March 13, 2016 | A FinNiche Initiative
EDITORIAL I S S U E
1 7
M A R C H
1 3 ,
2 0 1 6
From Seniors to Alumni! The time has come when in a few short days IMT will be bidding adieu to its senior batch of
CONTENT Aadhaar Bill passed in Lok Sabha as Money Bill | 2 Aadhaar Bill passed in Lok Sabha as Money Bill | 3 The three aces of Donald Trump | 5
2014-16. With the convocation to be held on 16th march and placements all but done, our seniors are all ready to take the world with storm and add another glorious chapter to IMT’s proud history. We at Finniche give our heartiest wishes to our seniors for all their future endeavors and wish them luck in each and every aspect of their life. Finniche would also like to congratulate “Cricket” for successful organization of ’Kalpa’. Also we would like to wish best of luck to all the first years gearing up for their 4th term exams and internships . As this is the last issue of FinXpress for us first years, we certainly hope that you all enjoyed
MARKET | 7
and gained some benefits from it. As always we are ready with insightful national and
FIN-WORD | 8
international articles and much more at your disposal. Club FinNiche welcomes any
PERSONALITY | 9 STARTUP TRACKER | 10 SPONSORS | 11
comments, suggestions or criticism regarding the magazine. Please do write to us and share your ideas.
Happy Reading!
Regards The Editorial Team Club FinNiche
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01
NATIONAL B Y
V I K A S
G U P T A
Aadhar Bill passed in Lok Sabha as Money Bill SNIPPETS
The parliament on Friday passed the
and no leakage of personal data would be
Aadhaar bill in the Lok Sabha through a
tolerated.
Downfall of SBI
Promising state
it being passed as Money bill.
the GST bill, the NDA government
of affairs
Aadhaar Bill : what you need to know
decided to package Aadhaar bill in the
SBI stock –9%
Here are some of the key points of the
form of the Money Bill.
Aadhaar Bill :-
What is a Money Bill ? A money bill
Benchmark
Through this bill, the government
comes under the ambit of those bills which
wants to ensure the targeted delivery
are
of the financial benefits of various
expenditures or contributions to the
government schemes directly to the
government of India. A major point to be
beneficiaries.
noted here is that as per the Constitution
Government plans to use Aadhaar as
of India—a money bill, if passed through
the medium of disbursing financial
the Lok Sabha, cannot be rejected in the
benefits of its various schemes.
Rajya Sabha. The Rajya Sabha can only
Since October last year, government
discuss and offer some suggestions but
has been allowed by theSupreme
they cannot make any changes per se. And,
Court to use Aadhar Card for various
after 14 days of the bill passing through the
other government schemes like the
Lok Sabha, the bill stands to be cleared in
Pradhan Mantri Jan Dhan Yoajana and
both the houses and goes for the
pension
President’s approval.
sensex-6.6%
HDFC Bank-8%
Clearing of bad
voice vote amid vociferous opposition for
loans positions
and
insurance
related
borrowing,
taxation,
No resident of India can be deprived
Sabha, packaging the Aadhaar bill as a
The bill also calls for imprisonment of of
Rs. 10
lakh
for any person
extending unauthorised access to the centralised data-base, or for revealing any information stored in it. Shrugging off the opposition fears of surveillance , the finance minister of 02
to
Being short of a majority in the Rajya
up to one years and a minimum fine
PAGE
related
schemes. of his right in want of Aadhaar card.
Moreover, having seen the fate of
India Mr. Arun Jaitley assured that the information security would be tightened
money bill is more of a necessity than an intention from the BJP led government. However, with the World Bank report stating that the Indian Government has been able to save US$ 1 billion due to the direct benefit transfer via Aadhaar card UID scheme, it can be expected that the other schemes implementation would also mean no leakages across the channel and the benefits reaching directly to the actual person in need.
NATIONAL B Y
R I S H A V
S I D D H A R T H
Real Estate Bill Passed in Rajya Sabha SNIPPETS
Project delays are a common characteristic
approvals and agreements status and the
of
Several
agents who are going to sell the project
well-known developers in Delhi-National
will have to be submitted. In other words,
the
real
estate
market.

Regulatory Body

Builders will
Capital Region (NCR) and other parts of
the authority will seek all details of the
now have to be registered with regulators
the country have seen their projects
project to get an idea that the project has
delayed for as long as seven years. If that is
been thought through and will reach its
not enough, there are several cases where
logical conclusion.
