WISHING ALL CLIENTS & ASSOCIATES
 
        
        A VERY HAPPY & PROSPEROUS          
                
                        NEW YEAR 2013
 
 
 
 
                                       
                                         TEAM V CLIENT WEALTH

Morning Star Investment Conference 2012 - Mumbai 1-2 Nov 2012

We had participated  Morning Star Investment Conference 2012 - Mumbai .http://www.moneycontrol.com/video/market-outlook/mother-of-bull-markets-is-aheadus-jhunjhunwala_777078.html

MARKET OUTLOOK OCT 2012

                                           Market Outlook -  Oct 2012


The equity markets rallied in the month of September with Nifty posting 8.5% returns. Gold rose

by 1.92% during the month while Crude Oil fell by 3.44% to $91.68/barrel. WPI inflation increased

to 7.55% in August compared to 6.87% in the previous month. Global markets remained strong on

the back of monitory easing in Europe and US as Bernanke in his last meeting provided for more

policy stimulus. The Federal Reserve said it will expand its holdings of long-term securities with

open-ended purchases of $40 billion of mortgage debt a month in a third round of quantitative

easing as it seeks to boost growth and reduce unemployment. Liquidity remained strong in Indian

market during last month as FII bought equities heavily.

We believe that market is likely to trade with upward bias for coming months as global liquidity

remain strong. Govt. of India has also started reforms which will help Indian markets to attract

foreign flows but to enter into secular bull run India need huge investment in infrastructure sector

which is not taking place. We hold our advice to investors to keep buying equity mutual funds

through SIP/ STP route to generate wealth over the long term. On debt side we recommend

Dynamic Bonds Funds and Income Funds. We expect interest rates to come down in second half of

the year, hence exposure in Income/ Bond Funds will yield good returns. We maintain our view to

hold 5-10% allocation to gold in the overall portfolio.

Receiving Facilitation Award

Receiving Facilitation Award - Platinum, Second Time in Row by Mr Rahul Rai - Head Real Estate Business , ICICI Prudential at The Park , New Delhi on August 3 ,2012 .

                                      MARKET OUTLOOK - AUGUST 2012

The equity markets declined marginally in the month of July posting negative returns of 1%. Gold

rose marginally during the month while Crude Oil surged by 8.66% to $89.92/barrel. Inflation

decreased to 7.25% in June compared to 7.55% in the previous month. US market is trading at 52

weeks high and other global markets have also picked up in the month. On domestic front, we

have a bad monsoon and this may aggravate problems especially on inflation front. RBI has left

key policy rates unchanged and revised FY13 GDP growth to 6.5% from 7.3%. The RBI also

maintained that the main focus of the policy would be to control inflation.

We believe that market is likely to face pressure in coming months if Govt. officially declares

draught and inflation goes up. Markets have been waiting for some kind of positive

announcement on economic front by govt. of India but so far no announcement has come.

Thought markets remain weak in short term but Long Term investors should use intermittent

corrections to accumulate equities for coming years. We hold our advice to investors to keep

buying equity mutual funds through SIP/ STP route to generate wealth over the long term. On

debt side we recommend Dynamic Bonds Funds and Medium Term Income Funds. We advise

adding income funds in your portfolio in gradual manner as we may enter soft interest regime in

second half of the year, but investors should avoid aggressive income funds at this point to time

which take long duration calls. We maintain our view to hold 5-10% allocation to gold in the

overall portfolio.

                                 Market Outlook  - JULY 2012

The equity markets rose in the month of June posting 7.5% returns on the back of declining Crude

prices and hopes of Govt. action on policy front. Gold rose marginally during the month while

Crude corrected by 6% to $82.75/barrel. Inflation increased to 7.55% in the month compared to

7.23% in previous month. As we enter in July, Monsoon will be a major event which will decide the

direction of market going forward. We may witness inflationary pressure if monsoon is weak and

it will delay the rate cuts as inflation control remains priority for RBI and it has indicated concerns

for inflation in last policy review. Apart from Monsoon events in Europe will also give direction to

the markets.

We believe that market is likely to face pressure if monsoon is bad and Nifty could again correct to

4800 levels but in case monsoon is normal Nifty could break on upper side and touch 5600 in

short term. Long Term investors should use intermittent corrections to accumulate equities for

coming years. We hold our advice to investors to keep buying equity mutual funds through SIP/

STP route to generate wealth over the long term. On debt side we recommend Dynamic Bonds

Funds and Medium Term Income Funds. We advise adding income funds in your portfolio in

gradual manner as we may enter soft interest regime in second half of the year, but investors

should avoid aggressive income funds at this point to time which take long duration calls.

We maintain our view to

hold 5-10% allocation to gold in the overall portfolio.

