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					       24                     NOVEMBER 2008

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   Sub-p act on the
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                         Not Out
                                                                                                NOVEMBER 2008

The global financial market crisis translated into a    numbers followed by short covering and some
liquidity crisis for the Indian economy in October.     value buying, helped contain the fall towards the
The liquidity tightness started off with the advance    end of the month. FIIs continued to be net sellers in
tax outflows aggregating about Rs.40000 cr in           the equity market and saw net sales of Rs.14249 cr
September. RBI immediately got into the action with     in October 2008 vs Rs.7937 cr in September 2008.
liquidity-inducing measures like cut in CRR, SLR        Sectoral indices too ended in the red with the BSE
and Repo rate. India's headline inflation rate          IT index seeing the lowest decline owing to a fall in
continued to taper down, with the latest inflation      the rupee vis-à-vis the US dollar. Realty and metal
figure coming in at 10.72% for the week to October      shares were the worst hit with realty shares falling
25 - the lowest in 20 weeks. The continuing global      due to a funds shortage to the industry while metal
financial turmoil took its toll on India's growth       shares fell on global cues on commodity prices.
projections though the Prime Minister and Finance       There were only 2 gainers in the month among the
Minister continued to reassure about the                S&P CNX Nifty stocks, viz., Tata Communications
robustness of the economy The FM agreed with the        Ltd., up 2.67% and Satyam Computer Services
RBI's revised growth forecast of 7.5-8.0% for FY09,     Ltd., up 2.28%.
saying that the projection had factored in a            Among Regulatory measures, SEBI removed the
slowdown in the global economy. Among other             restrictions on issue of participatory notes (PNs)
indicators - India's industrial growth slumped to a     by FIIs as well as permitted their issuance with
record low of 1.3% in August from 10.9% a year          derivatives as underlying assets. SEBI also allowed
ago, mainly on account of poor performance of           FIIs to hold more than 40% of their total assets in
electricity and manufacturing, especially               the form of PNs. However, SEBI curbed short-
intermediate goods. Growth in key infrastructure        sales via PNs and asked FIIs and their sub-
industries too plunged to 2.3% in August from 9.5%      accounts to disseminate details regarding lending
a year ago with several segments, showing dismal        and borrowing in overseas market twice a week.
performance.                                            On another front, the RBI and Finance Ministry
Indian equity markets saw one of their worst falls in   cleared the participation of FIIs in Indian depository
October 2008 with benchmark indices down by             receipts while SEBI removed restriction on equity,
almost 25%. The S&P CNX also touched a 3-year           debt ratio of 70:30 respectively for FIIs to provide
low (intra-day) on October 27 of 2252 points from       greater flexibility to FIIs to allocate investments.
where it recovered by almost 28% to close the           Besides SEBI relaxed the creeping acquisition
month at 2886 points. The benchmark indices are         norms and allowed promoters to annually raise
now 50% below their numbers at the beginning of         their stake through this route to 75% via open
the year. The global financial contagion,               market purchases instead of 55% earlier.
recessionary pressures in the US/Europe, liquidity
                                                        Indices    October September Change %       Change
issues and FII selling, among others were factors                 31, 2008 30, 2008
that triggered the massive descent in October 2008.
                                                        BSE       9788.06 12860.43 -3072.37         -23.89
However, relief measures from the RBI like repo rate
cut, CRR (cash reserve ratio) cut, SLR (statutory
                                                        S&P       2885.60 3921.20       -1035.60    -26.41
liquidity ratio) cut as well as drop in inflation
                                                        CNX Nifty

                                                                                                                                                                                                                                             NOVEMBER 2008

       Rs.                             October 08                    September 08                                Indian Debt
                                      FII Inv    MF Inv           FII Inv           MF Inv                       Call money rate rose to 21% on October 31 vs 16%
                                     (Equity)    (Equity)        (Equity)          (Equity)
                                                                                                                 on September 29 as liquidity tightened after
Buy                                 49339.30 13177.20 68029.60 14655.90                                          corporate advance tax outflows of about Rs.40000
                                                                                                                 cr in September followed by FII withdrawals, RBI's
Sell                                63587.90 11745.60 75966.60 12363.80                                          dollar sales to stabilize the rupee and the string of
Net                                 -14248.60 1431.60 -7937.00                     2292.10                       Diwali holidays in October. To tide over the liquidity
                                                                                                                 crisis, the RBI came out with various monetary
                                                                                                                 measures during the month. Earlier in the month,
                             4000                             FII Net Investment     2400
                             3750                             MF Net Investment                                  call rates touched an 18-month high of 23% as
                                                              Nifty                                              banks scrambled for funds on Reporting Day
                                                                                             FII/MF Inv Rs. Cr

