Neeraj Singh’s Post

Fractional share ownership could democratize investing by making expensive stocks more accessible to smaller investors. It could also increase liquidity in the market. However, there are concerns about complex voting rights and potential conflicts among fractional shareholders. what do you think?

The Securities and Exchange Board of India (SEBI) has recently implemented stricter regulations for Initial Public Offerings (IPOs) by Small and Medium Enterprises (SMEs) to enhance transparency and protect investors. Key changes include: 👉 𝗣𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗥𝗲𝗾𝘂𝗶𝗿𝗲𝗺𝗲𝗻𝘁: SMEs must now have an operating profit of at least ₹1 crore in any two of the three financial years preceding the IPO application. 👉 𝗢𝗳𝗳𝗲𝗿 𝗳𝗼𝗿 𝗦𝗮𝗹𝗲 (𝗢𝗙𝗦) 𝗟𝗶𝗺𝗶𝘁𝗮𝘁𝗶𝗼𝗻𝘀: The OFS portion is capped at 20% of the total issue size, and selling shareholders cannot divest more than 50% of their holdings through the IPO. 👉 𝗨𝘀𝗲 𝗼𝗳 𝗣𝗿𝗼𝗰𝗲𝗲𝗱𝘀: IPO funds cannot be used to repay loans to promoters, promoter groups, or related parties. 👉 𝗚𝗲𝗻𝗲𝗿𝗮𝗹 𝗖𝗼𝗿𝗽𝗼𝗿𝗮𝘁𝗲 𝗣𝘂𝗿𝗽𝗼𝘀𝗲 (𝗚𝗖𝗣) 𝗔𝗹𝗹𝗼𝗰𝗮𝘁𝗶𝗼𝗻: The GCP allocation is limited to 15% of the total issue size or ₹10 crore, whichever is lower. 👉 𝗣𝘂𝗯𝗹𝗶𝗰 𝗥𝗲𝘃𝗶𝗲𝘄 𝗣𝗲𝗿𝗶𝗼𝗱: Draft Red Herring Prospectuses (DRHPs) will be available for public comments for 21 days, with stock exchanges facilitating access through public announcements and QR codes. 👉 𝗣𝗼𝘀𝘁-𝗜𝗣𝗢 𝗖𝗼𝗺𝗽𝗹𝗶𝗮𝗻𝗰𝗲: SMEs can continue to raise funds without migrating to the main board, provided they comply with main board listing regulations. Related Party Transaction norms applicable to main board-listed entities will also apply to SME-listed entities, with a lower threshold of 10% of annual consolidated turnover or ₹50 crore. These measures aim to strengthen the SME IPO framework, ensuring that only companies with a solid track record can access public funds, thereby safeguarding investor interests. #sebi #stockmarket #ipo #stockmarkey #stockmarketanalysis #investment #sensex #nifty #stockmarketindia #finance

DIIs were Net Sellers today overcoming FIIs Net Buy for the day to cause Net Outflow of Institutional capital from India's equity market. Net Outflow of Rs 924 Crore Institutional Capital from India's equity market today. * Net Inflow of Rs 724 Crore FII Capital * Net Outflow of Rs 1,648 Crore DII Capital Follow finance weekly for regular updates. #FIIs #DIIs #StockMarket #FundFlow #ShareMarket #financeweekly

A short summary regarding the activities done by the FIIs and DIIs from April 2023 until today. We can see how strong domestic investors have become in the last few years. The increase in retail participation is one of the big booms for Indian markets. Mutual funds monthly SIP is roughly around ₹20,000 crores. Total assets under management in the mutual fund industry are roughly around ₹58+ lakh crores. From April 2023, we can see that only eight-quarters of foreign institutional investors were net buyers, but on the other side, DIIs were consistently net buyers, because of which our markets are trading at an all-time high. At the end, FIIs want a good return, so they have to come into our market to get that return. Our economy and markets are still in very strong condition. We can say that small and midcaps are trading at a premium valuation, but large caps are trading at a very low premium valuation. Definitely, we can still see a very good upside in the upcoming years, but a partial correction is a bitter truth. Stay invested from a long-term perspective because time in the market is more important than timing the market. Image source: Invest Yadnya #stockmarket #nse #bse #fii #dii #mutualfunds

