Category: Personal Finance

HDFC Balanced Fund

This is one of the biggest mutual fund schemes from the HDFC Mutual Fund stable. It has assets under management of nearly Rs 42,000 crores.

This is a hybrid fund, where the amounts are invested in both debt and equity. At the moment the fund has 75% exposure to equity, and the rest in debt and cash and cash equivalents.

The fund has generated a returns of about 55% in the last 1-year. The minimum SIP that one can start the plan is with Rs 500. As compared to other equity mutual funds, the risk here would be a little less, given that the fund has almost 25% exposure to debt, cash and cash equivalents. This would leave the fund manager some opportunity to buy at lower levels, should the markets fall.

HDFC Flexi Cap Fund

HDFC Flexi Cap Fund as the name suggests invests in companies with a small market capitalization or companies with a large market capitalization. It really depends on where the fund manager sees an opportunity.

An SIP investment of Rs 10,000 every month in the last 36-months would have grown to a corpus of Rs 5 lakhs. A Rs 1 lakh investment on the other hand would have fetched Rs 1.5 lakhs, if invested three year ago.

The minimum SIP investment required is Rs 500. Looking at the portfolio of HDFC Flexi Cap Fund would suggest that bulk of the money is invested in large caps like State Bank of India, ICICI Bank, Infosys and Larsen and Toubro. In the last 1-year HDFC Flexi Cap Fund has given a return of 68%. The substantial jump in returns in the last 1-year of equities, due to the sharp rally in the Sensex and the Nifty is one reason why we advocate SIPs.

HDFC Top 100

As the name suggests the company invests in the top companies, primarily from the largecap space.

HDFC Top 100 has generated a returns of around 57% in the last 1-year, in line with the sharp jump in the stock markets. The fund has sizeable assets under management of more than Rs 20,000 crores. The ratings of this fund is not great when compared to peers. Investors can look to invest Rs 500 as the minimum by way of Systematic Investment Plan.

We need to drive home the point once again that the Sensex is at a record high of 52,527 points and hence investing a large amount in equity mutual funds is risky. The HDFC Top 100 has invested almost all of the money in equities and has very little in terms of cash and cash equivalents.

HDFC Corporate Bond Fund

If you are looking at investing with no risk, then the HDFC Corporate Bond Fund would not be a bad bet. In fact, being a debt oriented scheme the risk is far less.

Interestingly, the HDFC Corporate Bond Fund has given a returns of 8% in the last 1-year, which really beats returns from even bank deposits. One can invest in the bond fund, through the SIP route, which would be Rs 500 a month.

The fund has exposure to high quality Government of India Sovereign paper, and debentures from the likes of NABARD and Ultratech Cement. The instruments in the portfolio look sound.

HDFC Medium Term Debt Fund

This is another fund that is good for those looking at debt options through the SIP route. The net asset value under the growth plan is Rs 44.22. The 1-year returns from the fund is 10%, which is really good for a debt fund.

One can invest through the SIP route for Rs 500 each month. Returns from debt funds would largely depend on how interest rates move in the economy. Overall, interest rates are expected to remain stable at the current levels.

Link Aadhaar And PAN Directly: Things to note

Your Aadhaar details will be validated against your PAN name, date of birth, and gender.

Please double-check that the ‘Aadhaar Number’ and ‘Name as per Aadhaar’ fields match the information on your Aadhaar card.

UIDAI Circular F.No. K-11022/631/2017-UIDAI, dated 1-2-2017, on the discontinuance of partial match in demographic authentication.

There are several ways to link your Aadhaar and PAN. The PAN-Aadhaar link can be completed via the internet.

How to Link Aadhaar and PAN Directly from New Income Tax Website Easily

Step 1: Visit Direct link incometax.gov.in

Step 2: Click on Our services

Step 3: Enter PAN and Aadhaar Details

Step 4: Enter mobile number

Step 5: Tick on I agree to validate my Aadhaar details

Step 6: Click on LINK Aadhaar

The linking of Aadhaar and PANCard is required since it allows the government to keep track of taxable financial activities and identify them. It assists in the prevention of tax evasion. Furthermore, combining the Aadhaar and Pan cards prevents an individual from having numerous PAN cards in order to avoid paying taxes. The government and financial system have joined forces to integrate Aadhaar and Pan numbers in order to make financial services and tax payments more efficient.