                             3500                                                    800

                             3250                                                    0                           (October 10). RBI adopted three key monetary
                             3000                                                    -800                        measures to boost liquidity during the month - CRR
                             2750                                                    -1600
                             2500                                                    -2400
                                                                                                                 cut, repo rate cut and SLR cut. The RBI cut CRR

                                                                                                                 thrice in October (by 250 bps in all) - first by 50 bps

                                                                                                                 to 8.5% on October 6, then by 100 bps to 7.5% on
                                                                                                                 October 10 and lastly by 100 bps to 6.5% on
                                                                                                                 October 15 (all effective from October 11). On
                                    Derivatives Turnover Rs. Cr - NSE                                            November 1, RBI cut CRR by another 100 bps in
                                                Oct. 08          Sept. 08 % Change                               two stages to 5.5%, with 50 bps effective from
                                                                                                                 October 25 and other 50 bps effective from
Index Futures                                   324962            380198             -15
                                                                                                                 November 8. Every percentage point reduction in
Stock Futures                                   239264            332729             -28                         CRR boosts liquidity by about Rs.40000 cr. The RBI
                                                                                                                 also cut the repo rate cut by 100 bps to 8% effective
Index Options                                   364510            461623             -21
                                                                                                                 October 20 and further by 50 bps to 7.5% effective
Stock Options                                   12911              23323             -45                         November 3. Finally, the RBI lowered the statutory
                                                                                                                 liquidity ratio (SLR) by 100 bps to 24% with
Total                                           941646           1197872             -21
                                                                                                                 effective from November 8. All these measures
                                                                                                                 would infuse liquidity over Rs.2.5 lakh cr in system.
                              Total Derivatives TO   Stock Futures           Stock Options
                              Index Futures          Index Options
Derivatives Turnover Rs Cr

                                                                                                                   18.00                           Overnight MIBOR %
                             20000.00                                                                              10.50

                             10000.00                                                                               8.00
                                  0.00                                                                              5.50

                                                                                                                                                                                                                                                            NOVEMBER 2008

Gilt prices rose during the month, fuelled by series     developments - RBI revised ECB norms on October
of cuts in CRR and repo rate by the RBI. The 10-year     22 in order to enhance overseas fund flows. Further
benchmark 8.24%, 2018 paper yield ended sharply          the government expanded the definition of
lower (almost 111 bps) at 7.50% YTM (an over 5-          infrastructure sector under ECB norms to include
month low) on October 31 compared with                   refining, mining, and exploration sectors. The move
8.61%YTM on September 29. RBI's moves                    allowed companies in these segments to bring in
bolstered sentiment and strengthened the belief that     up to $500 mn for rupee expenditure. Further, the
the central bank will continue with its easy             central bank raised the rate ceiling for above 5-year
monetary policy going forward. Continuing fall in        ECBs to LIBOR-plus 500 bps as well as removed
global crude oil prices and lower than expected          the 7-year tenure norm for infrastructure ECBs over
inflation data also aided buying in gilts. Further       $100 mn. It also clarified that ECBs cannot be used
gains were capped on profit taking. Among                for capital market and realty investments. The
regulatory measures, RBI allowed Systemically            overall cap on ECBs was raised to $35 bn from the
Impor tant Non-Deposit taking Non-Banking                present $22 bn.
Financial Companies (NBFCs-ND-SI) to raise funds
by issuing Perpetual Debt Instruments that can be
                                                                                   Rupee Movement V/s Global Currencies
included in their Tier 1 capital.
                                                                                                             Oct.    Sept.
Indian Forex                                                                                               31, 2008 30, 2008                                                                                              Change % Change
                                                         USD                                                            49.46                                              46.95                                                   -2.51                                            -5.35
The rupee hit an all time low of Rs.50 per US dollar
                                                         GBP                                                            80.36                                              85.57                                                   5.21                                                6.09
(intra day) on October 25 and ended the month
down over 5% at Rs.49.46 per dollar on October 31        EURO                                                           62.84                                              67.79                                                   4.95                                                7.30
against Rs.46.95 per dollar on September 29 as           100 YEN                                                        50.42                                              44.19                                                   -6.23                                       -14.10
banks bought the greenback for FIIs repatriating
their funds after a plunge in the Indian stock market.
Also strong demand from exporters and oil                                         39                                                                                                                                                                  Rupee Vs Dollar
                                                           R upe e s pe r U S D

companies prompted banks to buy dollars. The                                      41

