Month: January 2018

Direct Tax Code

Direct Tax Code

Direct Tax Code (DTC) is a move towards rationalization of direct tax structure. This code is a single code for all direct taxes including wealth tax. The overall aim of the new direct taxes code is to lower income tax rates, and more taxpayers. There is a possibility that DTC could be implemented from FY …

Direct Tax Code Read More »

value investing

Value investing vs value trap

High-profile proponents of value investing, including Berkshire Hathaway chairman Warren Buffett, have argued that the essence of value investing is buying stocks at less than their intrinsic value. The discount of the market price to the intrinsic value is what Benjamin Graham called the “margin of safety”. Now one of the most important and difficult aspects of stock selection is determining whether …

Value investing vs value trap Read More »

ion exchange

Ion Exchange (India) Ltd – Clear growth

Ion Exchange (India) Ltd (IEL) pioneered water treatment in India and is today the country’s premier company in water and environment management, with a strong international presence. Formed in 1964, as a subsidiary of the Permutit Company of UK, it became a wholly Indian company in 1985 when Permutit divested their holding. The Company is …

Ion Exchange (India) Ltd – Clear growth Read More »

budget 2018

Stocks to watch out for in budget-2018

The budget to be presented on 1st February 2018 will be unique in some aspects. With GST in place most parts of indirect taxation (other than customs, O&G sector etc.) is likely to stay outside the purview of the budget. Indirect tax impact on various industries & products has always been the talking point in …

Stocks to watch out for in budget-2018 Read More »

bull market mistakes

Mistakes small investors make in a bull market

2017 was a mega year for stock market investors. As you can read in a previous article The year of the bull-2017 even if you did nothing & just simply remained invested through the year you would have earned about 30%. SENSEX/NIFTY returned ~28% during 2017. This would be one class of investors. Other investors could …

Mistakes small investors make in a bull market Read More »

LTCG

Budget 2018-19 expectations- LTCG on equity investments

Every year the issue of taxing long term capital gains (LTCG) on equities comes up before the budget. The government buckles and retains this tax exemption leading to a post budget stock market rally. Currently, if you purchase any shares through a stock exchange you have to pay securities transactions tax (STT). Collections from STT …

Budget 2018-19 expectations- LTCG on equity investments Read More »

income tax

Budget 2018-19 expectations – income tax

The upcoming Union Budget to be presented on 1st February 2018 will be the last regular budget of the NDA government before the general elections in 2019. Thus I expect this to be a populist budget and the middle class can hope for a big income tax relief. We expect the government to hike the …

Budget 2018-19 expectations – income tax Read More »