CHAPTER-6 CONCLUSION AND SUGGESTIONS

Size: px
Start display at page:

Download "CHAPTER-6 CONCLUSION AND SUGGESTIONS"

Transcription

1 CHAPTER-6 CONCLUSION AND SUGGESTIONS 6.1 Conclusion With the present competitive environment in India arising due to globalization and multi-nationals entering into the Indian market; it was felt that Indian companies need flexibility. Though the response to buy-back option was lukewarm in the beginning, the situation is changing and the provisions for buy-back have received laudable response from the corporate world. Since the approval of buy-back of shares by companies, there has been commendable shoot up in the instances of buy-back. However, the present regulations leave wide scope for misuse. More specifically, it is found that the present regulations do not ensure the much desired transparency in the case of open market method of buybacks. In such buybacks, a company in public announcement declares the date of opening of the offer and the end date, the maximum total amount to be bought back and the maximum offer price per share during the process of buy-back. However, indicating the maximum price alone does not bring about the needed transparency in the system and leaves much room for price manipulation by the company promoters. It is found in Table 12 that there is an unduly large gap between the maximum announced price and the actual buyback price paid by the company in a large proportion in case of open market buybacks. The time gap between the announcement date and the opening of the offer date of buy-back of shares varied from day one to 110 days. The time gap between the announcement date and the opening of the offer date was three days in case of 11 companies in the study. However, irrespective of difference between the announcement date and the opening of the offer date it is noted that the difference in price between announcement date and opening of the offer date, ranged between (-25%) to ( +25%). Hence, from the shareholders viewpoint, 162

2 the disclosure of maximum price alone does not bring about the needed transparency in the system. Besides, at what price, on which days and in what quantity will the company repurchase its shares are all at the discretion of the company management. The companies are at liberty to end the buy-back programme or discontinue it before the end date and even before the total aggregate amount are reached. According to Section 77A (9), such particulars are required to be entered in the register of buy-back of securities within 7 days of the date of completion of buy-back. This system lacks transparency and could benefit the insiders rather than investing shareholders at large. The results of share price movements has shown that announcement effect resulted in a rise in price from announcement date to opening of the offer date in case of 64.63% of buy-back cases thereby, supporting management s contention of undervaluation of shares. Besides, an analysis of the mean share prices shows that in case of 55 companies (67%) there was an increase in the mean share prices after buy-back as compared to the mean share prices for pre buy-back period. Thus, the shareholders who did not participate in the buy-back programme gained in these companies. However, the overall effect of buy-back on the share prices is the algebraic sum of the announcement effect and the post buy-back effect and no assurance can be given regarding the price movements. A share will command premium only when the market is more confident. Phase-wise analysis showed that the dampening of the share markets due to technology meltdown; revival of the market due of private foreign capital flows to emerging market economies in an environment of liberalization, flexible exchange rates and strong economic growth, commonly known as bull-run period; the bear-phase due to global subprime crisis and the revival stage due to economic policies of the government played an important role in the valuation of shares in the market and companies to a large extent were affected by these 163

3 global events. Also share prices also depend on various fundamentals, capital markets and global factors affecting the companies. It is believed that share buybacks cause the EPS to rise after the completion of buyback. Yet, the study shows that the EPS does not rise in every case after buy-back. Though the performance efficiency of majority cases was positive and conveyed good news about future performance of companies after buy-back, the EPS had declined due to various internal and external factors over one year after buyback in about 23 companies (28%) which completed buy-back as shown in Tables 7, 8, 9, 10, and 11. There are companies which brought in financial changes as double buy-back, issue of bonus shares, rights issue etc after buy-back which affected the performance of the companies. It should be noted that the profits or fortunes of companies may improve or deteriorate from time to time due to a great variety of factors, both internal (such as company specific factors workers strike, break-down etc) and external factors (like cyclical factors, competition, government policies, etc.). Nevertheless, corporate actions usually create value to shareholders. Share buyback is no exception to this rule. The effect of buy-back on the shareholders wealth is evident from Table 12 and Table 13. The shareholders who tendered their shares in case of 32 companies (39%) gained as the prices of the shares after closing date declined and were better off than the shareholders who did not participate in the process of buy-back of those companies. At the same time, the shareholders who did not tender their shares in the buy-back process, as in case of 41 companies (50%) stood to gain as the mean share prices after buy-back were positive and the earnings per share a year after buy-back was also positive, but the shareholders of 10 companies (12.20%) suffered loss as the mean share prices after buy-back and even the earnings per share after one year of buy-back declined. The shareholders of 14 companies gained in the short run following the buy-back in terms of share prices but there was a fall in the earnings per share after one year. The shareholders of 17 companies did not gain in the short run but measured in terms of earnings post one year the results were positive. 164

4 Nevertheless, only buy-back cannot be the sole factor to consider the effect on EPS. Much depends on many other uncontrollable factors and the shareholders in the long run may or may not have retained the shares of the companies which have completed buy-back. It has been the practice of companies to make fresh issue of share or have employees stock option plan within a few months before or after buy-back. Allowing a company to make a fresh issue of shares just 6 months either before or after share buyback may encourage undesirable practices by promoters. For example, in the study undertaken, GSS America Infotech Ltd raised ` lakhs during the financial year i.e. before buy-back and bought back 5,63,157 equity shares during 25th February 2009 to 5th August 2009 at an average share price of ` per share amounting to `8.571 crores and reduced the share capital to `12.74 crores after buy-back. However, the company raised ` lakhs during the quarter ending 30 th June 2010 through qualified institutional placement by issuing 14,00,000 lakh shares at ` per share. This can lead to manipulation by the management which may go against the interest of the shareholders. The management may buyback at low prices, reduce the floating stock, push up the stock price and soon come out with a share issue at a higher price. It also raises the question whether companies which are unable to have a credible financial plan and capital budget for even one year ahead, should be allowed to go for share buyback. It would be very confusing if a company buys back its shares on the ground that it has surplus cash and then, within the same year decides to issue fresh equity for raising capital. There should be strict regulation disallowing companies to make fresh issue of shares at least one year after buy-back. 6.2 Suggestions From the shareholders viewpoint, the disclosure of maximum price alone does not bring about the needed transparency in the system. It is desirable that in the 165