Interaction with Edelweiss Mutual Fund Manager

Mr. Dhilip Krishna – Fund Manager Equity, Edeliweiss Mutual Fund visited our Office on March 27 ,2012.It was an informative session with the Edeliweiss Team.They shared various information realted to Research , Client Servicing & other processes.This discussion gives us more insight & confidence on the process driven working of Edeliweiss Mutual Fund .

MARKET OUTLOOK ARPRIL 2012

Market Outlook

The rally in equity markets paused in the month of March with Nifty posting negative return of 1.65%. FII continued buying Indian equities to the tune of 8,381 crore on the back of monetary easing in Europe. Gold lost 3.61% in the month while Crude oil declined marginally to $105.40/barrel. Inflation rose to 6.95% in the month compared to 6.55% in previous month.Though Govt. has put the fiscal deficit target for FY 13 at 5.1%, but it would be challenge for the Govt. to achieve this number as high crude oil prices and subsidy burden may prove obstacle.India Inc. has been hoping for reforms for very long time but nothing concrete has come out from Govt. side till now. We believe that any meaningful recovery in market will happen only when we
see pace of reform increasing and huge spending on infrastructure coupled with low interest rates. We believe that this state of inertia could not remain for long and something will come out from govt. side on increasing pressure from Industry and common man.We believe that market is likely to remain range bound for another quarter or two. Long Term investors should use intermittent corrections to accumulate equities for coming years.

We hold our advice to investors to keep buying equity mutual funds through SIP/ STP route to generate wealth over the long term. On debt side we continue recommending FMPs as Bank CDs and other CPs are available at very attractive rates. Apart from FMP, we advise adding income funds in your portfolio in gradual manner as we may enter soft interest regime in one or two.We maintain our view to hold 10% allocation to gold in the overall portfolio.

MARKET OUTLOOK - FEB 2012

Market Outlook

The month saw unexpected rally in equity markets with Nifty posting 12% returns in the month.FII bought Indian equity to the tune of 10,300 crore on the back of improved global economicoutlook. Inflation declined to 7.47% in the month compared to 9.11% in previous month resulting in RBI cutting CRR by 50 bps to 5.50%. Though RBI has cut CRR but it is unlikely that we enter in soft interest rate regime until RBI cuts repo and reverse repo. We believe that any cut in repo and reverse repo by RBI is not likely before first quarter of next financial year. The rupee surprised
everybody by vertical rise in the month gaining 7%. Fiscal deficit remains a worry and increased burden of subsidies and high imports will put further pressure on Govt. balance sheet. European countries are slowly inching towards a resolution but possibility of couple of countries opting out of euro zone cannot be ruled out. Gold appreciated 4.5% in the month while Crude oil ended almost flat to $98.50/barrel. FII bought Indian equities heavily but mutual funds were net sellers in the market.

We believe that current rally in the market is because of sheer liquidity and this may continue for a while but intermittent correction will come in markets providing opportunity to investors to buy equities. We hold our advice to investors to keep buying equity mutual funds through SIP/ STP route to generate wealth over the long term. On debt side we continue recommending FMPs as Bank CDs and other CPs are available at very attractive rates and locking these papers in FMPs will yield good returns. We maintain our view to hold 10% allocation to gold in the overall portfolio.

MARKET OUTLOOK JAN 2012

Market Outlook - Jan 2012

The month of December traditionally proved to be a good month for equity markets but this time it was not and we saw further correction in Indian equity markets. Inflation has shown some moderation but time has not come yet for RBI to cut interest rates as indicated by RBI in its lastmonetary policy review. The rupee fall continued for the month but later currency market saw some intervention from RBI to arrest its fall. Fiscal deficit is set to rise with Govt. further borrowing Rs. 40,000 crore. India Inc. will start FCCB payment from this quarter and it is likely to put pressure on their balance sheets because of rupee depreciation. European countries are working towards resolving the crisis but any recovery is going to be the slow process. Gold corrected 6.8% in the month while dollar rose 2.10%. Crude oil price decreased marginally from $99.13/barrel to $98.83/barrel. FII and DII, both were marginal buyers in Indian equities during the month.
We believe that situation on domestic front will improve gradually but mood remains pessimistic
on bourses. We may witness some more correction in equity markets in this quarter as Q3 results are expected to be soft, especially from mid cap space. We hold our advice to investors to keep buying equity mutual funds through SIP/ STP route to generate wealth over the long term. On debt side we continue recommending FMPs as Bank CDs and other CPs are available at very attractive rates and locking these papers in FMPs will yield good returns. We maintain our view to hold 10% allocation to gold in the overall portfolio.

HAPPY NEW YEAR 2012

WISHING ALL OUR CLIENTS & ASSOCIATES

VERY HAPPY & PROSPEROUS NEW YEAR 2012.

WITH WARM REGARDS ,

TEAM V CLIENT WEALTH