Tuesday, December 06, 2011
Source: Goldman Sachs
1. Slow Growth For Two More Years in Developed Economies
The thread holding the global economic picture together will remain one of slow, and in some cases negative, growth. Headwinds from austerity measures which have hit government spending will hit the U.S. and peer nations in Europe. Add in private-sector deleveraging, and a banking system that is on the cusp of further layoffs, and its not too bright. Goldman also sees high unemployment plaguing the advanced nation labor forces.
2. Emerging Markets Will Remain Resilient to the Challenges
Issues that are facing developed nations will not move ot emerging markets. Inflation will begin to ease and economic policy will shift further towards prevention of slow growth. That theme has already proven itself at the end of 2011, as China's central bank, the People's Bank of China, cut reserve requirements by 50 basis points at the nation's largest institutions.
Read the Other 8 predictions
SKS Microfinance is planning to raise the investment limit for Foreign Institutional Investors (FIIs) from the existing 24% to 74% of the company's paid up equity shares. The decision will be taken in the Extraordinary General Meeting, scheduled on Dec 21, 2011. The move is aimed at attracting foreign investors to the company. As on September 2011, FIIs were holding 19.02% of the paid up capital (decreased by 156 bps sequentially).
We feel that this decision by the company is surprising, not because the investment limit has been raised, but on account of the fact that in the past, FIIs have continuously sold of their shares, bringing down their stake
Deal Date Scrip Code Company Client Name Deal Type * Quantity Price **
5/12/2011 532797 Autoline Inds JAINAM INVESTMENTS B 67076 109.31
5/12/2011 533270 Bedmutha Inds NITIN BABAJI PALANDE B 136376 44.93
5/12/2011 533469 Birla Pacific Medspa VARIETY TRADE LINK PRIVATE LIMITED B 800000 9.98
5/12/2011 533469 Birla Pacific Medspa TRIPURARI PROPERTIES PRIVATE LIMITED B 671500 10.25
5/12/2011 533469 Birla Pacific Medspa JALAN CEMENT WORKS LIMITED S 800000 9.98