Monitoring and
developers imposed random charges on
timely completion of projects
the customers at the time of offering
2) The problem that most incomplete
possession under different heads such as
projects currently face is that builders
labour welfare charge, authority meter
divert the funds collected from prospective
charge, one-year advance charge for club
house owners and use it for some other
usage among others. While these are some
projects. This has been tackled by asking
of the issues that have resulted in trust
builders to deposit a minimum of 70 per
deficit in the market leading to a decline in
cent collections from the buyers in an
demand, the Real Estate (Regulation and
escrow
Development) Bill, 2015 that was passed
construction and land. This will once again
by Rajya Sabha on Thursday 10th March,
ensure that a major part of the project is
2106 will look to address some of the
completed. Monitoring and ensuring timely
concerns, if the proposals within the Bill
completion will be under the aegis of
see
the
state-level
ground-level. The real estate sector will
Authorities.

strict
implementation
at
account
Real
to
cover
Estate
cost
of
Regulatory
get a much needed regulator that will bring
PAGE
03
in some discipline to a sector, known more
3) Another loophole has been tackled by
for its bad trade practices. The sector,
disallowing pre-launch process without
blamed for its opaque practices, high
getting all approvals in place from the local
handedness,
authorities
and
generation
of
black
and
without
obtaining
money is now expected to be regulated at
registration from the regulator. The good
the state level.
news for exiting house owners who are
The 5 key highlights of the bill are:
stuck with incomplete projects is that even
1) Projects by builders will now have to be
their project will now come under the
registered with the regulator and details of
purview of the new regulation.
the project like layout plan, land status,
4) Faulty advertisements and mis-selling
had notified the regulatory framework
has also come under the scanner as
for registration and regulation of Real
builders can no longer put flashy designs
Estate Investment Trusts in India in
or photographs of a project to attract
September 2014, REITs had not taken-off
buyers if the final project does not match
over the last 18 months as tax concerns
the photographs. In case of a mismatch,
prevailed. “With this amendment, all the
the builder has to return the payment
required fiscal support for REIT and InvIT
with interest to buyers.
to make it a reality has been provided. This will assist the developer and fund
5) Home owners can verify the quality of
managers to raise funds through REIT /
the builders since the bill now makes it
InvIT and create liquidity,” said, Hemal
mandatory for developers to provide
Mehta, partner, Deloitte Haskins & Sells.
details of projects launched in the past five
years,
both
completed
or
The naysayers, if any, should think back
under-construction. These will also be
to a time when we had stock exchanges
available on the regulator's website.
in every state. Brokers would cheat customers, who couldn’t do a thing
The Real Estate Bill can bring greater
about it. That’s why SEBI was brought in
credibility to the sector through more
as a regulatory authority, which made the
transparency as well as accountability and
stock market centralized and technology-
could encourage flow of FDI funds into
driven. TRAI plays a similar role
the
report
safeguards the interests of the people by
says. According to the global financial
thwarting Facebook’s efforts to start
services firm, the Bill could go a long way
internet.org,
towards protecting the interests of home
challenged Net neutrality.
market,
buyers
by
a
Nomura
facilitating
more
04
would
have
timely
completion of projects and ensuring
India is expected to grow at 8% this
greater transparency. Some say that the
financial year and upto 10 per cent in
government’s recent decision relating to
coming years. We are the fastest growing
affordable
economy of our size and there is huge
housing
and
Real
Estate
Investment Trusts (REITs), along with the
potential
entry of regulator will work towards the
demographic dividend. The real estate
revival of the sector. Industry insiders are
sector
of the view that exemption of dividend
government, through a central authority,
distribution tax (DDT) on the dividend
can start focusing on its relevance as well
declared by the portfolio company to
as the need to nurture it. If things unfold
REIT and InvIT was one of the most
according to plan, it will augur very well
awaited decisions. Even though the
for the nation.
Securities and Exchange Board of India
PAGE
which
and
is
for booming
tapping and
the
the state
INTERNATIONAL B Y
B H A G I R A D H
S I S T A
The three aces of Donald Trump Donald Trump is a walking political science
SNIPPETS
in Trump's details. They like his gut.
course. His meteoric rise is lesson No. 1
on leadership: Most voters do not listen
And no wonder. Those Republican elites
The people’s
through their ears. They listen through
sold their own souls and their party so
opinion and their
their stomachs. If a leader can connect
many times to charlatans and plutocrats
with them on a gut level, their response is:
that you wonder when it's going to show
"Don't bother me with the details. I trust
up on closeout on eBay: "For sale: The
Responses of
your instincts." If a leader can't connect on
GOP soul. Almost empty. This soul was
republican rivals
a gut level, he or she can't show them
previously sold to Sarah Palin, the Tea
to the Trump’s moves
enough particulars. They'll just keep asking,
Party anarchists, Rush Limbaugh, Grover
"Can you show me the details one more
Norquist, the gun lobby, the oil industry,
What are the 3
time?
the Koch brothers, Sheldon Adelson and
aces of Donald
Trump's Republican rivals keep thinking
Fox News. Will bargain. No offer too
Trump?
that if they just point out a few more
low."
details about him, voters will drop The
Normally
Donald and turn to one of them instead.
