Markets down marginally
Mumbai: The Bombay Stock Exchange index of 30 shares declined 2 points to close at 4814 on 26 October 1999. The National Stock Exchange index of 50 shares closed at 1414, registering a loss of 12 points.

The most actively traded shares were Satyam Computers, Ranbaxy Laboratories, Zee Telefilms, Infosys Technologies, Reliance Industries and Silverline Industries.
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NSE’s index trading on schedule
Mumbai: The National Stock Exchange will launch index futures trading on the S&P CNX Nifty index, with tenures of one, tow and three months. Index trading will start as soon as the parliament allows derivatives trading.
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Compaq need not make open offer: Sebi
Mumbai: The Securities and Exchange Board of India has said that since there was no change in management at Digital Equipment India, subsequent to the global takeover of Digital by Compaq, there will not be any need for Compaq to make an open offer.

Digital had earlier written to Sebi saying that regulations 10, 11, and 12 of the Sebi Regulations (Substantial Acquisition of Shares and Takeovers) will not be applicable to the takeover. Digital, Netherlands, still holds 51 per cent in Digital Equipment India, the same as was held prior to the global takeover.

In another move, Sebi has said that it will soon finalise norms for existing mutual fund schemes to trade in derivatives. Mutual funds are already allowed by Sebi to indulge in derivatives trading.
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Kotak’s tax schemes
Calcutta: Kotak Mahindra Mutual Fund intends to launch tax and sectoral schemes in addition to its portfolio of open-ended and equity schemes. Kotak’s other schemes are the open-ended K-Bond and K-Balance, K-Gilt, a gilt scheme and K-30, an equity scheme.
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SBI Mutual upbeat on IT sector
Mumbai: According to Niamatullah, managing director, SBI Funds Management Ltd., the information technology stocks in India will grow by 50-60 per cent during the next three years. SBI Mutual fund is one of the largest mutual funds in India, handling about Rs.3,900 crore of funds.

In a matter of 4 months, the mutual fund has recorded 100 per cent returns on the investments made in information technology stocks.

SBI Mutual fund will convert its close-ended Magnum Taxgain into an open-ended scheme. It is one of SBI MF’s best perfomers and has a net asset value of Rs.26.79 as on 8 October 1999.
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Sebi to get strict on Indian Bank MF
Mumbai: The Securities and Exchange Board of India will ask Indian Bank Mutual Fund to fulfil its obligations by paying Ind Jyoti unit holders the committed returns.

Indian Bank, on behalf of Indian Bank Mutual Fund had recently written to Sebi, stating its inability, as the sponsor, to pay the assured returns to Ind Jyoti unit holders. The scheme was supposed to be redeemed in June 1999. Upon assurance from T S Raghavan, chairman and managing director of Indian Bank, Sebi had permitted a delayed payment.
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The case of the forged letter
Mumbai: The Securities and Exchange Board of India has asked the Bombay Stock Exchange to start a detailed investigation into the forged letter that caused panic during trading hours on 25 October 1999. C M Mehra, executive director, Sebi, has said that since the letter was from the BSE, the latter would have to start a probe.
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Reliance Capital to become SPV
Mumbai: Reliance Capital will slowly shed its non-banking finance company image. It will turn into a special purpose vehicle that will invest in infrastructure projects, information technology, the internet, media and bio-technology ventures.

Reliance Capital will set aside Rs.1,000 crore for investing in power, telecom and road projects that will generate tax-free returns. It has a net worth of Rs.1,100 crore. The Reliance group holds 53 per cent of Reliance Capital.
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Japan’s new market for new companies
Tokyo: On 11 November 1999, the Tokyo Stock Exchange will launch a new market for start-ups funded by venture capital firms. Japanese feel that since large corporations are reeling under debt and huge payroll problems, the economic recovery can come only from new companies.

The Tokyo Stock Exchange’s plan is considered a national project in Japan. The Japanese government has an extended session of parliament everyday, where they discuss venture capital issues.
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