Skip to main content

Dubai World and Markets

Dubai World, a government investment company, which is having debts totaling around $60 billion, has asked creditors to postpone its forthcoming payments until May. This move by Dubai World has caused fears of a potential default and panic among the global financial system, particularly in banks and emerging markets. Weakness is also attributed to the continuing slide in the dollar, which earlier fell to a 14-year low against the yen.

Dubai’s debt reschedule has cast a shadow on the world, pulling down all the markets from Sydney to Sao Paulo.Markets across Asia and Europe crashed on Friday by fears of fresh financial trouble, threatening to derail the global recovery and holding huge ramifications for India.

For India, which has lakhs of its citizens living and working in Dubai, the concerns are pretty much cleat - job losses and sharply reduced trade. Many Indian companies, particularly in the Infra and Realty sectors which could possibly be hit are Nagarjuna Construction, Larsen & Toubro, Voltas ,Bank of Baroda,SpiceJet and Aban Offshore.
Labels:

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 !
Read more

Mutual Fund AUM Surge 35%

 Mutual fund assets surge 35% in fiscal 2024 to a new high. According to recent report from AMFI, fiscal 2024 turned out to be one of the best years for the domestic mutual funds industry as assets under management (AUM) spurted by nearly Rs 14 lakh crore to a record Rs 53.40 lakh crore as of March 2024 compared with Rs 39.42 lakh crore as of March 2023. Women comprised ~23% of the investors based on their share of the AUM and men ~77%, while individual investors comprised ~60% as against institutional investors ~40%. Equity-oriented fund categories gain on inflows and mark-to-market (MTM) gains. As Nifty 50 gained 33%, most of the AUM increase are from MTM gains. Passive funds growth was muted around 27% as compared to Active funds. Another key take away is investors' adoption of systematic investment plans (SIPs).   SIP continues to rise with monthly net inflows at Rs 19,300 crore in March 2024. For fiscal year 2024, the net inflows through SIPs stood at nearly Rs 2 lakh cro...
Read more