16th August 2017 | VOL 11 | ISSUE 16 Fortnightly Issue        
Special Story

From 1000 to 10000 – A Remarkable Journey by Nifty; Are you geared up for Nifty 20000?

The journey of Nifty from 1000 to 10000 is a success story that no investor would want to miss. Traversing through the policy ditches, global road bumps, and rough economic weather, Nifty has completed 21 years of serving investors successfully while breaching numerous landmarks right through its journey. Let’s see how the Nifty story has unfolded until date and check whether you’re geared up for Nifty 20000.

Expert's View

Why everyone must invest?

Human needs are never ending and everyone has basic once. More importantly, these needs are not static any more. With time, even our basic needs change.
For example, we may have completed our education as per the Indian education standards but today; most of us want our children to attend ICSE schools. Our entire education may have cost us around Rs. 1, 00,000 whereas today, we may have to spend in excess of Rs. 50, 00,000 to achieve a similar level of competent profile for our children.

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From MD's Desk

Women’s role in Broking

Deena Mehta
Mrs. Deena Mehta
Managing Director, ACMIIL

Broking is a business of Trust. I think women enjoy maximum trust in society as mothers, daughters or wives.

Equity SIP Model Portfolio
Conceptually, an Investment Advisory is a service that provides investment advice and designs a strategy to manage a certain sum of funds.
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Disclaimer: This InvestorFirst Magazine of Asit C. Mehta Investment Interrmediates Limited is meant to educate its recipients only. The news and views herein do not constitute investment advice or an offer to sell, or a solicitation of an offer to purchase or subscribe for any investment. The information herein is derived from sources believed to be reliable and is subject to change without notice.

From 1000 to 10000 – A Remarkable Journey by Nifty; Are you geared up for Nifty 20000?




The journey of Nifty from 1000 to 10000 is a success story that no investor would want to miss. Traversing through the policy ditches, global road bumps, and rough economic weather, Nifty has completed 21 years of serving investors successfully while breaching numerous landmarks right through its journey. Let’s see how the Nifty story has unfolded until date and check whether you’re geared up for Nifty 20000.

Nifty 1000
Launched in 1996 with a base value of 1000, financial markets and investors ridiculed the Nifty index for starters. Little did the markets or the investors know that Nifty has started its journey to embark upon many huge milestones in times to come.

Nifty 2000
The index doubled investors’ money by touching the 2000-mark for the first time in eight years in 2004, a slow but steady start with greater things in store.

Nifty 3000
In 2006, Nifty started showing its true potential as it touched 3000 for the first time in January 2006. The index added 1000 points much faster than before.

Nifty 4000
The Indian stock markets saw a historic run in 2006. Thus, it would be remembered as one of the best years in the history of the Indian stock markets. With Nifty delivering around 40% returns that year, breaching landmark levels of 3000 and 4000, the index started taking rapid strides.

Nifty 5000
Just a year after the index breached the 3000 and 4000 levels, Nifty crossed another landmark of 5000 in 2007 for the first time on the back of aggressive buying from foreign and domestic funds.

Nifty 6000
Like in 2006, Nifty wasn’t satisfied with breaching just the 5000 in 2007. It carried on its rampant progress by also breaching the landmark level of 6000 in 2007 for the first time, adding another feather to its cap. Moreover, in 2007 the Nifty rallied as much as 55%, which helped it breach multiple landmarks.

Nifty 7000
Nifty touched the 7000-mark in May 2014. After losing a little bit of momentum due to global headwinds coupled with a phase of policy paralysis, Nifty regained momentum in September 2013 when BJP announced Narendra Modi as its PM candidate, who eventually ended up winning the Lok Sabha elections with a massive majority, a move that was welcomed by the markets with open arms. The Indian stock markets started gaining momentum this point onwards.

Nifty 8000
Post Narendra Modi becoming the PM, Nifty breached the 8000-mark very quickly in September 2014 on hopes that the new PM will ring in quick economic reforms, propelling the Indian economy forward. Thus, the index was back to its rapid winning ways.

Nifty 9000
The Indian stock market rally that began in September 2013 extended into the first half of 2015, which saw Nifty breach another landmark level of 9000 in March 2015, largely on the back of continued buying by foreign investors.

Nifty 10000
Tuesday, 25th July 2017, will be remembered as historic day when India’s benchmark index, Nifty, breached the coveted landmark of 10000. Nifty crossed the 10000-mark for the first time owing largely to factors such as smooth initial rollout of GST, good monsoon and stronger earnings recovery.