Indian unit continued its fall even after the central                             43
bank eased ECB norms as sentiments were dented                                                                   Inverse Scale
due to dollar appreciation against major India's                                  50
                                                                                                                         3 1 -D e c -0 7

                                                                                                                                                                                                                 3 1 -M a y -0 8
                                                                                   3 1 - O c t- 0 7
                                                                                                      3 0 -N o v -0 7

                                                                                                                                           3 1 -J a n -0 8
                                                                                                                                                             2 9 -F e b -0 8
                                                                                                                                                                               3 1 -M a r-0 8

                                                                                                                                                                                                                                                                                                             3 1 -O c t-0 8
                                                                                                                                                                                                                                    3 0 -J u n -0 8
                                                                                                                                                                                                                                                      3 1 - J u l- 0 8

                                                                                                                                                                                                                                                                                           3 0 -S e p -0 8
                                                                                                                                                                                                                                                                         3 1 -A u g -0 8
                                                                                                                                                                                                3 0 -A p r-0 8

forex reserves fell by more than $38 bn during the
month to end at $252.88 bn as on October 31. Other

                                                                                                  NOVEMBER 2008

The global financial turmoil tightened its grip           to expand bank refinancing operations to $900 bn
during October 2008 raising the spectre of                by the year-end to increase liquidity. Further, the
recession. This was despite a coordinated effort by       Fed decided to finance up to $540 bn in purchases
major global central banks, led by the US Fed to          of short-term debt from money market mutual
stave off any further contagion. The US Fed started       funds. The US Fed Chief also told lawmakers that
off a round of rate cuts on October 9, along with the     they should be considering another stimulus package.
European Central Bank (ECB), Bank of England,             In Europe, the ECB cut key rates by 50 bps to
Swiss, Canadian and Swedish central banks. In US,         3.75% as did the Bank of England, taking its rate to
the central bank cut its key federal funds rate by 50     4.5%. The Eurozone too stepped in to stave
bps to 1.5% and lowered its discount rate by the          recession on a war footing. Firstly, the UK
same amount to 1.75%. In the second round of rate         government announced a 50 bn pounds plan to
cuts, the US Fed cut interest rates by 50 bps at its      partly nationalize major banks. This was followed
monetary policy review on October 29 to 1%, to            by200 bn pounds in short-term loans and another
offset the likelihood of a shrinking US economy.          250 bn pounds to guarantee loans between banks.
Besides interest rate cuts US government also             Britain’s government also proposed to inject
approved a $700 bn financial bailout package in the       around 37 bn pounds into three of the country’s
beginning of the month. Out of the package, the US        largest banks in a bid to save the banking system
administration proposed to spend $250 bn to buy           from collapse amid the global financial crisis.
stocks in private banks. The US Fed also proposed         Further, UK’s financial regulator, viz, Financial
to expand bank refinancing operations to $900 bn          Services Authority (FSA) raised the guarantee on
by the year-end to increase liquidity. Further, the Fed   UK bank deposits to 50,000 pounds ($88,000).
decided to finance up to $540 bn in purchases of
                                                          Asian economies too followed the rate cut amid
short-term debt from money market mutual funds.
                                                          recession fear. In Japan, The Bank of Japan cut its
The US Fed Chief also told lawmakers that they
                                                          key interest rate by 0.2 percentage points to 0.3%
should be considering another stimulus package.
                                                          for the first time in seven years. It also cut its
The global financial turmoil tightened its grip           economic assessment in all of the country’s nine
during October 2008 raising the spectre of                regions for the first time, citing slowing exports and
recession. This was despite a coordinated effort by       weak household spending. The Japanese
major global central banks, led by the US Fed to          government announced a $275 bn stimulus
stave off any further contagion. The US Fed started       package in addition to an $18 bn emergency
off a round of rate cuts on October 9, along with the     spending plan to shore up its economy and to
European Central Bank (ECB), Bank of England,             expand credit for small businesses. In China,
Swiss, Canadian and Swedish central banks. In US,         central bank cut key interest rates in a bid to spur
the central bank cut its key federal funds rate by 50     economic growth, the third such move in six
bps to 1.5% and lowered its discount rate by the          weeks. The benchmark one-year deposit rate was
same amount to 1.75%. In the second round of rate         cut by 27 bps to 3.60% while one-year lending rate
cuts, the US Fed cut interest rates by 50 bps at its      was also reduced by 27 bps to 6.66%. The Hong
monetary policy review on October 29 to 1%, to            Kong Monetary Authority too cut its reference rate
offset the likelihood of a shrinking US economy.          for lending through its discount window by 100 bps
Besides interest rate cuts US government also             effective from October 8 to help banks amid the
approved a $700 bn financial bailout package in the       global credit crunch. Among indicators, China’s
beginning of the month. Out of the package, the US        GDP grew by 9.9% to 20.16 trillion yuan in the first
administration proposed to spend $250 bn to buy           three quarters of this year from same period of last
stocks in private banks. The US Fed also proposed         year. In Singapore, government said country’s