Romney, discarded all their best instincts
But you can't talk voters out of something
to suck up to this ragtag assortment of
that they haven't been talked into.
self-appointed Republican commissars,
responses to the surveys
smart
people,
like
Mitt
each representing a different slice of Many have come to Trump out of a gut feeling that this is a guy who knows their pain, even if he really doesn't. Many of his supporters
are
from
#middleagewhitemalesmatter
the
movement,
for whom the current age of acceleration has not been kind and for whom Trump's rallies are their way of saying "Can you hear me now?" and of sticking it to all the people who exploited their pain but left them
behind,
particularly
traditional
Republican elites. They are not interested
PAGE
05
what came to be Republican orthodoxy — climate change is a hoax; abortion, even in the case of rape or incest, is impermissible; even common-sense gun laws must be opposed, no matter how many kids get murdered; taxes must always be cut and safety nets shrunk, no matter
what the economic context;
Obamacare must be destroyed even though it was based on a Republican
Idea; and Iraq was a success even though
certain countries. Have you never read
it was a mess. The Republican Party
"The Art of the Deal"?
became an accretion of ideas that ossified
His second ace is that given the position
over the years without the party ever
he staked out on terrorism, if, God
stopping to ask afresh: What world are we
forbid, there is a major terrorist attack on
living in now? What are the dominant trends? And how does America best exploit them by applying conservative values and market-based solutions? The cynicism of today's GOP could not have been more vividly displayed than when Marco Rubio, John Kasich (a decent guy) and Ted Cruz all declared that they would support the party's nominee, even if it was Trump, right after telling voters he
fits. Watch out. I've seen how one welltimed
terrorist
attack
tilted
an
Israeli election. His third ace is that he will indeed go after Hillary Clinton in ways you never heard before and that will delight and bring
back
a
lot
of
disaffected
Republicans, whose hatred of Hillary knows no bounds. "Did you hear what Trump said about Hillary last night? That
Republicans are voting for Trump on the
she was 'Bill's enabler!' Finally! I will
basis of what they think is in his guts. All
vote for him just for that."
the other Republican candidates have none.
But Trump is also holding two jokers
But even if his support is weakening,
with those aces. Trump has already gone
Democrats take Trump lightly at their
places no candidate ever has, even
peril. He is still sitting with three aces
telling us he has a big penis. One day he
that he hasn't played yet. They could all
may go too far (if he hasn't already) and
come out in the general election.
sever his gut connection with voters.
One ace is that if he wins the nomination
Trump's other joker is that among those
he will have no problem moving to the
attracted to his gut are racists and
center to appeal to independents and mi-
fascists with a taste for violence at his
norities. He will have no problem
rallies. One day they may go too far and
playing the moderate unifier — and plen-
do something so ugly, so brown shirt, it
ty of people will buy it, saying: "Why not
will also turn people off to his gut.
us winners." Sure, Mexico will have to pay for that wall, Trump will say, but it will be in "instalments." Deport 11 million illegal immigrants? C'mon, don't you know
an
opening
bid
on
an
immigration bill when you hear one? Ban all Muslims? Well of course we can't ban a whole faith community, but Trump will vow to be much harder on visas from
06
Trump will reap enormous political bene-
was a con man. No wonder so many
give him a chance? He says he can make
PAGE
our soil between now and Election Day,
MARKET B Y
A B H I S H E K
G U P T A
INDIAN MARKETS The domestic equity market closed with marginal gains during the week ended on March 11 ahead of the all-important two-day US Federal Reserve money policy review meeting. The Federal Open Market Committee (FOMC) will release its policy statement along with updated 3 BEST PERFORMERS
RAMA PAPER MILL
MOIL
DONEAR IND
quarterly forecasts for the US economy on March 16, Wednesday, which will be tracked by investors across the globe. Open
High
Low
Close
SENSEX
24646.48
24808.24
24454.21
24717.99
NIFTY
7485.35
7539.05
7425.45
7514.25
3 WORST PERFORMERS
JCT ELECTRONICS
AMTEK INDIA
MINDTREE
PAGE
BSE SENSEX
CNX NIFTY
07
FIN-WORD B Y
A R N A B
J A N A
Chinese Wall SNIPPETS
Maintaining client confidentiality is crucial to any
walls,
An ethical
firm,
multiservice
department, are meant to ensure that the
barrier
businesses. Where firms are providing a wide
corporate financiers don't talk to the fund
range of services, clients must be able to trust
managers about their work.
that information about themselves will not be
Chinese wall is usually said to be a reference to
exploited for the benefit of other clients with
the Great Wall of China, erected over 2000
different interests.
years ago to protect inhabitants from invaders.
