR today

9

INDIA

FASTags May End Soon Across India! Satellite-Based Toll Based On

Distance Covered Under Testing

The government will bring in a new system of toll collection and is scrapping the FASTag system to do so. It will
instead collect toll tax using the satellite navigation system. It is reportedly already testing this as a pilot project.
Per this system, the toll will be paid according to the number of kilometers the vehicle travels on the highway.
The toll amount to be paid is directly proportional to the kilometers travelled. Presently, the entire amount of the
distance from one toll to another toll is collected from the vehicles. This method has tasted success in European

countries and the hope is that it works in India as well. READ MORE

Government Calls For Tighter EV India to let power plants The Centre has invoked an emergency provision to direct the Central
Battery Testing Standards, blend up to 30% imported Electricity Regulatory Commission (CERC) to allow power plants to use
Traceable Chain Of Manufacture coal to avoid a grid collapse coal blended with up to 30% imported content until March next year
without having to seek the consent of buyer states.
The government said a probe has found that a The directive said stocks at generating stations are depleting at a
major reason for the ongoing spate of electric worrisome rate due to a mismatch in demand and supply of domestic
vehicle fires is lapses in the safety standards coal. Stocks of coal on May 17 were at 20 million tonnes, adequate for
applied to batteries.In an interview, Union Road eight days at current consumption levels. Sources said the directive is
Transport Secretary Giridhar Aramane said a an enabling provision since many state-owned distribution companies
defective cell is usually the biggest cause of are not letting power plants blend imported coal with domestic coal as
such fires — if a cell is defective or the battery
management system is not proper, it can cause that will see tariffs increase substantially. READ MORE
an explosion. He said EV companies — more
than 40 in India's ecosystem — must consult Services exports set a new record of
battery manufacturers and work with $254.4 billion in FY22
regulators for better standards. He said the
government has strengthened the committee India's services exports set a new record of USD 254.4 billion (about Rs
looking into the EV fires and will soon issue 19 lakh crore) in 2021-2022, the commerce ministry said on Wednesday.
guidelines to ensure consumer safety without The exports also hit an all-time monthly high of USD 26.9 billion in
March, it said. Telecommunications, computer, and information services,
affecting innovation. READ MORE other business services, and transport are the top contributors to the
exports, it added. "The new record achieved in 2021-22 beats the
India doubles down on coal as
heatwave worsens power crisis previous high of USD 213.2 billion in 2019-20," READ MORE

India is planning to reopen more than 100 Centre waives import duty on some raw
coal mines previously considered financially
unsustainable, a government official said on materials for the steel industry
Friday, as a power crisis forces the world's
third-biggest greenhouse gas emitter to The government has waived customs duty on the import of some raw
double down on the dirty fuel. The country's materials, including coking coal and ferronickel, used by the steel industry, a
electricity demand touched a record high in move which will lower the cost for the domestic industry and reduce the
April as nearly three in four of India's 1.35 prices. Also, to increase domestic availability, the duty on exports of iron ore
billion people endured the hottest pre- has been hiked up to 50 percent, and a few steel intermediaries to 15
summer months in decades. percent, according to a notification.

Surging use of air conditioning triggered the The import duty on ferronickel, coking coal, PCI coal has been cut from 2.5
worst power crisis in more than six years last percent, while the duty on coke and semi-coke has been slashed from 5
month, and though temperatures have eased percent to 'nil'. The tax on the export of iron ores and concentrates has been
in recent days, they are forecast to rocket hiked to 50 percent, from 30 percent, while that on iron pellets a 45 percent

again soon. READ MORE duty has been imposed. READ MORE

10

INDIA

RBI to hike rates again in June as inflation pressures mount

With the latest headline retail inflation coming in at an 8-year high and above the tolerance limit for the fourth
consecutive month, analysts expect the Reserve Bank of India (RBI) to hike rates yet again. “The RBI’s surprise
intermeeting hike was partly in expectation of elevated inflation in April, but we believe substantial policy catch-
up is still needed. We continue to expect more frontloaded rate hikes: 35 bps in June, followed by 50 bps in
August and 25 bps at subsequent meetings until April 2023. We expect the repo rate at 5.75% by December
2022 and at 6.25% by April 2023. We also expect 100 bps in CRR hikes in H2 2023,” Research firm Nomura

wrote. READ MORE

PG price drop: Centre announces ₹200 subsidy on cooking gas to over 9 crore
under PM Ujjwala Yojana