                                                                                                    NOVEMBER 2008

economy in the third quarter was estimated to have           unemployment rate inched to 5.7% in the three
contracted by 0.5% with the central bank admitting           months to August, the highest in 17 years.
that the country’s economy is already in a technical         Singapore’s Strait Times fell around 24% in October
recession and would remain weak in 2009.                     and was the worst performer among key indices
Global Equity                                                analysed, as investor sentiments were dented due to
Key global indices ended down in October, with the           fear regarding slowing of the domestic economy.
FTSE declining the least, while Singapore’s Straits          Singapore’s central bank stated that the country’s
Times was the worst hit. US Markets saw its worst            economy, which is already into technical recession,
month in 21 years (October 2008) with both the               would remain weak in 2009.
Dow Jones and NASDAQ falling in double digits in             Japan’s Nikkei fell by more than 23% in October
extremely volatile trade. Pessimism about a                  and was the worst performing index after the Strait
protracted economic downturn washed over the                 Times on growing pessimism regarding global
financial markets, sending stocks plunging and               financial health. The month also saw the Nikkei
further tightening the credit markets. Stocks                sliding to a 26-year low on October 27. The Bank of
remained low as worries about the economy                    Japan cut its economic assessment in all of the
remained, sending the Dow Jones down nearly                  country’s nine regions for the first time, citing
17%, to its lowest level in five years during the first      slowing exports and weak household spending.
week of October. Mid-month, the Dow Jones was                Exporters were dragged on an appreciating yen
propelled to a 936-point gain on October 13, its             which hit a 13 -year high against the US dollar on
biggest one-day rally since 1933 while the NASDAQ            October 24 as well as on a deteriorating domestic
was higher by nearly 12%, its second-biggest gain            economic outlook.
in percentage terms.                                         Hong Kong’s Hang seng index fell more than 22%
Britain’s FTSE fell 10.71% in October 2008, but still        during October on fears of growth slowdown as well
was the least decliner among major global indices            as on worries about weaker corporate earnings on
analysed. Banks and financials fell even after the UK        the domestic front. Sentiments were dented after
government announced a 50 bn pounds plan to                  Hang Seng Bank cut its Hong Kong GDP growth
partly nationalize major banks and Bank of England           forecast to 4% from 4.3% for 2008 and to 2.0% from
lowered its interest rate by 50 bps to 4.5%.                 3.3% for 2009. Weaker economic indicators of China
Sentiments were dented after UK CPI based annual             also weighed on stocks. Local banks and financials
inflation rose to a 16-year high of 5.2% in                  were lower despite a 100 bps interest rate cut by the
September, up from 4.7% in August while                      Hong Kong Monetary Authority.

Indices                                      Oct. 31, 2008       Sept. 30, 2008        Change       % Change
DJIA                                           9325.01              10850.66          -1525.65        -14.06
Nasdaq Composite                               1720.95              2082.33            -361.38        -17.35
Nikkei 225 (Japan)                             8576.98              11259.86          -2682.88        -23.83
Straits Times (Singapore)                      1794.20              2358.91            -564.71        -23.94
Hang Seng (Hong Kong)                          13968.67             18016.21          -4047.54        -22.47
FTSE 100 (London)                              4377.34              4902.45            -525.11        -10.71

                                                                                                                                                                                                                                                                                                      NOVEMBER 2008

DJIA –Dow Jones Industrial Average
   11.0                                                                                                               Dow Jones                                   Nasdaq                                    FTSE
   10.0                                                                                                               Nikkei                                      Straits Times                             Hang Seng
    9.0                                                                                                                                                                                                                                                                            Rebased to 10