How To Check PAN-Aadhaar Link Status Online?

On the official website of Income Tax India, you may check the status of your PAN-Aadhaar Link. You can, however, check your status through SMS.

Enter your 12-digit Aadhaar number, leave a space, and then type your 10-digit PAN number. Then, from your registered cellphone number, send the message to 567678 or 56161. The response will be sent as a message.

New Income Tax Portal Features

It’s also worth noting that the new ITR e-filing 2.0 portal includes e-verification, Aadhaar-PAN linkage, e-pay tax, PAN verification, and much more.

It is also simple to update one’s profile on the new website. Right on the home screen, you’ll find the option.

The new e-filing platform has also made it easier to file ITRs electronically. Right on the home screen, you’ll find the option.

A new call centre for taxpayer support has been established to provide prompt responses to taxpayer inquiries. There are also detailed FAQs, User Manuals, Videos, and a chatbot/live agent available.

All that is required is to click on the blue “File your ITR” button and fill in the needed information.

Filing Income Tax Forms, as well as other features Professionals in the field of taxation, Faceless Scrutiny or Appeals would be accessible to respond to Notices.

1. Issue details:

Issue size- Rs. 909 crore

Offer period: June 14- June 16

Price band- Rs. 303-306

Bid lot- 45 shares and in multiples thereof. Retail investors can apply for a maximum of 14 lots

The public offer shall comprise fresh issuance of equity shares, aggregating up to Rs. 657 crore, and an OFS of equity shares totalling to Rs. 252 crore by the company’s shareholders.

Earlier the company planned to come up with a Rs. 1107 crore IPO but later reduced its size as one of the potential investor expressed his apprehension in respect of the OFS size of Rs. 450 crore (that the company was considering earlier).

For the retail investors- 35% of the net offer is reserved, Qualified Insitutional Buyer quota is reserved at 50%, while the NII portion is fixed at 15%.

Book running lead manager: Axis Capital, ICICI Securities, IIFL Securities, JM Financial, SBI Capital Markets

Registrar: KFin Technologies Pvt. Ltd.

2. About the company:

The Kolkata based Shyam Metallics and Energy is a top manufacturer of ferro alloys in India. Also, the company is into production of intermediate and long steel products, including iron pellets, steel billets, TMT, structural products, wire rods and iron pellets.

The company’s clientele includes Jindal Staniless Steel, BHEL, SAIL and JSW Steel among others.

Some of the company’s listed peers include Tata Steel Long Products and Tata Metaliks.

3. Issue objective:

Net proceeds from the fresh issue shall benet proceeds from the fresh issue mainly towards repayment or prepayment of its debt and that of its subsidiary, Shyam SEL and Power, and for other general corporate purposes.

4. Valuations:

The price to earnings P/E ratio based on diluted EPS for financial year 2020 for the company at the upper end of the price band is 21. The weighted average return on net worth for FY 2020, 2019 and 2018 is 17.93 percent.

“The company’s valuation is in line and the stock would get oversubscribed given the current demand from investors,” Rajesh Singla, Founder & CEO of pre-IPO consultancy firm Planify India told to a leading business publication.

5. Grey Market Premium:

In the grey market, the shares of Shyam Metalics gained up to 43% to Rs. 436 per share. As on Thursday just one day before the bidding by anchor investors, the shares of Shyam Metalics traded at a premium of Rs.140-145 apiece in the grey market (GMP) as against its issue price of Rs. 306 per share

6. Conclusion:

“The steel sector remains exposed to steel prices globally, which declined significantly in fiscal 2016 impacting realizations and operating profitability. The group’s operating margin declined to 9.4%, currently, its OPM is at 18.2% (9MFY21. 14.3% in FY20,20.5% in FY19 and 18.1% in FY18, which is highly cyclical) given the upcycle,” Aditya Kondawar, Founder, COO, JST Investments told a leading business daily.

At the same time he added that the company may do well until the time commodity or steel cycle is witnessing a boom, but the IPO can be given a miss or is an ‘Avoid’ from his standpoint. This is because the steel business is extremely cyclical in nature and the price of steel currently is way higher than the average of last 20 years.

