BUSINESS
Are you a broker or broke? Compliance and tech will decide
Tighter disclosure requirements and fortified margin rules are taking a toll on small brokers who don’t have the scale of large, tech-enabled broking houses
BUSINESS
As bond yields march ahead, banks may run up trading losses in FY23
The opportunities to make money off trading would be stymied by a hawkish monetary policy. Bond yields have risen across markets globally, which puts further pressure on domestic government paper.
BUSINESS
Will the sun rise on PSU banks’ return on assets?
PSBs have been losing money on their capital, thanks to the long-drawn credit cycle where they paid high credit costs due to delinquent loans. That may be changing now, say analysts
BUSINESS
As gold loans lose shine, lenders face growth test
Small businesses, a significant portion of gold loan borrowers, are seeing their balance sheets under pressure again. This could jeopardise their repayment capacity
BUSINESS
Interview | Shriram Transport Finance not in a hurry to become a bank, says MD Revankar
The definition of banking in India is restrictive and it is better to be an NBFC for now, Revankar told Moneycontrol.
BUSINESS
LIC IPO: Insurer to focus on boosting policyholders’ returns, says chairman
The insurance behemoth will try to arrest its market share loss, ramp up its digital channels and make tactical tweaks on equity investments to please policyholders, Chairman MR Kumar says
IPO
LIC listing: How private sector peers fared in their debut
Listing gains are more a function of broad market sentiment and conditions and not just the share issuing company’s business fundamentals alone
MARKETS
Why is the Reserve Bank of India buying gold?
Diversification of forex assets, away from the dollar, has gained popularity after Russia’s invasion of Ukraine invited international sanctions against the former
BUSINESS
Indian banks’ bumper profits don’t show economic scars
The aggregate net profit of 27 listed commercial banks has shown an 86 percent year-on-year jump in the March quarter
BUSINESS
Interview: Elevated inflation here to stay, repo rate could be 5.5% by December, says HSBC’s Pranjul Bhandari
Contributors to sticky inflation could include higher prices of electricity and agricultural produce, which are expected to kick in later this year.
MARKETS
The RBI will manage rupee, as always
The most obvious reason for RBI intervention is that a weakening exchange rate increases the country’s import burden. The central bank of a net importing country is justified in defending its currency during bouts of depreciation.
MARKETS
India's swaps are ahead of bonds in anticipating rate hikes
Swaps have been a better gauge of interest rate hikes and when they have not been accurate, swaps have at least been a true reflection of the inflation situation.
BUSINESS
Indian economy has got long COVID, and a 12-year struggle awaits
On a cumulative basis, the economy has to make up for a staggering Rs 52.6 lakh crore of output lost
BUSINESS
Reverse merger with IDFC would set IDFC First Bank stock free
IDFC’s complex corporate structure with step-down subsidiaries has meant the process has been glacial. While a reverse merger with its parent may not be detrimental to IDFC First Bank, uncertainties surrounding the process need to be removed for the bank’s shares to perform.
BUSINESS
Interview | HDFC Life’s strong growth to sustain, says MD Vibha Padalkar
The insurer expects claims to normalise to historic levels now that the pandemic has receded
BUSINESS
How do ICICI Bank and HDFC Bank stack up, in five charts
ICICI Bank has been closing the valuation gap with HDFC Bank, which is still the most valuable private sector lender but is not able to command the premium it used to. Here's how the rivalry is shaping up
BUSINESS
Credit cards a good carrot for NBFCs amid tightening regulation
The change will mean that NBFCs can now earn interest income on their credit cards as the credit would be from their own balance sheet
BUSINESS
ICICI Bank tops rival HDFC Bank in valuation multiple for first time
Strong investor interest has helped the lender topple rival HDFC Bank as an expensive stock in what some analysts would call a “crowded trade,” which means a position or theme embraced by a large number of investors.
BUSINESS
The long and short of HDFC Bank stock’s prospects
While there are reasons to conclude that the HDFC Bank-HDFC merger is a win-win for both, there are hurdles to cross over the next 12-18 months. This has begun to sink in and the initial investor euphoria has waned.
BUSINESS
India’s balance of payments is getting into rough waters
The forex reserve heap is down $38 billion from its record high. Of this, a fall of $28 billion has come in the last five weeks
BUSINESS
NBFCs expected to put up a good Q4 show but watch out for outlook
Loan growth and net interest income for NBFCs are catching up fast, yet still below pre-Covid levels
BUSINESS
17-month high inflation set to hurt India’s consumption recovery
Retail inflation is now broad-based, hitting household budgets from every corner. It comes at an unfortunate time when Indians finally have the opportunity to get back to their pre-pandemic spending on both goods and services
BUSINESS
Banks set to report strong recovery from pandemic, outlook critical
Pain points for banks were loans to small businesses, especially those given under the Emergency Credit-Linked Guarantee Scheme. Microfinance loans, too, had come under pressure because of the spread of the Omicron variant in the March quarter
BUSINESS
Between digital assault and regulation, NBFCs have it tough
As regulatory arbitrage comes to an end thanks to the central bank and as nimble fintech companies nip at their heels, NBFCs will have to reinvent themselves
