A monthly investment update Issue: January, 2016 Vol : 30

K NOWL E DGE P OWE R . WE ALT H E NHANC E R

For private circulation only

SHAM’S SUGGESTS

earn save invest

Asset allocation plan helps investors to reach their financial goal. The idea is to identify the right asset class for each goal and arrive at the percentage constitution of each class in the portfolio.Monitor your portfolio and take remedial steps on regular basis.

“Build A Portfolio”

IN INDIA, THE FISCAL AND CURRENT ACCOUNT DEFICITS ARE UNDER COMPLETE CONTROL

AND INFLATION AND INTEREST RATES ARE

TRENDING DOWN. THE CORE SECTOR

INDEX ROSE 4.4 %., INCREASED GOVERNMENT

SPENDING IN THE LAST TWO

MONTHS IS SLOWLY REVIVING THE CAPEX

CYCLE.OF COURSE, THERE ARE MAJOR ISSUES

LIKE THE HUGE WEAK ASSETS OF THE

BANKING SYSTEM AND THE NEED TO GET

IMPORTANT LEGISLATIONS PASSED.PROGRESS ON THESE FRONTS WILL LEAD TO

SUSTAINED RECOVERY IN THE MARKET. INVESTORS SHOULD IGNORE

THE EXTERNAL NOISE AND HEED THE

POSITIVE INTERNAL DEVELOPMENTS.

and we will make you achieve your financial goals

Make Saving & Investing a part of your

New Year’s resolutions

Barjeel Geojit Securities wishes youA Very Happy New Year

INTERVIEW EXCERPTSINVESTMENT IDEAS

Astra-microwave products Ltd (AMPL) is one among few leading designers and manufacturer of wide array of radio frequency systems, microwave chips, micro-wave based components and subsystems for Defence, Telecom and Space.

AMPL raised additional equity capital of Rs65cr via QIP (Quali-fied Institutional Placement.)

This Capital will be utilised for expanding its R&D and two new JVs.

This new JVs is likely to have high potential led by new defence ordersin the medium term.

AMPL has signed a JV with Rafael Advanced systems for jointproduction & supply of Tactical

Radio Communication systems,Electronic war-fare systems and Signal intelligence systems.

AMPL has signed a JV with a Canadian firm Unique Broadcast-ing Ltd for Ultra High Frequency (UHF) broadcasting, satellite up-linking and medical imaging products.

Due to additional equity infusion, the number of outstanding sharewill increase by 47.86lac shares to 8.7cr shares, leading to equitydilution.

Owing to equity dilution, new target price is Rs182 (earlier TP Rs192)

We maintain our Accumulate rating on the stock.

BSE CODE: 532493 NSE CODE: ASTRAMICRO Bloomberg CODE:ASTM IN

BUY

Rating as per Mid Cap

12 month investment period

CMP Rs139

TARGET Rs182

RETURN 31%

EQUITY INFUSION IS POSITIVE FOR THE LONG-TERM.

Geojit BNP Paribas Research

ASTRA MICROWAVE PRODUCTS LTD

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Communication Equipment

FUND WATCH

Liquid Funds

ELSS

Large Cap Equity Funds

Midcap Equity Funds

Small Cap Equity Funds

Flexi Cap Fund

Monthly Income Plan

# Absolute returns are shown in case of Equity Index funds, Equity Funds,Balanced Funds, Fund of Funds for the period less than one-year

Indian Fund performanceAs on 01.01.2016 5 YRS

Return

3YRS1YRS6 Mnth3 Mnth1 Mnth

SBI BlueChip Fund-RegDSPBR Focus 25 Fund-RegFranklin India Bluechip FundTata Pure Equity Fund

1.05 2.45 -0.62-0.44 -1.21 -4.26-0.99 -0.49 -3.840.00 0.34 -3.05

8.22 19.51 12.523.28 15.02 8.882.06 13.21 8.651.58 14.00 8.60

SBI Magnum MidCap Fund-RegCanara Rob Emerg Eq Fund-RegSundaram Select MidcapBirla SL Midcap Fund

2.42 5.12 3.850.99 4.45 6.180.87 3.42 2.420.93 2.92 3.10

14.56 30.53 19.8113.04 31.72 21.6211.36 26.54 16.5410.73 23.05 13.46

DSPBR Micro-Cap Fund-RegReliance Small Cap Fund

3.51 6.74 10.221.97 11.48 16.12

20.36 36.23 21.0415.25 36.55 22.24

Tata Equity Opportunities FundReliance Reg Savings Fund-Equity Plan

1.40 4.25 2.210.28 3.33 2.76

7.00 19.93 12.276.50 16.65 10.37

ICICI Pru Value Discovery Fund-RegBirla SL Pure Value FundHDFC Capital Builder Fund

