COVER STORY
Rebirth of Short-selling : A Mechanism to Increase Liquidity and Contain Volatility
-- Rajeswari Krishnan and D Nithya
The Securities and Exchange Board of India (Sebi) has permitted the institutional investors to short-sell. This article analyzes the concept of short-selling and its implications for the investors of Indian stock market in the present context of Sebi's efforts to plug the loopholes of the earlier system and launch of Securities Lending and Borrowing (SLB) scheme.
© 2008 IUP . All Rights Reserved
CAPITAL MARKET
Effect of the Participatory Notes on Capital Market
-- Paramita Malakar
The much-debated Participatory Notes (PNs)—an offshore derivative instrument—have been criticized for all recent major stock market crashes, thereby raising concerns of the Sebi and the RBI over their control. Investment through PNs may not always be good. This article tries to focus on several effects of PNs on the Indian capital market.
© 2008 IUP . All Rights Reserved
MUTUAL FUNDS
Promising Avenues of Investment : Mutual Funds
-- Rajni Sofat and Rakhi Arora
The article attempts to study the pathways of investment with a specific focus on mutual funds. Its main aim is to explain the investment avenues as pathways of wealth creation.
© 2008 IUP . All Rights Reserved
MUTUAL FUNDS
Real Estate Investment Trusts
-- VDMV Lakshmi
In December 2007, the Sebi announced the proposal for setting up of the Real Estate Investment Trusts (REITs) on par with those existing in developed countries. The entry of REITs enables the retail investors to participate in the surging real estate sector as the minimum investment required is small.
© 2008 IUP . All Rights Reserved
DERIVATIVES
Weather Derivative : A Tool for Risk Management in the New Millennium
-- Abhijit Dutta
The article deals with the structure, pricing and usage of weather derivative. The weather vagaries have led to a great amount of losses for weather-reliant industries such as power, hospitality, etc. The article shows how weather derivatives can be used to tone down the losses and hedge the financial risk of industries which are directly affected by weather forces.
© 2008 IUP . All Rights Reserved
PERSONAL INVESTMENT
Ulips Pay in the Long-term
-- Shekhar V Sawant and Filipe Rodrigues e Melo
Unit-Linked Insurance Plans (Ulips) have been in India since 1971 and have a special role as an investment option for the investors. The article looks at various aspects of the Ulips.
© 2008 IUP . All Rights Reserved
REGULATORY NORMS
Investor Protection and Growth in Securities Market
-- Sudev C Das and Akinchan Buddhodev Sinha
The article focuses on recent steps taken by the Sebi for protecting the interests of small investors, based on the NL Mitra Committee recommendations.
© 2008 IUP . All Rights Reserved
BOOK REVIEW
Cocktail Economics : Discovering Investment Truths from Everyday Conversations
-- Editor: Victor A Canto Reviewed by Swaha Shome
Cocktail Economics by Victor A Canto is about how successful investor picks the right stocks in different economic conditions. In a nutshell, it is about the marriage of economics and investment and the crucial ties that bind the two.
© 2008 Victor A Canto. All Rights Reserved.
CASE STUDY
Rationing of the Hot IPOs in India and Allocations to Retail Investors
-- Alok Pande
Indian primary markets have seen very high degree of oversubscriptions in the IPOs during 2007. The highest oversubscription was made in Religare Enterprises Limited—a financial services firm. This article studies the basis of allocation of shares in the IPO of Religare Enterprises as published by its Registrar to understand the level of rationing of shares to retail investors in India.
© 2008 IUP . All Rights Reserved
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