On September 2, the Securities and Exchange Board of India (SEBI) released a comprehensive study analyzing investor behavior in Main Board IPOs. The study examined data from 144 IPOs listed between April 2021 and December 2023, focusing on how investors, particularly individual investors, manage their allotted shares. Key Findings: 1. High "Flipping" Rates Among Individual Investors: - 50% of the shares allotted to individual investors were sold within a week of listing. - Within a year, 70% of the shares by value were sold. 2. Disposition Effect Evident: - Investors were more likely to sell IPO shares that showed positive listing gains compared to those that listed at a loss. 3. Impact of Returns on Selling Behavior: - When IPO returns exceeded 20%, 67.6% of the shares by value were sold within a week. - Conversely, only 23.3% of shares by value were sold when returns were negative. 4. Surge in Demat Accounts Post-COVID: - Nearly 50% of the demat accounts that applied for IPOs during this period were opened post-COVID (2021-2023). Policy Impact: Following SEBI’s policy interventions regarding Non-Institutional Investor (NII) share allotment and the Reserve Bank of India’s guidelines on IPO financing by NBFCs in April 2022, notable trends were observed: 1. Reduction in NII Oversubscription: Oversubscription in the NII category halved, dropping from 38 times to 17 times. 2. Decrease in "Big Ticket" NII Applications: The average number of applications from NII investors applying for more than ₹1 crore per IPO significantly decreased from 626 in the pre-policy period (April 2021-March 2022) to around 20 in the post-policy period (April 2022-December 2023). The study is available for further reading on the SEBI website. Stay informed with Global Regulatory Insights for the latest in regulatory updates and market trends. Unlock cutting-edge legal intelligence with a free subscription—join us today - https://lnkd.in/gZmkUPim #SEBI #IPO #InvestorBehavior #StockMarket #FinancialRegulation #GRI

Did you know the DIIs have poured in Rs. 4.25 lakh crores in the market so far this year. Despite net outflows of Rs. 2.1 lakh crores in cash market by FIIs, robust buying by the DIIs has kept the market on strong footing in volatile times. Know more: https://lnkd.in/daArpwC8 #mathematicalrevolution #financialplanning #wealthmanagement #mutualfunds #anandrathiwealth #india #indian #investment #investor #investmentideas #databacked #leadershipinsights #riskmanagement

Starting today, India's top 100 listed companies must verify market rumours within 24 hours SEBI's rumour verification framework aims to exclude price volatility from average market price calculations for corporate actions, ensuring fairness for all investors. June 01 2024 Read the full story here https://bit.ly/4c1BmaO

Good Morning News Headline from Leading Financial News Papers, Compiled by 𝐑𝐔𝐃𝐑𝐀 𝐒𝐇𝐀𝐑𝐄S Wednesday, 17 April 2024 • Coal India's capex rises 6.5% to Rs 19,840 crore in FY24 • Honda to launch next-generation EVs in China by 2027 • NTPC green to file DRHP by July, aims for listing by November • Patanjali's Ramdev, Balkrishna still not off the hook, says Supreme Court • Hinduja arm asks NCLT to junk BHEL insolvency plea •Insurance cos to curate policies with flexibility in wordings • EM assets sink to 2024 low amid growth and rate risks • Israeli war cabinet to meet for third time even as a worried world calls for restraint • Apple bonanza: iPhones drive India's mobile phone exports to record $15 billion • IMF raises India’s FY25 GDP growth forecast by 30 bps to 6.8% • NSE to stop issuing new futures and options contract for Zee Entertainment • Zee-Sony merger: Zee Ent announces withdrawal of merger implementation application from NCLT against Sony • Musk likely to announce Tesla's India entry after meet with Modi on April 22 • Govt issues advisory on CCTV cameras over security concerns • Vodafone Idea FPO to open for subscription on April 18, stock falls •Savita Oil stock hits all-time high on being first in India to manufacture Ester molecule • Bulk deals: JSW veteran Prashant Jain picks up stake in Coffee Day Enterprises • Greenhitech Ventures IPO subscribed 730 times • Japanese consortium to invest $370 mn in I Squared Capital's India natural gas platform •Sterlite Technologies raises Rs 1,000 crore through QIP route • KM Birla announces plans to foray into jewellery retail with initial capital of Rs 5,000 cr • Aditya Birla Capita launches omnichannel D2C platform ABCD • Max Healthcare Institute to invest Rs 5,000 crore on doubling bed capacity in 4-5 years • Aditya Birla Capital aims to nearly double customers with new digital platform in 3 years • Healthcare, pharma deal values fall 67% YoY in March quarter: GT Bharat • Elon Musk’s Tesla bait-and-switch is getting old • ‘BPCL to link Noida International Airport with jet fuel pipeline • EaseMyTrip CEO Nishant Pitti wants to own an airline and make movies too •Aiming about $5 bn of India bets this year in IT, pharma/healthcare and financials: EQT Asia's Jean Salata • Now, India shooting for home-made bullet trains • India likely to construct 5-8% more roads y/y in 2024/25 - ICRA For more details- https://lnkd.in/eghyA3V

FIIs were net buyers today, but net sellers this week. DIIs kept opposing FIIs through the week. DIIs were net sellers today, but net buyers this week. Net Inflow of Rs 1,603 Crore institutional capital in India's equity market today. * Net Inflow of Rs 2,335 Crore FII capital * Net Outflow of Rs 732 Crore DII capital Follow finance weekly for regular updates. #FIIs #DIIs #FII #DII #StockMarket #FundFlow #financeweekly

FIIs, also known as Foreign Institutional Investors, refer to investors outside India who invest in the Indian stock market. On the other hand, DIIs, or Domestic Institutional Investors, are domestic investors who invest in the Indian stock market. #stockmarket #bse #nse