Union finance minister Nirmala Sitharaman said the government would provide a subsidy of ₹200 per LPG
cylinder to over nine crore beneficiaries of the Pradhan Mantri Ujjwala Yojana. The subsidy will be provided for a
maximum of 12 cylinders per year, she said. This was part of a number of big-ticket measures to tackle price rise
and inflation in India due to the pandemic and the war in Ukraine, which has led to rise in prices worldwide.The
price of LPG rose by ₹3.50 for the second time in a month. Prices nationwide crossed the ₹1,000-mark.
A 14.2 kg cylinder cost ₹1,003 in Delhi and Mumbai, ₹1,029 in Kolkata and ₹1,018.5 in Chennai before the

subsidies. READ MORE

Govt bans wheat export with Govt weighs second edition of PLI scheme for textiles industry

immediate effect to control The government is eyeing the second edition of the production-linked incentive (PLI) scheme for textiles
and has begun consultations with the industry. Industry wants the inclusion of knitted fabrics in the
rising domestic prices scheme, besides manmade fibre and technical textiles, and a lower investment threshold of Rs 25 crore
instead of Rs 100 crore now. It also wants the government not to impose any conditions to set up a new
Services exports to Australia are expected company for the purpose of investment.
to more than double to USD 5 billion in the
next five years on the back of the trade pact PLI 2.0 for the textile sector is being considered as the ministry has an unutilized budget of about Rs
signed between the two nations, the 4,000 crore after it approved 64 applications with an investment potential of Rs 19,798 crore and
Services Exports Promotion Council (SEPC). projected turnover of Rs 1.93 lakh crore in the next five years under the first phase of the scheme last
SEPC Chairman Sunil H Talati said that
sectors that will be benefited immensely month. READ MORE
from the pact include telecommunications,
computers, information, travel, research and India considering spending additional $26 billion to fight inflation:
development, and professional and Sources
management consulting services.
On April 2, India and Australia inked an The Indian government is considering spending an additional Rs 2 lakh crore ($26 billion) in the 2022/23
economic cooperation and trade agreement fiscal year to cushion consumers from rising prices and fight multi-year high inflation, two government
(ECTA) to boost economic ties. The council officials told Reuters. The new measures will be double the Rs 1 lakh crore hit government revenues could
will be the nodal organization for creating take from tax cuts on petrol and diesel the finance minister announced on Saturday, both the officials
and promoting business opportunities for said.
India's services sector in Australia in the
given framework of the pact. Commerce and The government could also deliver another round of tax cuts on petrol and diesel if crude oil continues to
Industry Minister Piyush Goyal led one of the rise which could mean an added hit of Rs 1 lakh crore-1.5 lakh crore in the 2022/23 fiscal year started on
largest trade delegations to Australia shortly
after the signing of the pact.READ MORE April 1, the second official said. READ MORE

11

WORLD

World Bank to offer $30 China may chalk up more debt as lockdowns
billion as Ukraine war
threatens food security hit the economy