5 case of open market buyback offers, SEBI regulations should be amended to make the company mandatorily announce a minimum support price at which the company will accept the buyback offers made by the shareholders. This will have several advantages: (a) It will assure the shareholders that the company management is genuinely interested in preventing an unjustified fall in share price. (b) It will help to reduce price volatility, which is much higher in India than in the developed countries. (c) It will prevent the misuse of open market offer method for manipulating the share price according to the whims and fancies of the promoting group. (d) Finally, the requirement of announcing both maximum and minimum buyback prices will ensure that buyback prices are realistic and not just conjectural. Irrespective of the time gap between announcement date and opening of the offer date, the investors can devise trading strategies to purchase shares of companies proposing share buy-backs as soon as the company informs the stock exchanges and media and sell the same on the opening date to gain a short- term profit. In order to maintain the much needed transparency, an early disclosure of the information regarding the total number of shares repurchased and the total cost incurred for the same at the end of the fortnight, the buyback offer price and the average price paid for such repurchases, the extent to which the announced buy-back programme has been implemented in terms of the total cost incurred and the extent of the remaining programme which may be implemented in the future is desirable. This would be equitable to both insiders (persons well informed within the company) as well as the shareholders and would guide them to design their future course of action. A share will command premium only when the market is more confident. Thus, merely signaling effect of announcement of buy-back is not sufficient to make 166

6 good the undervaluation of shares, but an additional boost from the market is also necessary. One of the motives of buy-back is to increase earnings per share. Companies should not resort to buy-back only to fulfill this purpose. Corporate actions should always create value to shareholders by efficient management by improving the overall results of the company. No fresh issue of shares should be allowed for at least one year after share buyback. This can prevent manipulation by the management and safeguard the interest of the shareholders. 167

ANZ ETFS S&P/ASX 300 HIGH YIELD PLUS ETF. (ASX Code: ZYAU)

ANZ ETFS S&P/ASX 300 HIGH YIELD PLUS ETF. (ASX Code: ZYAU) ANZ ETFS S&P/ASX 300 HIGH YIELD PLUS ETF (ASX Code: ZYAU) INVESTMENT BUILDING BLOCKS FOR A CHANGING WORLD Introducing a suite of innovative exchange traded funds (ETFs) designed for Australian investors

More information

Share buybacks have grown

Share buybacks have grown The forensics of share buybacks Companies are increasingly using share-buybacks but who wins and who gains from these transactions? CHRISTINE BROWN looks at the evidence. CHRISTINE BROWN Associate Professor

More information

Share-Based Payments. 1. Introduction. 2. Definitions

Share-Based Payments. 1. Introduction. 2. Definitions 7 Share-Based Payments Reference: The students are advised to refer the full text of the Guidance Note on Accounting for Employee Share-based Payments. This Guidance Note was issued in 2005 and deals with

More information

Learning Objectives. Retained Earnings and Dividends. Chapter 15. Horngren, Best, Fraser, Willett: Accounting 6e 2010 Pearson Australia

Learning Objectives. Retained Earnings and Dividends. Chapter 15. Horngren, Best, Fraser, Willett: Accounting 6e 2010 Pearson Australia PowerPoint to accompany Companies: Retained earnings, share splits and buy-backs, and the income statement Chapter 15 Learning Objectives 1. Account for share dividends 2. Distinguish share splits from

More information

Ordinary Shares Presenter Date

Ordinary Shares Presenter Date 1 Ordinary Shares Presenter Date Contents What is a share? What is an ordinary shares? What are dividends? What is the share price? The benefits of ordinary shares Some things to consider when investing

More information

Update. SEBI Allows Promoters of Listed Companies to Sell Shares through Stock Exchange Mechanism. -Nivedita Shankar nivedita@vinodkothari.

Update. SEBI Allows Promoters of Listed Companies to Sell Shares through Stock Exchange Mechanism. -Nivedita Shankar nivedita@vinodkothari. Vinod Kothari & Company SEBI Allows Promoters of Listed Companies to Sell Shares through Stock Exchange Mechanism -Nivedita Shankar nivedita@vinodkothari.com Check at: www.indiafinancing.com/staffpublications.htm

More information

Actuarial Society of India

Actuarial Society of India Actuarial Society of India EXAMINATIONS November 2004 SUBJECT - 108: Finance and Financial Reporting Indicative Solution S-108 Page 1 of 7 1 D 2 C 3 B 4 D 5 D 6 A 7 B 8 C 9 B 10 D 11 Trade credit is short-term

More information

Stock Buybacks. SEC Hot Topics Institute November 28, 2012. Robert L. Kimball, Vinson & Elkins L.L.P. Janet Wright, Dell Inc.