Investors who have been with Nifty right through its journey from 1996 until date would be clear beneficiaries through 10-fold returns on their initial investment. Moreover, even those investors who would have entered Nifty in late-2013 would have benefitted as well. The bottom line is that returns from stock market investments are subject to a long-term horizon. Therefore, the longer you stay invested, the more you gain by recovering all the short-term losses.

When Nifty began its journey in 1996 at a base value of 1000 no one would have given it a chance to breach the coveted 10000-mark. That said, the historic journey of the index suggests that this is just the beginning, and the best is yet to come. The Indian government’s emphasis on the infrastructure sector, Make In India initiative, path-defining GST implementation, and growing foreign investments, all make a very good concoction for Nifty’s next journey towards the 20000-mark in the time to come.

Happy investing!

Why everyone must invest?



Human needs are never ending and everyone has basic once. More importantly, these needs are not static any more. With time, even our basic needs change.

For example, we may have completed our education as per the Indian education standards but today; most of us want our children to attend ICSE schools. Our entire education may have cost us around Rs. 1, 00,000 whereas today, we may have to spend in excess of Rs. 50, 00,000 to achieve a similar level of competent profile for our children. The change in quality and quantity of education along with inflated costs has made our income look insufficient for even our basic needs.

Earning more is always a requisite in today’s fast changing world. You may achieve it by working more or having better jobs or businesses but your needs will keep growing at a higher pace than your earnings as the quality of life improves.

Inflation
Efficient investments could also help you beat the inflation factor, which eats into your income most of the time. Inflation is the rise in the price of products or services you may wish to buy. It could be anything from your daily food items such as vegetables, milk, onions, and potatoes, or your monthly groceries such as toothpastes, toothbrushes, soaps, and shaving kits. It could also be your other needs such as a house, a car, supporting items such as oil, gas, and electricity. Services such as an education, a domestic help, and banking may cost you higher due to the growth in inflation. Major product prices or service costs are on the rise and this rise in product prices on a month on month basis diminishes your income.

Currency
The depreciation or appreciation in currency as against other currencies also impacts your lifestyle, either directly or indirectly. The products or services you buy may cost higher or lower due to a fluctuation in your currency. Therefore, you may end up buying the product or services.

The only way to keep pace with the changing times is to invest your idle money efficiently, which will help you fulfill your basic needs and even help achieve impossible life time goals. This is reason enough for everyone to invest their idle money efficiently.

Happy investing!

Women’s role in Broking

Deena Mehta
 
Mrs. Deena Mehta
Managing Director, ACMIIL
 
Broking is a business of Trust. I think women enjoy maximum trust in society as mothers, daughters or wives. It is easier to relate savings with women because that which is not spent from household income is savings. However the number of women involved in broking business is far lesser in number then men. The reasons are more to do with tradition rather then the ability to do justice to the task successfully. Broking is a capital-intensive business. Wealth collection is generally done in name of male child rather then female one. Female offspring has gold in her name and savings enough to complete marriage ceremony, which includes exchange of gifts clothes etc. Hence her wealth file is more or less nil when she marries and starts to build after the age of 23 or so. It takes a long time therefore to have the necessary capital to set up a full-fledged broking house.

However women as investment advisors, sub-brokers, mutual fund, postal savings and insurance agents is an ideal profession for women. Women can work from home, decide on her own working hours and do a wonderful job at helping people manage their finances. Increasingly there is a need to do financial planning. A spendthrift culture and blatant consumerism has made households seriously look at maximising returns on the money that they save. There is a maxim in financial Planning that merely shuffling of investment options makes one better the returns. While it takes time to be a full-fledged financial planner one can start small by learning the nuances of one financial instrument at a time. Reading of newspapers and appreciating the happening in the country and abroad and relating it to the country’s economy may sound as a tall order on day one. However just getting a feel of what is happening around us is definitely a stating point. Information gathering and understanding their direct and indirect impact on savings and finances is necessary to succeed in this profession. Television is a powerful medium that gives us an information overload on every aspect of the economy. Getting clarification on various concepts that are not understood by reading or asking accelerates the process of learning. The goddess of learning Saraswati and goddess of wealth Laxmi are both women. Hence we are not short of good genes. Let us prove to the world that this is our domain and a new profession is added to “women preferred” jobs besides nurses, airhostess etc i.e. Investment Advisors.