The World Bank said it will make $30 billion available to help stem a China’s Politburo meeting on April 29 sent a strong signal that
food security crisis threatened by Russia's war in Ukraine, which has policymakers are committed to this year’s GDP target despite
cut off most grain exports from the two countries. The total will include downside risks from COVID-19 disruptions and geopolitical
$12 billion in new projects and over $18 billion funds from existing food tensions. “To attain the 5.5% target, China may be borrowing from
and nutrition-related projects that have been approved but have not the future and incur more debt,” said ANZ Research’s senior China
yet been disbursed. economist, Betty Wang, and senior China strategist, Zhaopeng Xing
Countries such as Egypt are highly dependent on Ukrainian and Andrew Tilton, chief Asia-Pacific economist at Goldman Sachs, that
Russian wheat and are scrambling for supplies as Russia has blockaded China is set to ramp up infrastructure spending. From Beijing’s point
Ukraine's agricultural exports from Black Sea ports and has imposed of view, increasing such fiscal spending as well as relaxing debt
domestic export restrictions. The European Bank for Reconstruction restrictions would be more desirable than monetary easing.
and Development plans to make 500 million euros available for food However, one hindrance to the government’s efforts toward
security and trade finance for agricultural and food products, out of a 2 infrastructure investment would be the Covid-related restrictions
billion euro package for Ukraine and neighboring countries affected by
that are indiscriminately being imposed everywhere, Tilton said READ MORE
the war. READ MORE
Germany pledges 10 German Chancellor Olaf Scholz pledged $10.51 billion
Female Startups Fight billion euros bilateral to help India achieve its climate goals after meeting
‘Tomato Seller’ Cliche cooperation with India PM Narendra Modi in Berlin but the leaders remained
for Funds in Africa far apart in their stance on the Ukraine war. Scholz
highlighted the countries' common aims, such as
Africa’s female entrepreneurs are fighting climate change, and the importance of
underrepresented when it comes to raising cooperation between democracies. However, his
funds. “There was this mentality that African comments on Russia's invasion of Ukraine contrasted
women are just supposed to sell tomatoes on with those of PM Modi, who has called for a ceasefire
the side of the road.", said Polo Leteka, co- but resisted western calls to condemn the Kremlin's
founder of Alitheia IDF, Africa’s largest actions, which they describe as a "special military
gender-led fund, pointing to her own operation". “We believe that there will be no winner in
experience with tapping investors for funds. this war, everyone will lose. We are in favour of peace,”
Companies founded by African women—many
with international alliances—drew 16% of the sDaeindmMaorkdia, nwdhForsaencveis.itRtoEEAuDropMe wOillRaElso take him to
total $5.2 billion raised in 2021 by startups.
That compares with 14.7% of the pie in the US Sri Lanka stumbles towards
and 13.6% in Europe. its first default on foreign
debt
Lami Insurance Technology, announced in
2021 that it had raised $1.8 million, is doing a Sri Lanka could be formally declared in default if it fails to make an interest payment to
new round of funding—relying primarily on bondholders when the 30-day grace period for missed coupons on dollar bonds. Sri
women investors. “I recognized it was really Lanka’s government announced in mid-April it would stop paying back its foreign debt as
difficult for women to access capital,” said Lisa it struggled with a dollar crunch that’s led officials to implement capital controls and
Thomas, who's raising $35 million for a import curbs. It failed to service a $78 million coupon on its dollar bonds due in 2023 and
gender-lensed African fund, called Samata 2028, leading S&P Global Ratings to declare a selective default. Many of Sri Lanka’s
bonds have so-called cross-default clauses, which drag all the outstanding dollar debt
Capital. READ MORE into default if there’s a missed payment in a single bond. On the debt due in 2023 and
2028, the clause is triggered if any payment that exceeds $25 million is not met.

READ MORE

12

MISCELLANEOUS
Domestic mutual funds dominate LIC's anchor allotment

Domestic institutions dominated LIC of India's anchor allotment before the IPO which opened for subscription from May
4-9. Out of the 123 anchor investors, 99 were domestic mutual funds, while the rest were domestic insurance funds and
pension funds among others. The government aims to raise ₹20,600 crores from investors through the IPO.
LIC had raised ₹5,627 crores from anchor investors, ahead of an IPO - the largest public offer ever while nearly 59.3
million shares were allotted to anchor investors at ₹949 each. About 42.17 million shares were allotted to 15 domestic

mutual funds, including SBI, ICICI Prudential NSE, HDFC, Aditya Birla NSE, Axis, Nippon and UTI. READ MORE

India remains Asia’s best long-term structural story for equities: Chris Wood

Investors should accumulate their favorite Indian sWtoocokd
s, on weakness in India as it remains Asia’s best long-term
structural story in terms of equities, said Christopher global head of equity strategy at Jefferies. Wood in his weekly

note to investors titled 'Greed and Fear', further noted that the long-term dividends from many of the reforms adopted by

the Modi government will become self-evident over the due course of time.