Maintaining client confidentiality
Roots in history
PAGE
08
To
but
ensure
particularly
such
large
unethical
sharing
enforced
by
a
bank's
compliance
of
However, other theories exist. In a Wikipedia
information, firms usually set up ‘Chines Walls’.
entry, for example, the author argues that the
A Chinese Wall is an internal 'wall' or ethical
term probably derives from a diplomatic
barrier between two departments of a bank or
contrivance of the Late Imperial period in
other financial institution which is meant to
China: “…if a junior mandarin saw a senior
ensure that conflicts of interest do not arise
mandarin on the road he was expected to bow
and in particular that price sensitive information
and present his compliments. In Beijing this
does not move between different departments.
tended to happen quite a lot and so traffic was
For instance, a bank might have a corporate
frequently blocked. Instead mandarins came up
finance department, which advises on takeovers
with a method of pretending they did not see
and mergers, and a fund management division
each other on the road by the clever placing of
which invests client money in shares. If the fund
a
managers were to hear about an impending
not “see” each other, they were not obliged to
deal, that would be insider dealing. Chinese
stop.”
retainer with an umbrella. Because they did
PERSONALITY B Y
N I S H A N T
R A T H I
Amitabh Kant Mr. Amitabh Kant is the present CEO of NITI Aayog. He is a 1980 batch IAS officer of Kerala cadre, and at present posted as Secretary, Department of Industrial Policy and Promotion (DIPP) – Government of India.
He is
responsible for formulation and implementation of industrial policy and strategies for industrial development, monitoring the industrial growth and performance of specific industrial sectors, formulation of Foreign Direct Investment (FDI) Policy and Promotion and facilitation of FDI,
Country” campaigns which positioned and
Policies related to Intellectual Property Rights
branded India and Kerala State as leading
(IPRs) in the fields of Patents, Trademarks,
tourism destinations– both these campaigns
Industrial Designs and Geographical Indications.
have won several international awards.
He is also the Chairman of the Delhi Mumbai
Kant also conceptualized and executive the
Industrial Corridor Development Corporation
“AtithiDevoBhavah” – “Guest is God” campaign
(DMICDC) and National Productivity Council.
to train Taxi Drivers, Guides, immigration
Amitabh Kant did his schooling from Modern
officials and make them stake holders in the
School, Delhi, graduation in Economics (Hons)
tourism development process.
from St. Stephens, Delhi University and M.A
He was honoured with ‘Policy Change Agent’
from Jawaharlal Nehru University.
award by Economic Times. The jury hailed him
He is the author of “Branding India – An
as
Incredible Story” and has been a key driver of
bureaucrat’.
the
PAGE
09
“Incredible
India”
and
“God’s
Own
a
’problem
solver’
and
’unlike
any
STARTUP TRACKER B Y
A B H I N A
P A N D A
MySmartPrice Founded
SNIPPETS
Independent price comparison website
Various product categories
in
2010
by
NIT
Rourkela
to be able to provide quality services in
graduates Sitakant Ray and Sulakshan Ray,
over 50 cities of India.
MySmartPrice is an independent price
MySmartPrice
comparison website in various product
marketer or lead generator for other big
categories ranging from home appliances,
companies since the number of footfalls on
personal care, to mobile and electronics.
this website is generally converted into
Headquartered at Hyderabad, it is mainly
actual product purchases.
normally
into online price comparison business but
Sudarshan
now, it has increased its operation base to
e-commerce was perhaps the best way to
for big companies
offline stores in Bengaluru, Hyderabad and
start a business at that time because it was
Delhi. The users are allowed to look into a
the new sunrise sector of the world with
100+ employees
variety of products and enables the users
many players fighting for the same space.
12 million
to find the best price, deals and offers from
MySmartPrice is doing great in its business
major e-commerce sites.
and has reached the apex in just five years.
The start up received a funding of $1
It gets paid for every footfall done through
million in 2013 and another $10 million
the site. With the conversion rate going
from Accel Partners and Helion Venture
up, revenues are also increasing. It has
Partners for expansion of the company’s
experienced a 100% growth rate in
hyper-local shopping services to Pan India
conversion
enabling over 1 lakh local retail stores to
earnings rose from 30 lakh INR in
reach their customers online.
December 2011 to 1 crore INR in June
As of September 2014, MySmartPrice had a
2012, with over 30 crpore INR worth
total of over 17 million users each month,
products actually sold through consumer
with 11 million of them being unique.
transdactions. The site now attracts 12
Having a huge employee base of more than
million visitors each month with the
100 employees has helped MySmartPrice
numbers constantly on an increase.
customers each month
PAGE
10
rates
and
that
as
Lead generator
recollects
pitches
choosing
enquiries.
The
OUR SPONSORS
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