Stock Buybacks. SEC Hot Topics Institute November 28, 2012. Robert L. Kimball, Vinson & Elkins L.L.P. Janet Wright, Dell Inc. Stock Buybacks SEC Hot Topics Institute November 28, 2012 Robert L. Kimball, Vinson & Elkins L.L.P. Janet Wright, Dell Inc. These materials are intended for educational and informational purposes only

More information

Buyback of Shares. IPCC Paper 5: Advanced Accounting Chapter 4. CA. Shruthi BN, Bangalore

Buyback of Shares. IPCC Paper 5: Advanced Accounting Chapter 4. CA. Shruthi BN, Bangalore Buyback of Shares IPCC Paper 5: Advanced Accounting Chapter 4 CA. Shruthi BN, Bangalore Learning Objectives 1 After studying this unit, you will be able to learn the provisions of the Companies Act, 1956

More information

Investment in Gold Exchange Traded Funds (Gold ETF): A Safe and Novel Approach to Investment in Gold

Investment in Gold Exchange Traded Funds (Gold ETF): A Safe and Novel Approach to Investment in Gold Investment in Gold Exchange Traded Funds (Gold ETF): A Safe and Novel Approach to Investment in Gold Dr. Joshy Andrews Assistant Professor, St.Aloysius College Edathua, Alapuzha Mail: andrewsjoshy@gmail.com

More information

Discussion paper on 'Proposed modifications to the existing framework for buy back through open market purchase'

Discussion paper on 'Proposed modifications to the existing framework for buy back through open market purchase' Discussion paper on 'Proposed modifications to the existing framework for buy back through open market purchase' Background (I) Section 77A of the Companies Act, 1956 contains the basic framework for companies

More information

Corporate Governance and Share Buybacks in Australia

Corporate Governance and Share Buybacks in Australia Corporate Governance and Share Buybacks in Australia Subba Reddy Yarram Abstract This study examines the factors influencing decision to buyback shares in Australia. Analysis of a sample of non-financial

More information

Summary of Financial Results for the Three Months Ended June 30, 2015

Summary of Financial Results for the Three Months Ended June 30, 2015 Summary of Financial Results for the Three Months Ended June 30, 2015 (Non-Consolidated) August 7, 2015 Company name: JAPAN POST BANK Co., Ltd. Website: http://www.jp-bank.japanpost.jp/

More information

Chart 1 - Expense Rates. 0.0 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Year

Chart 1 - Expense Rates. 0.0 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Year Policies and Developments INVESTMENT PERFORMANCE OF LIFE INSURERS Introduction Life insurance has evolved over many decades from a pure risk insurance to whole life and endowment insurance and more recently

More information

Learn about this new way to invest in the stock market

Learn about this new way to invest in the stock market Learn about this new way to invest in the stock market POP BOVESPA YOU CAN T GO WRONG Today, the São Paulo Stock Exchange - BOVESPA is the only stock trading center in Brazil and the largest stock exchange

More information

FINANCIAL MANAGEMENT

FINANCIAL MANAGEMENT STUDY MATERIAL:- FINANCIAL MANAGEMENT VERY SHORT QUESTIONS ( 1 MARK) 1 Define Financial Management. Ans financial management is that specialized activity which is responsible for obtaining and affectively

More information

FIN 423/523 Repurchase Tender Offers

FIN 423/523 Repurchase Tender Offers FIN 423/523 Repurchase Tender Offers 1. Cash flow out of the firm to shareholders alternative to dividend payments before recent changes in the tax laws, capital gains were taxed at lower rates (so this

More information

Five Things To Know About Shares

Five Things To Know About Shares Introduction Trading in shares has become an integral part of people s lives. However, the complex world of shares, bonds and mutual funds can be intimidating for many who still do not know what they are,

More information

- A Brokers Perspective

- A Brokers Perspective GEARING UP FOR A DE-TARIFF REGIME Strategies & Experiences in Managing Risk Transfers - A Brokers Perspective IFC, New Delhi August 22, 2006 Sanjay Kedia Content Market Overview Total Cost of Risk Components

More information

FREQUENTLY ASKED QUESTIONS ABOUT RULE 10b - 18 AND STOCK REPURCHASE PROGRAMS

FREQUENTLY ASKED QUESTIONS ABOUT RULE 10b - 18 AND STOCK REPURCHASE PROGRAMS FREQUENTLY ASKED QUESTIONS ABOUT RULE 10b - 18 AND STOCK REPURCHASE PROGRAMS The Regulation What is Rule 10b-18? Rule 10b-18 provides an issuer (and its affiliated purchasers ) with a non-exclusive safe

More information

SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY

SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY 1. Introduction This Summary Best Interest and Order Execution Policy ( the Policy ) is provided to you (our Client or prospective Client) in accordance

More information

CRISIL Limited: Unaudited Financial Results for the quarter ended September 30, 2005.

CRISIL Limited: Unaudited Financial Results for the quarter ended September 30, 2005. Pg 1/8 CRISIL Limited: Unaudited Financial Results for the quarter ended September 30, 2005. October 19, 2005. Mumbai. The Board of Directors of CRISIL Limited, India s leading Ratings, Financial News,

More information

Understanding Margins

Understanding Margins Understanding Margins Frequently asked questions on margins as applicable for transactions on Cash and Derivatives segments of NSE and BSE Jointly published by National Stock Exchange of India Limited

More information

CIRCULAR. CIR/CFD/POLICYCELL/1/2015 April 13, 2015

CIRCULAR. CIR/CFD/POLICYCELL/1/2015 April 13, 2015 CIRCULAR CIR/CFD/POLICYCELL/1/2015 April 13, 2015 To All Recognised Stock Exchanges All Registered Merchant Bankers All Registrars to the Issue Dear Sir/Madam, Sub: Mechanism for acquisition of shares

More information

England and Wales Treasury Shares Guide IBA Corporate and M&A Law Committee [2014]

England and Wales Treasury Shares Guide IBA Corporate and M&A Law Committee [2014] England and Wales Treasury Shares Guide IBA Corporate and M&A Law Committee [2014] Contact Greg Scott, Partner Memery Crystal LLP gscott@memercrystal.com 1 Contents Page SCOPE OF THIS REPORT... 3 GENERAL

More information

Understanding Margins. Frequently asked questions on margins as applicable for transactions on Cash and Derivatives segments of NSE and BSE

Understanding Margins. Frequently asked questions on margins as applicable for transactions on Cash and Derivatives segments of NSE and BSE Understanding Margins Frequently asked questions on margins as applicable for transactions on Cash and Derivatives segments of NSE and BSE Jointly published by National Stock Exchange of India Limited

More information

Why wait to live your dreams?