The RBI in an unscheduled meeting hiked the benchmark lending rate by 40 bps while cautioning about the rising

inflationary pressures. “The need to tighten monetary policy, with more rate hikes likely coming, combined with the

continuing risk, if not probability, of a much higher oil price, is why Greed & Fear has been in no hurry to add to the

Overweight in India this year,” he wrote. READ MORE

India’s unicorns have created a whopping 2.84 million jobs

With a combined valuation of over $331 billion, and a cumulative fundraise of $62.9 billion, since 2011, the 100 Unicorns of
India have together created jobs for whopping 2.84 million people across India. These unicorns created 0.34 million full-
time jobs and 2.50 million jobs in ancillary areas like contractual employment, content creators, delivery partners, and
drivers. In terms of total job creation, the top 10 unicorns have a lion’s share of 2.58 million jobs, accounting for 90.5% of
the total.
Ola, accounts for 53% of the total jobs created, Zomato(12.4%), Flipkart (7.85%), Swiggy (7.19%), and Delhivery (3.10%)
complete the top 5 on the job creation league table. 66,359 startups registered with the DPIIT, under the Ministry of

Commerce and Industry, since 2016 have created over 7.07 lakh jobs till now. READ MORE

Motor racing-McLaren to take over Mercedes Form

McLaren signed an option ienleJcatnruicaroyff2-r0
o2a1daEnxdtrheamdebEeecnhaamsspeisosnisnhgipwahnedtheesrptoortasd. SdeFaosromnunlainEe to a portfolio that includes
Formula One, Indy Car, the is the start of a new era for

Formula E with its third-generation car billed as the world’s most efficient and capable of reaching speeds of 320 kph.

“I firmly believe that Formula E will give McLaren Racing a competitive advantage through greater understanding of EV

racing, while providing a point of difference to our fans, partners and people,” said McLaren Racing chief executive Zak

Brown. Nissan, Jaguar, Porsche, Mahindra, Stellantis-owned DS and Maserati and China’s Nio are the manufacturers so far

signed up for 2023, when a $13 million cost cap will be in place for the 12 teams. READ MORE

Rohit Sharma to launch his NFTs on FanCraze

Cricketer Rohit Sharma has announced his first personal NFT, containing an artwork of a rhino along with Sharma’s image,
personalised with an autograph aimed to raise awareness on the conservation of the one-horned rhinoceros.
FanCraze is building the official cricket NFT ecosystem that would enable fans to collect cricket NFTs, engage with play-
to-earn games and own digital land. The company’s current partners include the ICC, CWI, and a number marquee teams,
leagues and cricket stars giving it an NFT portfolio of more than 20,000 cricketers.
“I am looking forward to taking a cause into newer mediums to raise awareness. We all need to work towards leaving a
better world behind, and the NFT with FanCraze will give fans the opportunity to own unique artwork and spread the word

around the “#Rohit4Rhinos’ campaign,” Sharma said. READ MORE

Foreign investors pull out ₹25,200 crores from stock market in May so far

ITnhdeiarneleeqnutlietyssmsaerlklientginofMInadyia2n02st2o, coknshbikyefoinreinigtneriensvtesratoter
sgcloobnatlilnyuaendd, as they pulled out over ₹25,200 crores from the
concerns over rising COVID cases. RBI in an off-

cycle monetary policy review hiked the policy repo rate by 40bps and CRR by 50bps.

FPIs remained net sellers for 7 months, withdrawing a massive net amount of over ₹1.65 lakh crore from equities. After six

months of selling spree, FPIs turned net investors due to correction in the markets and invested ₹7,707 crores in equities.

