MINESH GANDHI MIRA INFORM

RBI rekindles private capex revival hopes, will it materialize?   Concerns about the revival of private capital expenditure (capex) have persisted since 2012, when India was labeled one of the "Fragile Five" economies. Policy paralysis was widely regarded as the primary culprit, quickly giving way to broader issues such as rising corruption and India’s twin deficit problem (govt deficit and leveraged corporate balance sheet), as highlighted by economists like Arvind Subramanian (2016). Over the past decade, hopes for a capex revival have surfaced multiple times, only to be repeatedly dashed, leading to frustration in Delhi over the lack of responsiveness from Indian corporates. On one occasion, even Lord Hanuman was invoked to symbolize the need for strength and action. A recent Reserve Bank of India (RBI) note on private capex, capturing loans sanctioned by banks, has reignited optimism. This article delves into the details, correlating the RBI’s data with multiple independent indicators to assess the realism behind its guidance. Read on for more insights. Printed here: https://lnkd.in/dtVKvtNj

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*What the bond market is signalling about rate cuts* https://lnkd.in/dub7Mk9t Mumbai: India’s bond market sees further rate cuts as less likely now, at least according to one indicator. The gap between India’s 10-year government bond yield and the repo rate is at 96 basis points, close to its widest in two years. This spread expanded as the benchmark yield rose on concerns about the near-term fiscal implications of reducing goods and services tax (GST) slabs to 5% and 18% and moving several categories of products to lower rates. The monetary policy committee of the Reserve Bank of India (RBI) has cut the repo rate by 100 bps since February to 5.5%. Economists expect further rate cuts, citing tariff shock and its potential impact on the economy, Mint reported earlier. GST relief impact However, the yield on sovereign paper has been rising since Prime Minister Narendra Modi’s 15 August Independence Day announcement of GST relief. The bond market fears a spike in government borrowing to make up for revenue foregone for the indirect tax cuts. After rising from 6.4% on 14 August to 6.6% on 26 August, the yields cooled closer to the meeting of the GST Council, according to data from Investing.com. On 3 September, the council decided to retain two GST slabs — 5% and 18% — while abolishing 12% and 28% rates. On 5 September, the yield softened 3 bps from the day before. On 9 September, the 10-year G-sec yield stood at 6.49. The 10-year government bond yields have not softened after the latest monetary policy, according to Venkatakrishnan Srinivasan, founder and managing partner of financial advisory firm Rockfort Fincap LLP. “The key reason is that the Reserve Bank of India has retained its monetary policy stance as neutral, which led the market to believe that subsequent rate cuts may be delayed in the near term." Pressure on the rupee and tariff-related uncertainties have also made investors more cautious about potential inflation risks, according to Srinivasan. The market may want policymakers to take corrective steps such as reducing the supply of ultra-long bonds, cancelling select auctions, or even conducting open-market purchases, he said, adding that such steps would help ease the pressure and bring the 10-year yields lower. Srinivasan said the recent GST reform initially caused anxiety in the market due to concerns that the government might have to borrow more to cover potential revenue shortfalls. However, it now seems that the actual fiscal impact is smaller than expected, and the government may not need to expand its borrowing programme. Abirami Sekar

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Stock market is NEVER finding the “next big stock.” The stock market is about giving equal weight to 3 things: 1/ Identification- spotting the right opportunity 2/ Evaluation- testing if it fits your framework 3/ Execution- defining entry, stop-loss, and exit in advance If you miss any one of these, your experience will be very bad. When we started building Scans back in 2016, our goal was to give investors ready-made, data-backed ways to identify stocks. Over time, this evolved into Combination Scans. >> Instead of looking at 1 parameter (say, “high delivery”), you can now combine multiple conditions like 52-week highs, Quarterly profit growth YoY, NR4/NR7 setups, etc., to create a sharper lens for stock discovery. >> You can switch parameters on/off to see which stocks consistently hold up across different conditions. The best part is that now you can also share these scans with your friends or mentors. We at StockEdge want to shift the mindset from “tips-based investing” to framework-based investing. Do you love this feature?

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Theobroma may have just claimed the top spot for the largest single cash exit by a woman founder in India(ChrysCapital is acquiring a 90% stake from the company’s promoters and ICICI Venture, for INR 2410/ $290 million) This deal would likely set a new benchmark for cash exits by women founders in India’s F&B segment and would rank at/ near the very top among all Indian women entrepreneurs in terms of a single business sale, NOT from the gradual wealth accumulation seen through IPOs or long-term holdings. In a country where women-led businesses still fight for a sliver of the capital pie, this is a landmark financial milestone for founders Kainaz and Tina Messman. Their achievement is especially remarkable in retrospect. For more than a decade, Kainaz struggled to find investors or even bank support to back them up. The breakthrough came at a 5 crore loan in 2014, which helped them take off their business to a spectacular height. 3 years later, ICICI Securities acquired 42% stake at INR130 cr. In less than a decade, ICICI is exiting fully with 3X returns and the founders are exiting 90% of their stakes. This is a precedent-setting event from all angles…strategic sale than IPO, new benchmark for valuation and high stakes PE deal. And of course, the cherry on top is that with this deal, the glass ceiling in Indian entrepreneurship just cracked a little more. #privateequity #acqusition #exits #india #womenentrepreneurs Anthropia