Why wait to live your dreams? Future Generali Secure Income Why wait to live your dreams? A money back life insurance plan that gives you the freedom to decide when you want your returns. Future Generali Secure Income is an insurance

More information

Risks involved with futures trading

Risks involved with futures trading Appendix 1: Risks involved with futures trading Before executing any futures transaction, the client should obtain information on the risks involved. Note in particular the risks summarized in the following

More information

Why Do Firms Announce Open-Market Repurchase Programs?

Why Do Firms Announce Open-Market Repurchase Programs? Why Do Firms Announce Open-Market Repurchase Programs? Jacob Oded, (2005) Boston College PhD Seminar in Corporate Finance, Spring 2006 Outline 1 The Problem Previous Work 2 3 Outline The Problem Previous

More information

ACCEPTED MAREKT PRACTICE ON LIQUIDITY AGREEMENTS

ACCEPTED MAREKT PRACTICE ON LIQUIDITY AGREEMENTS ACCEPTED MAREKT PRACTICE ON LIQUIDITY AGREEMENTS Acceptance by the Dutch Ministry of Finance on 4 may 2011 Description of the practice: Transactions and trade orders in shares and participation rights

More information

ii) Compliance Officer The Company has appointed Company Secretary as Compliance

ii) Compliance Officer The Company has appointed Company Secretary as Compliance NBCC- CODE OF CONDUCT TO REGULATE, M ONITOR AND REPORT TRADING BY INSIDERS [under Regulation 9(1) and (2) of the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015]

More information

Morgan Stanley Reports Second Quarter 2015:

Morgan Stanley Reports Second Quarter 2015: Media Relations: Michele Davis 212-761-9621 Investor Relations: Kathleen McCabe 212-761-4469 Morgan Stanley Reports Second Quarter 2015: Net Revenues of $9.7 Billion and Earnings per Diluted Share of $0.85

More information

SPDR S&P 400 Mid Cap Value ETF

SPDR S&P 400 Mid Cap Value ETF SPDR S&P 400 Mid Cap Value ETF Summary Prospectus-October 31, 2015 Before you invest in the SPDR S&P 400 Mid Cap Value ETF (the Fund ), you may want to review the Fund's prospectus and statement of additional

More information

Plus500CY Ltd. Order Execution Policy

Plus500CY Ltd. Order Execution Policy Plus500CY Ltd. Order Execution Policy Order Execution Policy This Order Execution Policy forms part of the Client Agreements as defined in the User Agreement. 1. CONDUCTING BUSINESS 1.1. We have a general

More information

Advanced Securities Law

Advanced Securities Law READING MATERIAL Advanced Securities Law UNIT 2 Public Issues: Initial Public Offering- II ADVANCED SECURITIES LAW 2 In the previous Unit we began our study of initial public offers ( IPOs ). We looked

More information

Company Fundamentals. THE CMC Markets Trading Smart Series

Company Fundamentals. THE CMC Markets Trading Smart Series Company Fundamentals THE CMC Markets Trading Smart Series How to evaluate company growth potential At any given point in time, share prices tend to represent the sum of expectations about its value from

More information

Your guide to. Participating. Policies. An initiative of

Your guide to. Participating. Policies. An initiative of Your guide to Participating Policies 2008 An initiative of This Guide is an initiative of the MoneySENSE national financial education programme. The MoneySENSE programme brings together industry and public

More information

BEST INTEREST AND ORDER EXECUTION POLICY

BEST INTEREST AND ORDER EXECUTION POLICY Page 1 of 7 Leverate Financial Services Ltd. (Regulated by the Cyprus Securities & Exchange Commission) BEST INTEREST AND ORDER EXECUTION POLICY 2015 Page 2 of 7 BEST INTEREST AND ORDER EXECUTION POLICY

More information

Participating Account Management and Disclosure to Participating Policyholders and Adjustable Policyholders

Participating Account Management and Disclosure to Participating Policyholders and Adjustable Policyholders Guideline Subject: to Participating Policyholders and Adjustable Policyholders Category: Sound Business and Financial Practices No: E-16 Date: November 2011 Introduction Life insurance companies have issued

More information

Primary Market - Place where the sale of new stock first occurs. Initial Public Offering (IPO) - First offering of stock to the general public.