-0.66 2.04 -0.552.30 6.59 6.950.77 6.07 2.18

5.82 25.45 17.314.89 29.80 17.494.81 20.47 11.55

DSPBR Tax Saver Fund-RegReliance Tax Saver (ELSS) Fund

-0.12 2.57 0.030.78 7.37 -1.75

4.97 19.19 11.86-2.91 22.52 15.37

HDFC Cash Mgmt-Savings 7.38 7.39 7.63 8.27 8.85 9.02

Sundaram MIP-Aggr Plan 0.56 2.28 3.67 8.66 9.61 8.35

FUND WATCH

NEW FUND OFFERS

International Fund performanceReturn

5 YRS3YRS2YRS1YRS6 Mth3 Mth1 Mth

Equity Schemes

Fixed Income/Multi Asset/Balanced

As on 06.01.2016

Closed-end

Closed-end

Fund Name Opening Date Type

Closing Date

“Disclaimer : Investments in equity, commodity, currency, futures & options are subject to market risk, please read the risk disclosure document before investing. Past performance does not guarantee returns in the future.”

To Invest NowCall the experts

Dubai: Tel: +971 4 3060900Abu Dhabi: Tel: +971 2 4125000 Sharjah: Tel: +971 6 5932000 Al Ain: Tel: +971 3 7648100

Barjeel Geojit

4-Jan 18-Jan

5-Jan 19-Jan

ICICI Prudential Capital Protection Oriented Fund - Series IX

SBI Dual Advantage Fund - Series XIII - Regular Plan

Franklin Biotechnology Discovery A Acc USD-1.7 6.5 -15 2.3 38.5 116 208Franklin India A Acc USD -1.8 -6.9 -12 -6.1 33.1 21.1 6

-3 0.8 -5.7 -5.1 -6.1 -3.9 14.1Templeton Global Total Return A MDis USD

INTERVIEW EXCERPTS2016 YEAR AHEAD

We started the year 2015 on a very optimistic note. The bull rally, which gave excellent returns in 2014, was expected to contin-ue. This optimism was based on expectations of a recovery in economic growth and corporate earnings, aided by an improve-ment in the global economic environment. Also, it was assumed that the business-friendly NDA govern-ment, with a clear majority in the Lok Sabha, would implement reforms including the passage of the GST bill.

Looking back, I have to say that some of the expectations were not realized and some new challenges emerged. In the modern globalized era, the exter-nal environment is crucial. The unexpected negative develop-ment was the Chinese currency devaluation. There was a fear that the Chinese slowdown might even lead to a global recession. The sharp slowdown in Chinese growth initiated a crash in commodity prices. The commodi

ty exporters suffered massive trade deficits and huge deprecia-tion in their currencies. The commodities crash impacted global trade, which contracted in the first half of 2015. There was also widespread export slowdown. The IMF and the World Bank downgraded global growth projections twice in 2015.

In India, we experienced a second consecutive poor monsoon impacting agricultural growth and rural spending. The crash in commodities like steel led to huge NPAs in the banking system. Though the government imple-mented many reforms in areas like FDI, defence, coal, spectrum allocation, power etc. the much-awaited major reform - the passage of the GST bill - did not materialize. This was a major disappointment.

In spite of these disappoint-ments, the Indian economy is likely to clock a GDP growth rate of around 7.5% in FY2016, making India the fastest growing large

Geojit BNP Paribas Financial Services Ltd.

INVESTMENT OUTLOOK FOR THE NEW YEAR

Mr. C J GeorgeManaging Director Geojit BNP Paribas Financial Services Ltd.

New YearMessage

from

INTERVIEW EXCERPTS

economy in the world. This growth trend is likely to acceler-ate, going forward. Corporate earnings for FY 2017 will be good, aided by growth recovery and the favorable base effect. Since corporate earnings were poor in 2015, the favorable base effect will help companies post much better numbers in FY2017. Also, there are clear indications of widespread improvement in the economy: spurt in indirect tax collections, pick up in urban consumption, spike in FDI, pick up in IIP etc. happening in a stable macro economic environment of low fiscal deficit, low CAD, falling inflation and declining interest rates.

A notable feature of 2015 has been the return of the small investor. The inflow into domestic mutual funds has been robust. This trend is likely to continue and gather momentum, going forward. Less than 3% of Indians have invested through the capital market. This figure can explode in the coming years, attracting massive amount of savings into the capital market. FII invest-ments into India are also expect-ed to resume despite the talks of the Fed hiking the interest rate. Let me repeat a point that I have often made in the past: India has the best growth story among the large economies of the world. This is a structural growth story driven by India's favorable demo-graphics, economics and enter-prise. Very recently, the Centre for Economic Business Research in the UK has predicted that by 2030 the Indian economy will become the third largest econo-my in the world. The think tank has estimated that by then the GDP of India would be over $10 trillion i.e over 5 times the present figure of $2 trillion. The

best way of participating in this growth story is through capital market investment. So, continue to invest with discipline and this New Year, spread this message to your family and friends who are yet to start investing in the capital markets. Advice them to start investing even small amounts through Systematic Investment Plan (SIP) route and they are sure to benefit from it.

Wishing You a Prosperous and Happy New Year!

Regards,

C J GeorgeManaging Director Geojit BNP Paribas Financial Services Ltd.

2016 YEAR AHEAD

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