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Hey, India watchers, here’s another week gone by with PSBs lead home loans at 43%, outpacing private banks. Trade deficit narrows to $20.7B with cheaper oil. Youth jobless rate hits 15.3%. Crop output to rise in 2025, but rains uneven. 50 nations back India’s WTO fish subsidy push. Oil may hit $130-140/barrel. 1. PSBs Lead Housing Loans: Public sector banks surge to 43% market share in home loans, overtaking private lenders. 💭: This signals a reassertion of state dominance in retail credit, potentially tightening competition and reducing lending rates. 2. Trade Deficit Cools: India's trade gap narrows to $20.7b as cheaper oil, sluggish gold imports ease June deficit. 💭: While this offers macro relief, but signals tepid demand and lingering export sluggishness. 3. AI Skilling Drive: 10 Lakh Citizens to Receive Free AI Training. 💭: Free AI training marks a bold step toward workforce transformation, but success hinges on execution and employability alignment. 4. Crop Outlook Uneven: Higher crop output expected in 2025 but uneven distribution of rains could be a spoiler: Govt source 💭: This may pressure food inflation and agri-income stability. 5. Fishery Coalition Grows: 50 developing nations back India's push for fairer WTO fish subsidy rules. 💭: Backing from 50 nations strengthens India’s hand at WTO, potentially delaying reform consensus. 6. Oil Shock Alert: Hardeep Singh Puri warns oil could hit $130-140/barrel if Russian supplies are cut off. 💭: Warning of crude hitting $130–140/barrel if Russian flows halt could revive inflation fears and test India’s energy import buffers. 7. Jane Street Ban: Jane Street is a wakeup call for India's financial market reforms. 💭: This is a push for regulators to accelerate market reforms focused on enhancing transparency, surveillance, and equitable access in derivatives trading. 8. Youth Job Crisis: Youth unemployment rises to 15.3% in June, labour participation dips. 💭: Rising youth unemployment and shrinking labour participation raise red flags on demographic dividend conversion and long-term productivity. 9. Coach Surveillance : Railways to install CCTV cameras in 74,000 coaches. 💭: This move is reinforcing the push for tech-led passenger safety, crime deterrence, and real-time incident monitoring. 10. GCC Powerhouse: 174 of the world's biggest 500 companies have their GCCs in India. 💭: 174 of world’s top 500 firms now run Global Capability Centres in India, strengthening its position as a global innovation and operations hub. Have a fabulous weekend ahead👍

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Something big is shifting in the way India invests… Over ₹12 lakh crore Passive Funds AUM in India — and counting. Why is passive investing having its moment? And should you be paying attention? I sat down with Hemen Bhatia, ED & CEO, Angel One AMC, whose fund house is going bold with a passive-first approach. We unpack what passive investing really means, why it’s booming, and what smart investors need to know. 🎧 𝗙𝗶𝗿𝘀𝘁 𝗳𝘂𝗹𝗹 𝗲𝗽𝗶𝘀𝗼𝗱𝗲 𝗼𝗳 '𝗧𝗵𝗲 𝗣𝗮𝘀𝘀𝗶𝘃𝗲 𝗘𝗱𝗴𝗲' 𝗱𝗿𝗼𝗽𝘀 𝘁𝗼𝗺𝗼𝗿𝗿𝗼𝘄! You’re going to want to catch this one!  Angel One Angel One Mutual Fund #PodcastTeaser #PassiveInvesting #AngelOne #SmartMoneyMoves #ThePassiveAdvantage #WealthCreation #ComingSoon #FinanceTalks

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"When you’re deep in the trenches, it’s easy to lose sight of the bigger picture." That’s exactly how it felt when we first stepped in to help an engineering firm in Vadodara. They were struggling with a mix of challenges — unstructured #O2C and #P2P cycles, unclear roles, and no way to track project-level profitability. The finance team was overwhelmed, buried in repetitive tasks with no clear direction. At first, the work felt like patching holes in a leaky boat — fixing one issue after another. But soon I realized: the bigger issue wasn’t just fixing these problems. It was about creating a sustainable structure that would allow them to thrive long-term. Here’s a glimpse of the issues we had to address: ➡️ Overburdened team ➡️ Unstructured processes ➡️ Lack of role clarity ➡️ No visibility into profitability The key lesson that emerged through this work was the power of clarity. Clarity in processes, roles, and goals. Once we helped the team understand where they were headed, everything began to fall into place. What we did to fix this: ➡️ Standardized financial workflows by setting up clear SOPs for O2C and P2P. ➡️ Defined roles through a delegation of authority matrix to remove confusion. ➡️ Introduced a project costing system to track profitability and inform decision-making. ➡️ Aligned KPIs with long-term business goals to keep the team focused. ➡️ Coordinating and streamlining HR and Finance activities. By addressing these foundational elements, the finance team began to move from reacting to problems to proactively driving performance. The most important takeaway for me was realizing how crucial clarity is in everything we do. With structure in place, the team was able to step back, focus on the big picture, and operate with purpose. I’m proud of how the CFO Services team handled the situation. Their ability to adapt, stay focused, and work together to create long-term solutions was inspiring. This experience reinforced the idea that the best way to help a team move forward is by clearing the road ahead of them. Kudos to the #CFOService Team CA Sanket Shah | Devanshi Mistry | CA Bhavin Prajapati | Het Patel | Naman Tulsian

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