NEW DELHI: The Union Cabinet on Wednesday approved the proposal of the ministry of road transport and highways, authorising the National Highways Authority of India (NHAI) to set up Infrastructure Investment Trust (s) (InvIT) as per guidelines issued by market regulator Sebi. This will enable NHAI to monetise completed National Highways that have a toll collection track record of at least one year and NHAI reserves the right to levy toll on the identified highway. InvIT as an instrument provides greater flexibility to investors and is expected to attract patient capital (for 20-30 years) to the Indian highway market, as these investors are averse to construction risk and are interested in investment in assets that provide long-term stable returns. Retail domestic savings and corpus of special institutions (such as mutual funds, PFRDA, etc.) is likely to be invested in the infrastructure sector through InvITs. Roads and highways are the lifeline of the economy, connecting remote and … [Read more...] about NHAI allowed to set up infra investment trust now
Indian and foreign investment banks have taken opposing views even as policy makers are looking at a proposal to allow unlisted Indian companies to directly list in overseas markets, three people privy to the development said. After a clutch of foreign investment banks made a representation to the finance ministry to allow Indian unlisted companies to freely list on foreign bourses early last month, now a group of Indian investment banks have met various regulatory officials including Sebi, warning such a move could lead to export of Indian markets, they said. Currently, an Indian company can list on a foreign exchange only after it has listed on a domestic bourse. Or, it can list simultaneously on Indian and overseas exchanges. Even instruments such as American Depository Receipts (ADRs) can be issued only by listed companies. The Securities and Exchange Board of India (Sebi), though, has initiated consultations with various stakeholders including the central government on the … [Read more...] about Proposal to let Indian companies list abroad directly divides investment banks
By Mary Leung In recent years, the integration of ESG factors into the investment management process has drawn increasing attention from both regulators and investors. This attention is the result of growing recognition of the impact that material ESG factors have on the long-term prospects and sustainability of a business. An increasing number of investors accept that an evaluation of an investment opportunity (be it equity or fixed income) is not complete without proper appreciation and analysis of these factors. In a world where commercial operations are increasingly threatened by extreme weather events, natural disasters, reputation, and stakeholder relationships, the consideration of material ESG factors is not only logical, but essential for the investment management industry. One obstacle for ESG integration is getting reliable data. Investors need ready access to high quality, comparable and relevant ESG information. Issuers have been under increasing pressure from … [Read more...] about How evolving ESG rules are altering investing
Bharat Bond ETF, India’s first bond exchange-traded fund, opened for investment on Thursday. The ETF will invest in a portfolio of AAA-rated bonds of public sector entities in two investment options for fixed maturity periods of three years and 10 years (2023 series and 2030 series). It is a target-maturity bond ETF, which will invest in underlying of similar maturities and track the newly-introduced Nifty Bharat Bond index. Here are key things you must know before you decide to invest in this ETF: What will be tax implications?The bond ETF will be taxed as the same rate like debt mutual funds (20 per cent with indexation benefits, if held for more than three years), leading to an after-tax yield of around 6.3 per cent and 7 per cent for three years and 10 years, respectively. “Bharat Bond ETF would be a tax-efficient long-term investment option for conservative debt fund investors,” ICICIdirect.com said in a report. What’s in it for retail investors?The … [Read more...] about Bharat Bond ETF: Why to invest and who should invest?
Con Chim community-based tourism site in Tra Vinh. The province is trying to improve administrative procedures as well as creating favourable conditions for foreign investment. — Photo dulichtravinh.com.vn The Mekong Delta province of Tra Vinh has made great efforts in completing mechanisms and management policies to lure more foreign investors and improve the quality of foreign direct investment in the locality. The province is striving to attract some US$1.1 billion in foreign direct investment during 2021-25 and $1.7 billion for the 2026-30 period. Along with renewing investment promotion methods and enhancing the efficiency of State management over foreign investment, the province has outlined special investment attraction plans to draw strategic investors. The province has paid due attention to improving administrative procedures as well as creating favourable conditions for foreign firms to study the local business climate. Furthermore, land clearance and infrastructure … [Read more...] about Tra Vinh province seeks to lure more foreign investment