Equity SIP Model Portfolio

Conceptually, an Investment Advisory is a service that provides investment advice and designs a strategy to manage a certain sum of funds. Here, we have provided an investment strategy in the form of Equity SIP model portfolios. With the basic understanding that investors can be broadly classified as high, medium and low risk takers, we designed Aggressive, Moderate and Defensive Portfolios respectively, as on January 2013. Each portfolio basket requires an investment of aproximately Rs.10,000 per month and is a good way of accumulating fundamentally sound stocks for a long term horizon. These portfolios will be reviewed half yearly and any changes will be communicated accordingly.


Benchmark Return From





Nifty 31.40% 31-Dec-12





NIFTY 100 34.60% 31-Dec-12




Aggressive Portfolio
Sr. No. Scrip Name Sector Weight Basket Qty Price as on 31 July, 2017 Total Value Return
% Return Wt. Return
1 Tata Motors Ltd Automobile 10.50% 2 444.60 889.20 -3% -0.45%
2 ICICI Bank Banking 9.08% 3 302.60 907.80 21% 4.89%
3 LIC Housing Finance Ltd NBFC 6.42% 2 690.45 1380.90 86% 9.17%
4 VEDL Diversified 2.99% 4 279.85 1119.40 62% 2.10%
5 State Bank of India Banking 1.96% 3 312.50 937.50 29% 3.00%
6 ONGC Ltd Oil & Gas 4.76% 3 169.40 508.20 -38% -2.30%
7 Grasim Industries Ltd Diversified 12.90% 2 1070.25 2140.50 75% 9.69%
8 Adani Ports Port & Logistics 3.32% 3 395.90 1187.70 49% 1.56%
9 BHEL Capital Goods 2.24% 4 145.10 580.40 -4% -0.08%
10 Tata Steel Ltd Metals & Mining 5.85% 2 567.10 1134.20 58% 6.02%
11 Sun Pharmaceuticals Inds. Ltd Pharmaceuticals 9.26% 1 531.65 531.65 -21% -2.57%
EXIT Return from Exited Stocks





18.91%

Total
100.00%

11317.45
51.45%

Dividend (Aprox.)





1.50%



















Benchmark Return From





NIFTY 200 36.30% 16-Dec-13




Moderate Portfolio
Sr. No. Scrip Name Sector Weight Basket Qty Price as on 31 July, 2017 Total Value Return
% Return Wt. Return
1 HDFC Bank Banking 10.48% 1 1784.40 1784.40 90% 7.93%
2 M&M Financial Services Ltd NBFC 4.75% 2 401.00 802.00 46% 2.67%
3 VEDL Diversified 3.20% 5 279.85 1399.25 56% 3.47%
4 Ambuja Cement Ltd Cement 4.03% 3 263.15 789.45 39% 1.60%
5 ITC Ltd FMCG 6.34% 2 285.25 570.50 -8% -0.52%
6 Infosys Ltd IT services 2.72% 1 1011.20 1011.20 -3% -0.08%
7 Zee Entertainment Ent. Ltd Media 6.64% 2 541.75 1083.50 54% 3.73%
8 Hindalco Inds. Ltd Metals & Mining 3.22% 3 219.65 658.95 71% 3.59%
9 Reliance Inds. Ltd Oil & Gas 9.55% 1 1615.20 1615.20 73% 6.30%
10 Biocon Ltd Pharmaceuticals 10.14% 2 384.70 769.40 -28% -2.13%
11 Bharti Airtel Ltd Telecom 7.81% 2 418.95 837.90 26% 1.63%
EXIT Return from Exited Stocks





22.08%

Total
100.00%

11321.75
51.75%

Dividend (Aprox.)





1.50%










Benchmark Return From





NIFTY 200 36.30% 16-Dec-13




Defensive Portfolio
Sr. No. Scrip Name Sector Weight Basket Qty Price as on 31 July, 2017 Total Value Return
% Return Wt. Return
1 Glenmark Pharma Pharmaceuticals 3.85% 1 697.05 697.05 -22% -0.77%
2 HDFC Bank Banking 9.38% 1 1784.40 1784.40 90% 7.10%
3 Cummins India Ltd Capital Goods 6.69% 1 987.75 987.75 35% 1.90%
4 Dabur India Ltd FMCG 5.84% 2 310.00 620.00 39% 1.74%
5 Tech Mahindra IT services 2.55% 1 385.85 385.85 -27% -0.68%
6 TCS Ltd IT services 20.64% 1 2491.80 2491.80 10% 1.77%
7 Hind. Unilever FMCG 3.69% 1 1155.75 1155.75 35% 0.98%
8 Coal India Mining 1.45% 2 249.10 498.20 -20% -0.24%
9 Lupin Ltd Pharmaceuticals 12.24% 1 1032.00 1032.00 -23% -2.42%
10 Pidilite Ind Specialty Chemicals 1.55% 1 795.85 795.85 19% 0.24%
EXIT Return from Exited Stocks