Primary Market - Place where the sale of new stock first occurs. Initial Public Offering (IPO) - First offering of stock to the general public. Stock Valuation Primary Market - Place where the sale of new stock first occurs. Initial Public Offering (IPO) - First offering of stock to the general public. Seasoned Issue - Sale of new shares by a

More information

Introduction. 15.511 Corporate Accounting Summer 2004. Professor SP Kothari Sloan School of Management Massachusetts Institute of Technology

Introduction. 15.511 Corporate Accounting Summer 2004. Professor SP Kothari Sloan School of Management Massachusetts Institute of Technology Introduction 15.511 Corporate Accounting Summer 2004 Professor SP Kothari Sloan School of Management Massachusetts Institute of Technology June 7, 2004 1 Session 1: Agenda Administrative matters Discussion

More information

Institute of Actuaries of India

Institute of Actuaries of India Institute of Actuaries of India GUIDANCE NOTE (GN) 6: Management of participating life insurance business with reference to distribution of surplus Classification: Recommended Practice Compliance: Members

More information

Vision Endowment Plan

Vision Endowment Plan Vision Endowment Plan A traditional with profits life insurance plan Frequently Asked Questions UIN 109N080V02 TRA/1/13-14/6550 January, 2014 Prepared by Product Management 1 For Internal Circulation only

More information

E15-1. Understanding Shareholders Equity

E15-1. Understanding Shareholders Equity E15-1. Understanding Shareholders Equity Preferred stock is a class of capital stock that pays dividends at a specified rate and that has preference over common stock in the payment of dividends and the

More information

Keystone Financial Planning, Inc.

Keystone Financial Planning, Inc. Keystone Financial Planning, Inc. 7261 Engle Road Suite 308 Middleburg Heights, Ohio 44130 Telephone: 440.234.6323 Facsimile: 440.234.6844 Website: www.keystonefin.com February 10, 2014 FORM ADV PART 2

More information

BMO Global Asset Management (Asia) Limited 11 February 2016

BMO Global Asset Management (Asia) Limited 11 February 2016 Product Key Facts BMO MSCI JAPAN HEDGED TO USD ETF BMO Global Asset Management (Asia) Limited 11 February 2016 Quick facts This is an exchange traded fund. This statement provides you with key information

More information

CNX NIFTY. Index Methodology. Contact:

CNX NIFTY. Index Methodology. Contact: CNX NIFTY Index Methodology Contact: Email: iisl@nse.co.in Tel: +91 22 26598386 Address: Exchange Plaza, Bandra Kurla Complex, Bandra (East), Mumbai 400 051(India) 1 Table of Contents Sr. No Content Page

More information

September 30, 2014. September 30, 2015 1,079.51 854.88 684.59 1,934.39 1,513.12 2,104.78

September 30, 2014. September 30, 2015 1,079.51 854.88 684.59 1,934.39 1,513.12 2,104.78 SASKEN COMMUNICATION TECHNOLOGIES LIMITED 139/25, RING ROAD, DOMLUR, BANGALORE 560 071 AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED SEPTEMBER 30, (Rs. in lakhs) PART I Quarter

More information

CLIENT RELATIONSHIP DISCLOSURE STATEMENT

CLIENT RELATIONSHIP DISCLOSURE STATEMENT A. INTRODUCTION CLIENT RELATIONSHIP DISCLOSURE STATEMENT Securities legislation in Canada requires Deans Knight Capital Management Ltd. ( Deans Knight or the firm ) to provide you with certain information

More information

CAPTURING THE ALPHA IN STOCK BUYBACKS

CAPTURING THE ALPHA IN STOCK BUYBACKS CAPTURING THE ALPHA IN STOCK BUYBACKS QWAFAFEW NYC NOVEMBER 12, 2014 DAVID KREIN, MARKETAXESS CAMERON LILJA, NASDAQ INVESTOR ALPHA, NOT EXECUTIVE ALPHA 2 HIGHLIGHTS What is a stock buyback? A stock buyback

More information

decidedly different Catalyst Mutual Funds Investor Overview

decidedly different Catalyst Mutual Funds Investor Overview decidedly different Catalyst Mutual s Investor Overview Our Mission We strive to provide innovative strategies to support financial advisors and their clients in meeting the investment challenges of an

More information

21st Century Hungary as Regional Financial Centre

21st Century Hungary as Regional Financial Centre 21st Century Hungary as Regional Financial Centre Focus The new Hungarian government is firmly determined to make Hungary the 21st century financial services centre of Central Europe by the recently released,

More information

Buyback of equity and debt securities in Switzerland

Buyback of equity and debt securities in Switzerland Seite 1 von 11 Buyback of equity and debt securities in Switzerland Resource type: Articles: know-how Status: Law stated as at 01-Nov-2009 Markus Pfenninger and Lukas Wyss, Walder Wyss & Partners Ltd A

More information

BEST EXECUTION AND ORDER HANDLING POLICY

BEST EXECUTION AND ORDER HANDLING POLICY BEST EXECUTION AND ORDER HANDLING POLICY 1. Introduction 1.1. This Summary Best Execution and Order Handling Policy ( the Policy ) is provided to you (our Client or prospective Client) in accordance with

More information

INVESTMENT IN FINANCIAL SECURITIES IN INDIA SINCE GLOBALISATION

INVESTMENT IN FINANCIAL SECURITIES IN INDIA SINCE GLOBALISATION INVESTMENT IN FINANCIAL SECURITIES IN INDIA SINCE GLOBALISATION INTRODUCTION Globalisation of financial markets occupies a significant place in the economic development of any country as it promotes faster

More information

The Application of International Accounting Standards in the Financial Statements of Tearfund Partners

The Application of International Accounting Standards in the Financial Statements of Tearfund Partners The Application of International Accounting Standards in the Financial Statements of Tearfund Partners Context: International Accounting Standards (IAS) have been developed primarily to bring consistency

More information

Blue Chip Segment Directive 19 Separate line trading. Date of entry into force: 4 May 2009

Blue Chip Segment Directive 19 Separate line trading. Date of entry into force: 4 May 2009 Blue Chip Segment Directive 19 Separate line trading Date of entry into force: 4 May 2009 SIX Swiss Exchange Page ii Table of Contents 1. General...1 2. Special regulatory issues...2 2.1 Buy-backs of equity

More information

Indemnity Basis of Settlement. Practical Problems in Adjusting Losses. By the CILA Property Special Interest Group