FPI flows continued to remain negative and sold around ₹25,216 crores during May 2-13. Apart from equities, FPIs

withdrew a net amount of ₹4,342 crores from the debt market. READ MORE

13

VOICE
YOUR
OPINION

"India is rapidly emerging as a preferred country for foreign
investments in the manufacturing sector,"
India recorded the "highest ever" annual foreign direct
investment of $83.57 billion in 2021-22. In 2020-21, the
inflows were $81.97 billion. FDI equity inflows in
manufacturing rose 76% in FY22.
FDI equity inflow in manufacturing sectors has increased in
2021-22 by $21.34 billion as compared to 2020-21 by
$12.09 billion. Singapore was the topmost investor in India
last fiscal year, accounting for 27% of the FDI, followed by
the US at 18% and Mauritius at 16%.
Computer software and hardware emerged as the top
recipient sector of FDI equity inflows during the last fiscal
year with an around 25% share, followed by the services and
automobile sectors, both at 12%.

In the computer hardware and software sector, Karnataka Name:Niharika Pahwa
(53 per cent), Delhi and Maharashtra (17 per cent each) College: Dyal singh College
bagged the share of the FDI inflow.
According to the data, the FDI inflow has increased by 23 Course: Bcom (Hons)
per cent post-Covid pandemic i.e March 2020 to 2022
registered inflow of $171.84 billion against $141.10 billion
between February 2018- 2020.
To further liberalise and simplify FDI policy for providing
ease of doing business and attract investments, reforms
have been undertaken recently across sectors, such as coal
mining, contract manufacturing, digital media, single-brand
retail trading, civil aviation, defence, insurance and telecom.

14

FINANCIAaLL
METRICS

Undervalued stock : A key to turn a large profit

Here is a strategy to find you the “best” investment based on your time frame, risk tolerance and
specific objectives. It involves identifying “undervalued stocks”. If a company's profit has grown in
profit by 20% in the last 3 quarters but the stock price has not risen by 1-10% then it is an undervalued
stock. Often, the price of such stocks catch up with the sales growth of the company ultimately and
those who recognised this undervalued stock and invested in it would make financial gain for sure.
There are six criteria investors can look for while spotting an undervalued stock:

1. Low Price/Earnings (P/E) ratio: The P/E ratio is calculated as a stock’s current share
price divided by its earnings per share (EPS) for a 12-month period. An undervalued stock
will usually have a lower PE ratio.

2. Lagging relative price-performance: A company’s share price could be lower than that
of its industry peers for several reasons. One of them is when a financial expert shows
concern over certain financial metrics and the whiplash causes investors to sell-off and
drive the price down. The price is sometimes driven so low that the stock becomes
undervalued.
3. Low price/earnings growth (PEG) ratio:PEG ratio is a valuation metric for determining
the relative trade-off between the price of a stock, the earnings per share and the
company's expected growth. It is calculated by taking the P/E ratio and dividing it by the
‘earning growth rate.’ If the ratio is less than 1,investors may be giving more weight to past
performance rather than future growth opportunities. However, be aware that growth
projections are just that - projections.
4. . High dividend yield: if a company’s dividend payment rate exceeds that of their
competitors, it may indicate that the share price has dipped to “undervalued” status
.Consider if the company is not financially unsettled and future dividend payments appear
secure, the dividend opportunity can provide returns in the short term as well as potential
for the stock price to move higher in the future.
5. Efficiency ratio- For this measure the lower the ratio is, the better it is. Efficiency ratio is
how much money a bank is spending to generate its revenue. If a bank is spending 70
cents for every dollar of revenue it's generating, its efficiency ratio would be 70 percent.
Roughly about a 50% percent efficiency ratio is what you should expect from a FinTech
bank
However, do keep in mind that these metrics are not all chief factors that determine if a stock
is good. Consider investing if if more than one of these factors seem to be true for a stock.