28.48%

Total
100.00%

10448.65
39.58%

Dividend (Aprox.)





1.50%










Benchmark Return From





NIFTY Midcap 39.60% 16-Dec-13




Mid Cap Portfolio
Sr. No. Scrip Name Sector Weight Basket Qty Price as on 31 July, 2017 Total Value Return
% Return Wt. Return
1 Motherson Sumi Systems Ltd Auto Ancillaries 11.17% 3 325.00 975.00 68% 12.07%
2 Kalpataru Power Power Transmission 1.95% 3 348.55 1045.65 313% 5.31%
3 Va Tech Wabag Ltd Capital Goods 6.78% 2 610.05 1220.10 302% 14.89%
4 PFS NBFC 29.76% 15 40.05 600.75 -87% -28.91%
5 Gateway Distriparks Logistic 1.40% 2 274.10 548.20 285% 3.08%
6 Aia Engineering Ltd Capital Goods 0.82% 1 1450.30 1450.30 1907% 4.39%
7 Apollo Tyre Auto Ancillaries 2.56% 4 266.50 1066.00 179% 5.30%
8 Camlin Fine Chemical 2.05% 6 85.05 510.30 0% -0.01%
9 JK Cement Ltd Cement 1.05% 1 1018.00 1018.00 1446% 15.40%
10 DHFL NBFC 3.02% 4 456.75 1827.00 337% 18.19%
11 Majesco Ltd* IT 1.14% 2 372.30 744.60 444% 8.59%
12 Return from Exited Stocks





14.85%

Total
100.00%

11005.90
74.66%

Dividend (Aprox.)





1.50%

Total








About Us

Company History & Background
Established in the year 1986, Asit C. Mehta Investment Interrmediates Ltd. (ACMIIL) is one of the most trusted and reputed brokerage houses known for providing investment related services in the capital market, money market and depository services in India. The company has been jointly promoted by noted stock market professionals, Mr. Asit C. Mehta and Mrs. Deena A. Mehta and is a part of Mumbai-based Nucleus Group of Companies. The other group companies are engaged in commodity, derivatives, development of databases, back-office applications for banks, corporate document management solutions and Geographical Information Systems (GIS).
Corporate Purpose
Envisioned to be a "Trusted Financial Intermediary", the group has etched out a very specific corporate purpose - "To reach appropriate financial products, services and solutions to every Indian entity."
Our Beliefs

  • That every household can, should and will need to participate in the financial markets directly or indirectly to protect their financial interests.
  • That regulatory/legal compliance ensures economic sustainability.
  • That transparency and fairness are the cornerstones of all dealings.
  • That knowledge rather than capital is the key driver of this business.
  • That product, process and technology led innovations are necessary preconditions for continuously adding value to all our constituents.
  • That given the environment every person will realize her/ his potential.
  • That people are driven by causes.
The FIRSTS to our Credit
  • One of the First limited liability Companies to acquire membership on Bombay Stock Exchange (BSE).
  • One of the First multiple seat holders and multiple exchange members.
  • One of the First private VSAT network users.
  • First to utilize the franchisee business model for Associates.
  • First to achieve the ISO quality certification for business processes from SGS. Currently we are a "ISO 9001:2008" certified company.
  • Company Managing Director Mrs. Deena A. Mehta was the first woman to be elected to the governing board of the BSE and the first and only woman to be the President of BSE (post corporatization).

Contact Us

Asit C Mehta Investment Interrmediates Ltd.
Nucleus House, Saki-Vihar Road,
Andheri (E), Mumbai 400 072.
Maharashtra. India.
Telephone : 91-22-28583333,66798315,28577898
Fax : 91-22-28577647
Email : helpdesk@acm.co.in
For corporate level general communication, you need to email at acmiil@acm.co.in
Toll Free Number