Indemnity Basis of Settlement. Practical Problems in Adjusting Losses. By the CILA Property Special Interest Group Indemnity Basis of Settlement. Practical Problems in Adjusting Losses. By the CILA Property Special Interest Group INTRODUCTION All insurance policies are based on providing the policyholder with an indemnity,

More information

Indxx SuperDividend U.S. Low Volatility Index

Indxx SuperDividend U.S. Low Volatility Index www.indxx.com Indxx SuperDividend U.S. Low Volatility Index Methodology May 2015 INDXX, LLC has been granted a license by Global X Management Company LLC to use SuperDividend. SuperDividend is a trademark

More information

First Half 2015 Taiwan Life Insurance Market Overview

First Half 2015 Taiwan Life Insurance Market Overview First Half 2015 Taiwan Life Insurance Market Overview 一. Life Insurance Business and Financial Overview ( 一 ) Business Statistics The life insurance industry in Taiwan delivered NTD1,410.3 billion in premium

More information

AIFMD investor information document Temple Bar Investment Trust PLC

AIFMD investor information document Temple Bar Investment Trust PLC AIFMD investor information document Temple Bar Investment Trust PLC Temple Bar Investment Trust PLC (the Company ) was incorporated in 1926 with the registered number 214601. The Company carries on business

More information

Chapter 7 EQUITY SECURITIES METHODS OF LISTING. 7.01 Equity securities may be brought to listing by any one of the methods described below.

Chapter 7 EQUITY SECURITIES METHODS OF LISTING. 7.01 Equity securities may be brought to listing by any one of the methods described below. Chapter 7 EQUITY SECURITIES METHODS OF LISTING 7.01 Equity securities may be brought to listing by any one of the methods described below. Offer for Subscription 7.02 An offer for subscription is an offer

More information

Cash flow before tax 1,587 1,915 1,442 2,027 Tax at 28% (444) (536) (404) (568)

Cash flow before tax 1,587 1,915 1,442 2,027 Tax at 28% (444) (536) (404) (568) Answers Fundamentals Level Skills Module, Paper F9 Financial Management June 2014 Answers 1 (a) Calculation of NPV Year 1 2 3 4 5 $000 $000 $000 $000 $000 Sales income 5,670 6,808 5,788 6,928 Variable

More information

SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY

SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY SUMMARY BEST INTEREST AND ORDER EXECUTION POLICY 1. Introduction 1.1. This Summary Best Interest and Order Execution Policy ( the Policy ) is provided to you (our Client or prospective Client) in accordance

More information

Combination and Treatment of

Combination and Treatment of 1069 Converged IND AS 103-Business Combination and Treatment of Goodwill and Bargain Purchase The necessity of a standard on Business Combinations in India assumes importance considering the fact that

More information

Royalties, The better way of both investing in and financing of companies and projects

Royalties, The better way of both investing in and financing of companies and projects Royalties, The better way of both investing in and financing of companies and projects Prepared for UCSD Jacobs School of Engineering s von Liebig Entrepreneurism Center Aligning the interests of those

More information

RNIS COLLEGE OF INSURANCE

RNIS COLLEGE OF INSURANCE RNIS COLLEGE OF INSURANCE NEW IC 33 MODEL TEST 4 1. Insurance needed by a person can be determined by a. Human Life Value method b. Life Term proposition method c. Future Life value method. d. Human Economic

More information

Raising Money, Issuing Shares and Distributing Assets

Raising Money, Issuing Shares and Distributing Assets SECTION 7 Raising Money, Issuing Shares and Distributing Assets A. Financing the Corporation One of the most important roles of the board of directors is to authorize financing of the corporation to meet

More information

Sub: Buyback of equity shares by OnMobile Global Limited- Board Resolution Copy

Sub: Buyback of equity shares by OnMobile Global Limited- Board Resolution Copy February 5, 2016 Bangalore To Securities and Exchange Board of India Plot No. C4-A, G Block Bandra Kurla Complex, Bandra East Mumbai 400 051 Dear Sir/Madam, Sub: Buyback of equity shares by - Board Resolution

More information

POLICY STATEMENT Q-22

POLICY STATEMENT Q-22 POLICY STATEMENT Q-22 DISCLOSURE DOCUMENT FOR COMMODITY FUTURES CONTRACTS, FOR OPTIONS TRADED ON A RECOGNIZED MARKET AND FOR EXCHANGE-TRADED COMMODITY FUTURES OPTIONS 1. In the case of commodity futures

More information

DUKE UNIVERSITY Fuqua School of Business. FINANCE 351 - CORPORATE FINANCE Problem Set #8 Prof. Simon Gervais Fall 2011 Term 2

DUKE UNIVERSITY Fuqua School of Business. FINANCE 351 - CORPORATE FINANCE Problem Set #8 Prof. Simon Gervais Fall 2011 Term 2 DUKE UNIVERSITY Fuqua School of Business FINANCE 351 - CORPORATE FINANCE Problem Set #8 Prof. Simon Gervais Fall 2011 Term 2 Questions 1. Hors d Age Cheeseworks has been paying a regular cash dividend

More information

Investing in a 3-D World

Investing in a 3-D World Investing in a 3-D World February 10, 2016 by Bill Nasgovitz of Heartland Advisors Executive Summary Slowing growth and swelling corporate debt are expected to result in challenges in the coming quarters.