15

FI N A N C I A L
APTITUDE
Hints 1

Across 5
2. First Indian cosmetic 23 9
4
company
4. Ankur Warikoo founded 7
6
this company
6. This edtech company 8

was recently in news for
sacking employees
8. Third largest private bank in
India
10. Cerelac is owned by _

Down 10
1. New name of Grofers
3. Former name of Kingfisher Red
5. Biggest pharmaceutical company in India
7. India"s first electric car
9.Luxury watches and jewelry brand by Tata Group

ANSWER TO APRIL EDITION
1.Sundar pichai 2.Amitabh bachchan 3.Reliance industries 4.Rahul Bhatia
5.Blinkit 6.Lenovo 7.Linkedin 8.Sachin tendulkar 9.Jeff Bezos 10.Times of India

NOTE: ANSWERS WILL BE IN UPCOMING EDITION

16

L

I

G CAMERA
H
FINANCE
T

S

'Bhool Bhulaiyaa 2' rakes in over Rs 55 crore on 'Alternate realities' prove to be new cheat
opening weekend code for success for Hollywood

Actors Kartik Aaryan and Kiara
Advani-fronted horror comedy The concept of multiverse is pr
oving to be quite beneficial for

Bhool Bhulaiyaa 2 has earned Rs 55.96 crore in it's opening Hollywood studios as it proves to be new cheat code of sorts. It
weekend. Bhool Bhulaiya 2 had an opening of Rs 14.11 crore, allows the studios to expand their franchises in surprising
followed by an impressive Rs 18.34 crore on Saturday. The film's directions without having to give them a reboot whenever
Sunday collection of Rs 23.51 crore took its opening weekend required.The latest example is Walt Disney Co.'s “Doctor Strange
collection to Rs 55.96 crore. The film's success has ended the dry in the Multiverse of Madness,” with its $1.9 worldwide collection.
spell at the Bollywood box office, which saw only two other Hindi In the movie the superhero sorcerer portals to a multitude of
films doing impressive business — Alia Bhatt's February release realities, adding more spinning force to the already dizzying plot
Gangubai Kathiawadi and The Kashmir Files, which opened in of Marvel’s increasingly interdimensional franchise.The industry
has taken notice as Warner Bros.' DC film unit seems to be aping
March. READ MORE Marvel again by doing its own version of crisscrossing realities in

Thunderbird Entertainment comes up with Shares its next film. READ MORE
Issuance Update
General Atlantic plans $2 billion investment in
Thunderbird Entertainment Group Inc., a global award- parts of Southeast Asia
winning, full-service multiplatform production, distribution
and rights management company, announced on May 20th After investing just $190 million in Indian startups in 2021, its lowest
that its Board of Directors has authorized the grant of an ever annual figure, General Atlantic is now ready to loosen its purse
aggregate of 200,000 incentive stock options in accordance strings. According to a senior executive, Global private equity firm
with the terms of the Company’s stock option plan to General Atlantic plans to plough $2 billion into India and Southeast
employees at the executive level. The options are exercisable Asia over the next two years after falling valuations made the region's
at a price of $3.50 per share and have a seven-year term, startups more attractive. The group is already in early-stage
subject to vesting provisions. READ MORE investment talks with about 15 companies in sectors including
technology, financial services, retail and consumer. It is noteworthy
The Adani Group seeks to boost it's that General Atlantic already has investments of $4.5 billion of which
expansion in media investments
mostly are in India. READ MORE
The Adani and Ambani group are in a simmering rivalry, as the
two compete to dominate India’s $2.7 trillion economy. In a bid to How Netflix’s stumbles are causing rivals to
boost it's presence in the media sector of India, Adani Enterprises rethink the streaming business
Ltd. established AMG Media Networks just last month. And now
'The Adani group' is exploring buying stakes in some local The recent revelation that streaming behemoth Netflix lost
television and print news outlets while a few have approached the subscribers for the first time in more than 10 years stunned Wall
conglomerate also to study potential deals. However there’s no Street, spurring a massive sell-off of the company’s stock.
certainty they will result in a transaction. Scaling up the business The business model isn’t as attractive as once thought due to the
will give Adani a meaningful presence in an industry where intensifying competition for time, attention, and consumer
Ambani has already made his mark through his Network18 Media spending. But experts believe it will be a very buoyant business
for a long time as consumers continue to ditch cable TV. While
& Investments Ltd. READ MORE some industry analysts believe subscription prices will continue to
rise, companies are looking to provide alternative revenue
sources to ensure hikes are not the only route to growth. One
case being Netflix considering ads in return for a subscription

offered at a lower price. READ MORE

17

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