Another brokerage firm Kotak Securities in its report dated June 9, 2021 did not assigned any rating to the IPO issue of Shyam Metalics. The report further mentioned that “the company intends to continuously invest in new infrastructure at manufacturing plants and are exploring opportunities to obtain synergies in their existing manufacturing plants. For instance, they intend to introduce a new 600,000 TPA blast furnace

at Jamuria manufacturing plant which will enable them to forward integrate by manufacturing pig iron”.

GoodReturns.in

Tata Communications

Tata Communications provides network services and software-defined network platforms, and owns 500,000 kilometres (310,000 mi) of subsea fibre and more than 210,000 kilometres (130,000 mi) of terrestrial fibre.

Emkay Global has set a target on the stock of Tata Communications at Rs 1,480 and believes the stock is a good buy today.

According to the brokerage in its analyst meet, Tata Communications management echoed its six key platforms (growth pillars) for revenue growth while continuing to highlight the emphasis on higher wallet share mining in Top-1,000 customers (out of +5000 customers) through targeted initiatives.

After meeting 2 of the 3 financial targets outlined last year, it has upped Returns on Capital Employed goal to 25-30% in the medium term from 20%, with EBITDA margins in the range of 23-25%. Capex intensity would rise with incremental growth opportunities, without diluting Return On Capital Employed.

“We raise FY24E EBITDA by 5% on higher revenue growth and increase target EV/EBITDA multiple for the data segment to 10 times from 9.2 times to reflect improved Returns On Capital Employed and financial fitness. Maintain Buy with a revised sum of the parts based target price of Rs 1,480 on Jun’23E EBITDA,” Emkay Global has said.

share price of Tata Communications

Petronet LNG

Another stock that Emkay Global is bullish on is the shares of Petronet LNG. The company has established LNG receiving and regasification terminal at Dahej, Gujarat and Kerala.

According to the broking firm, Q4FY21 standalone EBITDA/PAT of Rs 10.91 billion/6.23 billion were up 56%/74% yoy and down 18%/29% qoq but 3% above/8% below its own estimates.

The PAT miss was due to lower Other Income (down 43% yoy/56% qoq) and higher ETR of 27%. Emkay noted that The Dahej terminal operated at 93% capacity, above our 88% est.

Management stated Rs 52 billion of core capex in next five years, along with Rs 40billion/80 billion in compressed biogas/LNG retail, which are promising sectors but with low earnings visibility. Weak Q1FY22 utilization and offtakers asking for Dahej tariff in Kochi are dampeners.

“We cut FY22/23E EPS by 13%/11%, assuming lower volumes and Kochi tariffs. We also increase WACC and capex though not building retail/CBG into our earnings model. We hence lower our DCF-based target price by 15% to Rs 290. Maintain Buy but with equal weight stance,” the brokerage has said.

Marico Industries

Marico Industries is a leading player in the FMCG business with brands like Saffola and Parachute.

Sharekhan has a buy target on the share of Marico with a target price of Rs 562. According to the brokerage, the recent correction in copra prices, steady growth in core categories and a scale up in foods business improves earning visibility.

“Management has maintained its medium term target of achieving 8-10% volume growth in the domestic business. This will be driven by deepening penetration in rural market, market share gains in core categories and new product launches. Copra prices have corrected by 15% from their recent peak and are expected to remain flat along with softness in other edible oils in FY2022. Consolidated operating profit margin would stay at 19-20%. Stock saw a healthy run-up of 19% post Q4 results and positive management commentary. It is currently trading at 40 times its FY2023 estimated earnings,” the brokerage has said.

share price of Marico

Disclaimer

The stocks mentioned above are taken from brokerage reports. We are not a qualified financial advisor and any information herein is not investment advice. It is informational in nature. All readers and investors should note that neither Greynium nor the author of the articles, would be responsible for any decision taken based on these articles. Please do consult a professional advisor. Greynium Information Technologies Pvt Ltd, its subsidiaries, associates and authors do not accept culpability for losses and/or damages arising based on information in GoodReturns.in

On Monday, the Income Tax Department of India inaugurated its new income tax e-filing platform, which has several innovative features and is meant to provide taxpayers with a faster and better Income Tax Return (ITR) filing interface. The income tax department tweeted about the debut of its new portal, stating, “We proudly present to our valued taxpayers, the new e-Filing portal http://incometax.gov.in. Designed with your convenience in mind, the portal offers features to make your e-filing experience smoother, simpler & smarter. You Come First, Always!”. So, if you’re a taxpayer, here’s a tutorial to assist you to learn how to use the new income tax portal to get Form 26AS.

