Skip to main content

Tata Docomo - Do the New

Tata Docomo makes an impact in its first month. Tata TeleServices TTSL has reported subs net addition of 2.26 mn for the month of July 2009, surpassing its previous highest monthly net addition of 1.26 mn reported in March 2009. This is a reflection of the positive response to the company’s GSM launch in six circles and innovative ‘per-second’ billing .It seems TTSL’s innovation can have a longer-lasting impact on the dynamics of the Indian wireless market than some of the other new launches.But the sector prospects still remains foggy.

TTSL garners 34.3% net adds market share in the six new GSM circles. Strong response to the new GSM service launch in six new circles has helped TTSL increase subs net adds to its best-ever 2.26 mn (15.7% of market net adds) for the month of July 2009, lower than only Bharti and RCOM. The company’s share of net adds in the new circles of launch was 34.3%, an indicator of the strong initial response to its innovative ‘per-second’ billing structure in its GSM launch.

Tata Docomo’s ‘per-second’ billing concept is capable of making a strong and sustainable impact on the industry’s competitive dynamics. While the company’s July 2009 subs net adds corroborate the ‘strong’ part, the ‘sustainablity' will be tested over the coming months.

Meanwhile the Ads are also doing pretty well !

Popular posts from this blog

Historical Sensex Returns Updated - 2024

Historically Sensex has given returns of about 15% per year, despite volatility and price fluctuations of about -20% to +60%. The following table shows S&P BSE Sensex historical data - start  & close values and the yearly returns of the sensex from 2000 to 2024. So far during the year the   index has hit an all-time high of  75,124   and despite markets hitting all time highs not all stocks make all-time highs. There are many stocks still below their highs. Stocks like HDFC Bank, ITC, Asian paints are still well below their highs and some of them have given low returns over last 3-5 years. Individual or Retail investors can achieve consistent returns through investing via mutual funds , whether it be active or passive. Chasing returns from individual stocks is futile. Be a wise investor !

Tracking Difference in ETFs and Index Funds

 As we all know, an index fund is a type of mutual fund or exchange-traded fund (ETF) with a portfolio constructed to match or track the components of a financial market index, such as the Nifty 50 Index. Tracking difference is the discrepancy between Index Fund/ ETF performance and index performance. Below is the ETFs and Index funds with high tracking error.  The above tracking error is since inception. ETFs and Index funds are considered to be low cost, but in here in India, the tracking difference are quite high and add to that expense ratio, the total works out to over 1-3% and higher in certain cases.  These ETFs and Index funds are no longer low-cost as one would expect them to be.