More information

Life Choice Convertible Mortgage Protection Explained

Life Choice Convertible Mortgage Protection Explained Life Choice Convertible Mortgage Explained For Financial Brokers & Advisors Only Sub-Title A Mortgage Plan That Stands Out From The Rest taking care of you... Convertible Mortgage Overview Having a Convertible

More information

CHAPTER 11 Reporting and Analyzing Stockholders Equity

CHAPTER 11 Reporting and Analyzing Stockholders Equity CHAPTER 11 Reporting and Analyzing Stockholders Equity Major Characteristics of a Corporation Ownership A publicly held corporation is regularly traded on a national securities market and may have thousands

More information

Rev. Rul. 2002- [Ruling Regarding Multi-Day Pricing] REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN

Rev. Rul. 2002- [Ruling Regarding Multi-Day Pricing] REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN Rev. Rul. 2002- [Ruling Regarding Multi-Day Pricing] ISSUE REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN What are the Federal income tax consequences arising from the issuance of shares of a publicly-traded

More information

POLICY 2.5 CONTINUED LISTING REQUIREMENTS AND INTER-TIER MOVEMENT

POLICY 2.5 CONTINUED LISTING REQUIREMENTS AND INTER-TIER MOVEMENT Scope of Policy POLICY 2.5 CONTINUED LISTING REQUIREMENTS AND INTER-TIER MOVEMENT This Policy describes the minimum standards to be met by Issuers to continue to qualify for listing in each tier. These

More information

Lecture 1: The Options Market and Options Trading

Lecture 1: The Options Market and Options Trading Lecture 1: The Options Market and Options Trading Before you trade options, it is essential that you have a good working knowledge of how to evaluate stocks and the underlying factors that influence share

More information

India Index Services & Products Ltd. TRACKING ERROR

India Index Services & Products Ltd. TRACKING ERROR TRACKING ERROR An Index Fund is a mutual fund scheme that invests in the securities in the target Index in the same proportion or weightage of the securities as it bears to the target index. The investment

More information

APPENDIX - I VOLATILITY IN STOCK PRICES AND ITS IMPLICATIONS FOR INVESTMENT DECISIONS OF INDIVIDUAL PLAYERS. (Doctoral Research Periyar University)

APPENDIX - I VOLATILITY IN STOCK PRICES AND ITS IMPLICATIONS FOR INVESTMENT DECISIONS OF INDIVIDUAL PLAYERS. (Doctoral Research Periyar University) APPENDIX - I Code No. VOLATILITY IN STOCK PRICES AND ITS IMPLICATIONS FOR INVESTMENT DECISIONS OF INDIVIDUAL PLAYERS (Doctoral Research Periyar University) I. Identification: QUESTIONNAIRE 1.1. Name* :

More information

SPDR Wells Fargo Preferred Stock ETF

SPDR Wells Fargo Preferred Stock ETF SPDR Wells Fargo Preferred Stock ETF Summary Prospectus-October 31, 2015 PSK (NYSE Ticker) Before you invest in the SPDR Wells Fargo Preferred Stock ETF (the Fund ), you may want to review the Fund's prospectus

More information

Regulatory Story. RNS Number : 1957D Vietnam Infrastructure Limited 27 November 2009. Go to market news section

Regulatory Story. RNS Number : 1957D Vietnam Infrastructure Limited 27 November 2009. Go to market news section Regulatory Story Go to market news section Company TIDM Headline Released Number Vietnam Infrastructure Limited VNI Investing Policy 10:13 27-Nov-2009 1957D10 RNS Number : 1957D Vietnam Infrastructure

More information

THE GAZETTE OF INDIA EXTRAORDINARY PART III SECTION 4 PUBLISHED BY AUTHORITY NEW DELHI, AUGUST 8, 2013 SECURITIES AND EXCHANGE BOARD OF INDIA

THE GAZETTE OF INDIA EXTRAORDINARY PART III SECTION 4 PUBLISHED BY AUTHORITY NEW DELHI, AUGUST 8, 2013 SECURITIES AND EXCHANGE BOARD OF INDIA THE GAZETTE OF INDIA EXTRAORDINARY PART III SECTION 4 PUBLISHED BY AUTHORITY NEW DELHI, AUGUST 8, 2013 SECURITIES AND EXCHANGE BOARD OF INDIA NOTIFICATION Mumbai, the 8 th day of August 2013 SECURITIES

More information

Morgan Stanley Reports Third Quarter 2015:

Morgan Stanley Reports Third Quarter 2015: Media Relations: Michele Davis 212-761-9621 Investor Relations: Kathleen McCabe 212-761-4469 Morgan Stanley Reports Third Quarter 2015: Net Revenues of $7.8 Billion and Earnings per Diluted Share of $0.48

More information

Employee Stock Options Paper for the Advisory Expert Group on national accounts By Eurostat

Employee Stock Options Paper for the Advisory Expert Group on national accounts By Eurostat SNA/M1.04/11 Employee Stock Options Paper for the Advisory Expert Group on national accounts By Eurostat Executive Summary This paper summarises research and discussions undertaken over the last four years

More information

Reliance Endowment Plan. secure your dreams today...