RBI's mid-term review of Annual Policy Statement                                                                                                                              RBI has
                                                                                                                                                                              l              been proactive, taken steps to ease
Highlights                                                                                                                                                                       pressures and is confident of minimising global
l   No change in banks' SLR norms.                                                                                                                                               crisis impact on economy
l reverse repo, CRR, Bank Rate kept
    Repo,                                                                                                                                                                     l  RBI will endeavour to "modulate" sustained M3
    unchanged.                                                                                                                                                                   growth, extra government borrowing is upside
l   Has option to conduct longer term repo, reverse repo                                                                                                                         risk to loan, deposit growth rate; high domestic
l   To adopt holistic approach for price, financial                                                                                                                              loan growth on constrained access to ECBs
    stability; committed to deepen, expand financial                                                                                                                             RBI to
                                                                                                                                                                              l continue active demand management of
    sector reforms                                                                                                                                                               liquidity, to use all possible tools including CRR to
l   To focus on strengthening financial infrastructure,                                                                                                                          manage liquidity, companies' balance sheets are
    more liberalisation of Forex transactions                                                                                                                                    healthy and leverage levels are normal
l GDP target cut to 7.5-8.0% vs 8.0% earlier;
    FY09                                                                                                                                                                      Regulatory
    FY09 inflation target kept unchanged at 7% by end-                                                                                                                        l  Participation of non-NDS members in gilt auction
    March; double-digit inflation still a matter of concern                                                                                                                      under examination
l   M3, credit, deposit growth target for FY09 also                                                                                                                              FRBs
                                                                                                                                                                              l to be issued at apt time taking into
    kept unchanged                                                                                                                                                               consideration market conditions
l liquidity in the banking system after recent
    Enough                                                                                                                                                                       Nod to
                                                                                                                                                                              l CCIL to operationalise clearing, settlement
    infusion                                                                                                                                                                     operations of Forex futures, clearing, settlement
Domestic / Global Developments                                                                                                                                                   operations of Forex futures likely to commence
leconomic fundamentals are strong, financial
    India                                                                                                                                                                        in a month
    system healthy, underlying economic cycle                                                                                                                                    Banks
                                                                                                                                                                              l should monitor credit quality on high loan
    turning in tune with global economy                                                                                                                                          growth, says special purpose vehicles (SPVs) set
l existing domestic pressure is a challenge
    Global,                                                                                                                                                                      up by banks generally unregulated, to recommend
    to policy, but maintaining financial stability is the                                                                                                                        supervisory framework for SPVs of banks.
    policy's priority                                                                                                                                                         l  RBI plans revised off-site surveillance system for
l financial situation remains uncertain,
    Global                                                                                                                                                                       overseas operations of Indian banks, to form
    unsettled, solution to global crisis will need                                                                                                                               supervisory framework for overseas operations
    unconventional, unorthodox policy action, will                                                                                                                               of Indian banks by end-Nov.
    also need close coordination with government,                                                                                                                                Allows
                                                                                                                                                                              l banks to comply additional derivatives
    regulatory agencies                                                                                                                                                          provisioning over 4 quarters till March
                                                                                                                                                                                 To up
                                                                                                                                                                              l ceiling for trade credit below 3 years to 6
                                                                                                                                                                                 months LIBOR plus 200bps