What is Form 26AS?

Form 26AS is an annual declaration that shows the amount of tax levied against a taxpayer. You can find information related to your income on which tax has been withheld on your Form 26AS, and the tax deposited on your behalf by the deductor, which might be your employer, bank, or other entity. Your Form 26AS will now include details on tax refunds and demands (if any) against your PAN beginning from June 1, 2020. Before submitting an ITR, a taxpayer must compare his actual transactions to the transactions recorded on his Form 26AS. This will reduce the number of mistakes caused by the absence of specific transactions while filing ITR.

How to verify details in Form 26AS?

The most important document to have before submitting an income tax return is Form 26 AS (ITR) or annual consolidated statement. This form provides all the tax-related details, such as details of tax deducted at source, advance tax, and so on. As a result, while compiling your ITR, you must compare the income details and tax deducted stated on Form 26AS with the figures in your data. If there is a discrepancy between the amount of income and the amount of TDS, this will generate an income tax notice against the taxpayer. This practice is essential to prevent a tax department’s scrutiny if there is a discrepancy between your return and Form 26AS.

Transactions that are now included in Form 26AS

• Payments issued in cash for the purchase of bank drafts, pay orders, or cheque totalling Rs 10 lakh or more in a financial year, and payments issued in cash for the Prepaid Payment Instruments (PPIs) approved by the Reserve Bank of India under section 18 of the Payment and Settlement Systems Act, 2007 totalling Rs 10 lakh or more in a financial year.
• Cash deposits or withdrawals including cheque in or from one or more current account of an individual totalling Rs 50 lakh or more in a financial year. Cash deposits of Rs 10 lakh or more in one or more accounts other than a current account and time deposit account of an individual in a financial year. One or more time deposits, other than those made by renewing another individual’s time deposit, totalling Rs 10 lakh or more in a calendar year.
• In a financial year, payments made by any individual totalling Rs 1 lakh or more in cash; or Rs 10 lakh or more in any other method, against invoices issued in regard to one or more credit cards authorized to that individual.
• In a financial year, cash receipt from any individual of an amount of Rs 10 lakh or more for the purpose of purchasing bonds or debentures issued by the firm or institution. In a financial year, cash receipt from any individual of an amount of Rs 10 lakh or more for purchasing shares granted by the firm.
• In a financial year, buy back shares from someone other than those who acquired them from the marketplace for an amount of Rs 10 lakh or more.
• Other than the amount collected on account of a transfer from one scheme to another scheme of that mutual fund, cash receipt from any person of an amount totalling Rs 10 lakh or more in a calendar year for purchasing units of one or more schemes of that mutual fund.
• Cash receipt from any individual for the sale of foreign currency, including any credit of such currency to a foreign exchange card, or expenditure in such currency via a debit or credit card, or issuance of a traveller’s cheque, draft, or other mechanisms, totalling Rs 10 lakh or more during a fiscal year.
• Purchase or sale of immovable property for an amount of Rs 30 lakh or more by any individual, or worth of Rs 30 lakh or more by the stamp valuation body referred to in section 50C of the Income-tax Act.
• Receipt of cash payment above Rs 2 lakh for the sale of goods or services by any individual (other than those specified at Sl. Nos. 1 to 10).

How to download Form 26AS from the new income tax portal?

• Visit https://www.incometax.gov.in and click on the ‘Login’ link in the top right corner.
• Now enter your User ID which can be your PAN or Aadhaar number and click on ‘Continue’
• Now go to the ‘e-File’ section and select the ‘Income Tax Returns’ option.
• Now select ‘File Income Tax Return’ and click on the ‘View Form 26 AS (Tax Credit)’ option.
• Now confirm the disclaimer and click ‘Confirm’.
• Now you will be redirected to the TDS-CPC Portal where you need to agree to the usage and acceptance of the Form.
• Click on ‘Proceed’ and then click on ‘View Tax Credit (Form 26AS)’
• Now select the ‘Assessment Year’ and ‘View type’ as HTML, Text, or PDF and then click on “View/Download”.
• Now you will be able to download Form 26AS in PDF format.