Reliance Endowment Plan. secure your dreams today... Reliance Endowment Plan secure your dreams today... ...give wings to them tomorrow Reliance Endowment Plan It takes a lot for a dream to become a reality. And money is surely an important part of it. Reliance

More information

APPLE HOSPITALITY REIT, INC. (Exact name of registrant as specified in its charter)

APPLE HOSPITALITY REIT, INC. (Exact name of registrant as specified in its charter) APLE 8-K 4/23/2015 Section 1: 8-K (8-K) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of The Securities Exchange Act of

More information

slaughter and may Returns of Value Tax Issues Mike Lane, Partner and Richard Jeens, Associate

slaughter and may Returns of Value Tax Issues Mike Lane, Partner and Richard Jeens, Associate slaughter and may ARTICLE OCTOBER 2012 Mike Lane, Partner and Richard Jeens, Associate The ongoing global economic uncertainty has resulted in many groups that have successfully navigated the recessionary

More information

HATHWAY CABLE & DATACOM LIMITED CODE OF INTERNAL PROCEDURES AND CONDUCT FOR PREVENTION OF INSIDER TRADING

HATHWAY CABLE & DATACOM LIMITED CODE OF INTERNAL PROCEDURES AND CONDUCT FOR PREVENTION OF INSIDER TRADING HATHWAY CABLE & DATACOM LIMITED CODE OF INTERNAL PROCEDURES AND CONDUCT FOR PREVENTION OF INSIDER TRADING HATHWAY CABLE & DATACOM LIMITED 1. Definitions 1.1 Act means the Securities and Exchange Board

More information

Introduction. 15.501/516 Accounting Spring 2004. Professor Sugata Roychowdhury Sloan School of Management Massachusetts Institute of Technology

Introduction. 15.501/516 Accounting Spring 2004. Professor Sugata Roychowdhury Sloan School of Management Massachusetts Institute of Technology Introduction 15.501/516 Accounting Spring 2004 Professor Sugata Roychowdhury Sloan School of Management Massachusetts Institute of Technology Feb 4, 2004 1 Session 1: Agenda Administrative matters Discussion

More information

Private companies with strong growth in the healthcare sector offer interesting investment opportunities at attractive valuations.

Private companies with strong growth in the healthcare sector offer interesting investment opportunities at attractive valuations. Letter from the Chairman of the Board of Directors and the Management 7 Dear Shareholders HBM Healthcare Investments can look back at a successful financial year, which closed with a profit of CHF 67 million.

More information

Management Accounting Financial Strategy

Management Accounting Financial Strategy PAPER P9 Management Accounting Financial Strategy The Examiner provides a short study guide, for all candidates revising for this paper, to some first principles of finance and financial management Based

More information

Shanghai-Hong Kong Stock Connect Northbound Trading Risk. Disclosure Letter

Shanghai-Hong Kong Stock Connect Northbound Trading Risk. Disclosure Letter Shanghai-Hong Kong Stock Connect Northbound Trading Risk Disclosure Letter I/We/The Company (hereinafter referred to as "Client") agree(s) to participate Shanghai-Hong Kong Stock Connect ("SHKSC") Northbound

More information

2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory, c) injunction, d) all of these.

2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory, c) injunction, d) all of these. 1. Accounting standard 14 is related with - a) amalgamation, b) valuation of stock, c) depreciation accounting, d) valuation of assets. 2. Accounting standard 14 is a nature of - a) mandatory, b) compulsory,

More information

Meteor Senior Life Settlements Sterling Fund EEA Life Settlements Fund PCC Limited Continuing Shares End of Lock- Up period Your Questions Answered

Meteor Senior Life Settlements Sterling Fund EEA Life Settlements Fund PCC Limited Continuing Shares End of Lock- Up period Your Questions Answered Meteor Senior Life Settlements Sterling Fund EEA Life Settlements Fund PCC Limited Continuing Shares End of LockUp period Your Questions Answered The following information outlines some things shareholders

More information

Morgan Stanley Reports Fourth Quarter and Full Year 2015:

Morgan Stanley Reports Fourth Quarter and Full Year 2015: Media Relations: Michele Davis 212-761-9621 Investor Relations: Kathleen McCabe 212-761-4469 Morgan Stanley Reports Fourth Quarter and Full Year 2015: Fourth Quarter Net Revenues of $7.7 Billion and Earnings

More information

REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN

REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN Rev. Rul. 2002- [Ruling that discount is not a dividend] ISSUE REIT; DIVIDENDS PAID DEDUCTION; REINVESTMENT PLAN What are the Federal income tax consequences arising from the issuance of shares of a publiclytraded

More information

ACCOUNTING STANDARDS BOARD OCTOBER 1998 FRS 14 FINANCIAL REPORTING STANDARD EARNINGS ACCOUNTING STANDARDS BOARD

ACCOUNTING STANDARDS BOARD OCTOBER 1998 FRS 14 FINANCIAL REPORTING STANDARD EARNINGS ACCOUNTING STANDARDS BOARD ACCOUNTING STANDARDS BOARD OCTOBER 1998 FRS 14 14 EARNINGS FINANCIAL REPORTING STANDARD PER SHARE ACCOUNTING STANDARDS BOARD Financial Reporting Standard 14 Earnings per Share is issued by the Accounting

More information

Darren Walcott Business Environment Directorate Department for Business, Innovation and Skills 1 Victoria Street London SW1H 0ET

Darren Walcott Business Environment Directorate Department for Business, Innovation and Skills 1 Victoria Street London SW1H 0ET Our Ref JMG/RWC Darren Walcott Business Environment Directorate Department for Business, Innovation and Skills 1 Victoria Street London SW1H 0ET 15 November 2012 National Office Grant Thornton UK LLP Grant

More information

KAZAKHSTAN STOCK EXCHANGE METHODOLOGY

KAZAKHSTAN STOCK EXCHANGE METHODOLOGY KAZAKHSTAN STOCK EXCHANGE Approved by Kazakhstan Stock Exchange shareholders special general meeting decision (protocol No. 14 of January 17, 2008) NOTICE Mentioned below Methodology in English has been

More information

ADWEALTH STOCK BROKING PVT LTD

ADWEALTH STOCK BROKING PVT LTD ADWEALTH STOCK BROKING PVT LTD POLICIES & PROCEDURES 1. Refusal of orders for penny / illiquid stock The Stock Broker shall have the absolute discretion, from time to time, to refuse/partially refuse/accept

More information