                                                                                                  NOVEMBER 2008

Indian Mutual fund industry's assets under               liquidity requirements of mutual funds to the extent
management (AUM) dropped by over 18% or                  of up to 0.5% of their NDTL. RBI allowed mutual
Rs.97367 cr to Rs.4.33 lakh cr (including fund of        funds to borrow from banks using banks'
funds) in October 2008 to pre-July 07 levels             certificates of deposit (CDs) as well as relaxed
compared to Rs.5.30 lakh cr in September 2008.           banks' lending norms to mutual funds against CDs
This followed the huge decline in equity markets         and later added that banks can also buy back own
and redemptions in liquid and debt schemes.              CDs until further notice. Further, the RBI, on
Systemic liquidity tightness also affected the AUM       November 1, 2008, announced extension of the
numbers as call rates had crossed 20% during the         special term repo facility by allowing banks to avail
month. AUM has now declined by 28% from its              liquidity support under LAF (Liquidity Adjustment
peak of May 08 (Rs.6.02 lakh cr). However, mutual        Facility) through relaxation in the maintenance of
funds continued to believe in value buying and were      SLR to the extent of up to 1.5% of their NDTL. This
net buyers in equities in October to the extent of       relaxation in SLR can be used exclusively for the
Rs.1432 cr vs Rs.2292 cr in September 2008. All          purpose of meeting funding requirements of
fund houses saw negative average AUM growth              NBFCs and mutual funds. Accordingly, RBI shall
with Bharti AXA Mutual Fund showing the least            conduct special fixed rate term repo under LAF
negative growth as its average AUM was almost flat       every day until further notice up to a cumulative
vis-à-vis September 2008. This was followed by           amount of Rs.60,000 cr on outstanding basis. This
Sahara Mutual Fund with a negative 5.63% growth          will subsume the earlier Rs.20,000 cr facility
and Birla Sun Life Mutual Fund with negative 9%          announced by RBI on October 14, 2008 for mutual
growth over the month. Mirae Asset Mutual Fund           funds alone. Further SEBI revised the permissible
saw the worst monthly fall in average AUM of 56%.        mark up/mark down limits of debt securities for
                                                         mutual funds. Accordingly, mutual funds can now
Reliance Mutual Fund continued to top the average
                                                         value rated debt instruments they hold at 500 bps
assets chart with average AUM of Rs.71094 cr
                                                         above the valuation, or 150 bps below the valuation
(including fund of funds), lower by almost 18% or
                                                         for modified duration less than 2. Earlier, mutual
by Rs.15400 cr over September numbers. HDFC
                                                         funds could value rated debt instruments with
Mutual Fund continued to be the second largest
                                                         modified duration up to 2 at 100 basis points (bps)
fund house with average AUM of Rs.45479 cr, a
                                                         over and above, or 50 bps below the valuation
13% drop over the month. ICICI Prudential Mutual
                                                         provided by the CRISIL matrix. On another front,
Fund was at third spot with average assets of
                                                         SEBI sought transparency in pricing of mutual fund
Rs.39209 cr, a 21% fall over September 2008. UTI
                                                         units and directed fund houses in respect of
Mutual Fund and Birla Sun Life Mutual Fund
                                                         purchase of units in Income/ Debt oriented
followed at fourth and fifth spot with average AUM
                                                         schemes (other than liquid fund schemes and
of Rs.38284 cr and Rs.34203 cr respectively.
                                                         plans) with amount equal to or more than Rs.1 cr,
On regulatory front, RBI provided a Rs.20,000 cr         to apply closing NAV of the day on which the funds
liquidity lifeline to mutual funds by opening a 14-day   are available for utilization, irrespective of the time
repo auction window to banks for onward lending to       of receipt of application. It also planned to frame
mutual funds. Banks were allowed to avail of             regulations for mutual fund distributors in a manner
additional liquidity support exclusively to meet the     that the onus will be on trustees of AMCs to ensure
                                                         that norms are enforced.

                                                                                                 NOVEMBER 2008

       US Sub-prime Crisis and its Impact on the Indian Economy
The sub-prime crisis, following the bust of the         resetting at shockingly high rates, with
housing sector boom in the US, is widely                homeowners missing payments and foreclosing
characterized for triggering the current liquidity      accounts. Consequently home prices which had
crunch across the globe. It became a full-blown         risen by more than 120% by early 2006 received a
crisis in September 2008 when world money               significant jolt as the housing price bubble busted.
markets froze in response to bankruptcy filings and     The problem aggravated further with decline in
layoffs of financial giants in the US and Europe.       economic activity and lower disposable incomes
What started off with the bail out of US housing        and hence a decline in demand. As a result, banks
mortgage giants Fannie Mae and Freddie Mac, later       and other financial institutions holding the
saw the collapse of Lehman Brothers and the             mortgage-backed securities incurred losses and
rescue of global insurance giant American               had to sell their assets to meet margin calls. Some
International Group or AIG by the US government.        banks also held highly leveraged products based
Merrill Lynch, Washington Mutual and Fortis,            on the underlying sub-prime mortgages and were
among others, were some of the other casualties         the hardest hit.
(Bear Sterns was a similar casualty in March 2008).     With the increase in financial globalization, the
The subprime crisis has its roots in the US housing     storm which began from sub-prime mortgage
market. During the high demand period for housing       market, spilled over to the credit market and evoked
loans in the US, when the real estate sector was        a major global economic downturn. The financial
booming, people with poor credit history and a          crisis in advanced economies has been
higher chance of defaulting on their payments were      accompanied by near drying up of trust amongst
provided loans with rates higher than normal            major financial players in view of mounting losses
interest rates, known as sub-prime rates.               and elevated uncertainty about further possible
Consumers took these mortgages hoping that they         losses and erosion of capital. Many observers feel
could refinance them later at an affordable interest    that this crisis could match or even outmatch the
rate. On the other side of these transactions, rapid    economic devastation of the great depression of
developments in financial engineering allowed           1930s. Global central banks in their relief efforts
mortgages of all types to be packaged into pools        have not only partly nationalized banks to bring
and sold as high-yielding securities to a range of      back investor trust but have also poured in billions
investors from banks to sophisticated hedge funds       of dollars of liquidity along with lowering of interest
across the globe. These were further leveraged into     rates to ease lending.
complex derivative products and sold further. The       Closer home, there are concerns that whether
historically low interest rate environment not only     growth in India which has averaged around 9% in
made home mortgages affordable but also enabled         last three years will be adversely affected or not due
investors to borrow at a low cost and invest in these   to the global contagion. Though the sub-prime
higher-yielding securities. Investors received          crisis did not have any direct impact on India but if
payments as long as interest rates were low and         world growth slows, it will definitely hamper India's
home prices were rising.                                prospects as the Indian economy is now a relatively
Two events which were assumed to have a low             open economy, despite the capital account not
probability in a booming market happened and            being fully open. India has been able to prevent the
triggered the sub-prime crisis. One, interest rates     global crisis hitting Indian outfits (particularly
increased and two, home prices began falling. Rise      banks) mainly due to prudential policies that have
in interest rates led to sub-prime mortgages            attempted to prevent excessive recourse to foreign

                                                                                                               NOVEMBER 2008

borrowings and dollarisation of the economy.                        banks, cut in repo rate, cash reserve ratio (CRR)
Furthermore, in India, complex structures like                      and statutory liquidity ratio (SLR) as well as easing
synthetic securitisation have not been permitted so                 ECB (external commercial borrowing) norms.
far though derivative instruments have been                         Among the positive economic indicators, Foreign
introduced cautiously in a phased manner, both for                  Direct Investment (FDI) inflows continued to exhibit
product diversity and, more importantly, as a risk                  accelerated growth ($16.7 bn during April-Aug
management tool. Also, India's fiscal deficit has                   2008 vs $8.5 bn in the corresponding period of
been high by international standards but is also                    2007). The wholesale price based inflation rate
largely internally financed through a vibrant and well              dropped from its peak of 12.91% on August 2 to
developed government securities market, and thus,                   10.72% as of October 25. This has been primarily
despite large fiscal deficits, macroeconomic and                    on account of a drop in global oil prices by over
financial stability has been maintained. The range of               50% from their peak of $145 per barrel to $61 per
instruments available with the monetary authority to                barrel as on November 10.
manage a variety of situations has further helped. In               In conclusion, the repercussion of the US sub-
brief, the Indian approach has focused on gradual,                  prime crisis and the slowdown are sure to show up
phased and calibrated opening of the domestic                       in the rest of the developing world. India is not likely
financial and external sectors, taking into                         to be different with the increasing integration of the
cognizance reforms in the other sectors of the                      Indian economy and its financial markets with rest
economy, thus being a blessing in disguise in these                 of the world. The risks arise mainly from the
tough times.                                                        potential reversal of capital flows on a sustained
At the macro level, India has felt some tremors like                medium-term basis. The macro effects have so far
Indian stock markets falling by 50% from their                      been muted due to the overall strength of domestic
January 2008 peak largely due to withdrawals by                     demand, the healthy balance sheets of the Indian
foreign institutional investors (FIIs) resulting in net             corporate sector, and the predominant domestic
outflows of Rs 51754 cr for the period January-                     financing of investment. India is also not as
October 2008. This caused major liquidity tightness                 dependent on external markets as several other
as well as depreciation of the rupee which touched                  developing countries like China and Brazil. These
Rs.50 levels to the US dollar in October while forex                characteristics of India's external and financial
levels have dropped to $253 bn from their peak of                   sector management coupled with ample forex
$317 bn in May 2008. Mutual funds too saw their                     reserves coverage reduce the susceptibility of the
average assets drop from their peak of Rs.6 lakh cr                 Indian economy to global turbulence. Hence,
in May 2008 to Rs. 4.3 lakh cr in October 2008. The                 notwithstanding some signs of growth softening,
RBI has been at the forefront to douse the crisis at                even the most pessimistic observers feel that the
hand and announced a series of measures to                          Indian economy is set to grow by the annual rate of
facilitate orderly operation of financial markets and               at least 7-8%.
to ensure financial stability which predominantly
includes extension of additional liquidity support to

Disclaimer: CRISIL has taken due care and caution in compilation of data. Information has been obtained by CRISIL from
sources it considers reliable. However, CRISIL does not guarantee the accuracy, adequacy or completeness of the information
and is not responsible for any errors or omissions or for the results obtained from the use of such information. CRISIL is not
responsible for any errors in data reproduction. CRISIL especially states that it has no financial liability whatsoever to the
subscribers/ users/ transmitters/ distributors of this bulletin.

                                CIO Speaks of ICICI Prudential
    Mr.Nilesh Shah              Under current uncertain market conditions, all news is unidirectional
    CIO of ICICI Prudential     presenting grim picture. Undoubtedly these are times of concern but at the
                                same time with solid fundamentals backing Indian economy, these are the
                                times when Indian investors must invest with long term investment horizon to
                                reap sound returns. Mutual funds present good investment options to
                                investors. However, one point which is extremely critical and which must be
                                studied in detail before making any investment under any market condition is
                                the credibility and transparency followed by the fund house. Business of
                                mutual fund is such that they collect money from investors and invest in varied
                                avenues on their behalf. It’s important that fund houses realize this fiduciary
                                responsibility and invest in avenues which are safe. Some times they tend to
                                compromise risk factor to deliver better returns. When markets are growing like
                                it was last year, such compromises do not get highlighted as returns supersede
risk but under market conditions like the present case, quality of investment become critical.
However, irrespective of the market conditions, its critical for fund houses to keep quality of investment and
transparency in approach at the helm of operation as nobody can time the market to perfection. What an
investor must observe while selecting a fund house for investment – What is the rating profile of papers where
fund has invested in. Does the fund house invest in below investment grade papers. Percentage of paper rated
AA and above.
Whether the fund house has high exposure in real estate sector. If yes then is it secured or unsecured.
Unsecured papers increase the riskiness of the portfolio. If the fund invests in Pass through Certificates (PTCs),
then its Important to look at factors like Whether it’s a single owner PTC or pooled PTC. In case of single Owner
PTC liability is of single entity vs. many borrowers in pooled PTC. What is the credit quality and hence the rating
that particular PTC has Who is the originator and who the obligor of the PTC is and what guarantee has been
given for credit announcement. Does the fund house gives complete details of the portfolio Since its public’s
money that mutual fund houses are managing yet they do not disclose these details to investors at large and
investors develop apprehensions about the safety of their money. Barring a few fund houses most of the fund
houses do not even comply with mandatory disclosure norms put forth by AMFI. Out of more than 30 fund
houses, its only HSBC and ICICI Prudential AMC who disclose all 19 mandatory items in their monthly fact sheet
as per AMFI guidelines. Any fixed income instrument carries three risks – Credit, liquidity and interest rate risk.
All these risks can be measured and evaluated if the portfolio details are available fully and in a
transparent manner.
Very few fund houses in the country are adopting measures towards transparent disclosures. Among the
leading names is ICICI Prudential AMC which not only discloses entire portfolio details but also gives elaborate
details. For instance, ICICI Prudential AMC gives complete portfolio disclosure of FMP which none of the
leading fund houses are doing. Additionally, the Company discloses complete details of its securitizations and
passes through certificates across all schemes on a consolidated basis in their monthly Fact sheet. While many
peers are not even disclosing complete portfolios of all their schemes, ICICI Prudential has gone one step ahead
by giving details of obligators, underlying asset class, rating etc on a consolidated basis across the entire fixed
income portfolio. This transparency is required to ensure that investors have all the necessary details to take the
right investment decision. The Company in its fact sheet has given a consolidated sheet with its exposure of
debt portfolio, which again aids investors in evaluating the portfolio and taking an informed decision.
It is important for investors to evaluate a fund on the basis of complete transparency and disclosure. The most
authentic source for the same is the fund house itself and hence it’s important that fund houses realise their
fiduciary responsibility and let investors know where their hard earned monies are invested.
                                                                                                              NOVEMBER 2008

Scheme/Index Name                                   NAV/Index     1 Year    2 Years    3 Years      5 Years     SINCE
                                                    Value as on Annualized Annualized Annualized   Annualized INCEPTION


Birla Sun Life Frontline Equity Fund - Growth          42.53    -42.539      -5.764     12.214       21.554      28.198

DBS Chola Opportunities Fund - Cumulative               20.5    -52.276     -11.122      4.674       13.141       6.708

DSP Merrill Lynch Equity Fund - Growth                  7.86    -40.519         N.A        N.A         N.A      -15.689

DSP Merrill Lynch India T.I.G.E.R. Fund - Growth      25.121    -53.131      -9.603     11.482         N.A       23.448

DSP Merrill Lynch Top 100 Equity Fund - Growth        52.531    -39.444      -1.185     16.847       23.437      35.237

DWS Alpha Equity Fund - Growth                         45.27    -43.124      -4.246     14.633       21.315      30.332

DWS Investment Opportunity Fund - Growth               20.97    -47.521      -3.711     14.855         N.A        17.18

Fidelity Equity Fund - Growth                         16.698    -44.099      -7.306     10.411         N.A       15.917

HDFC Growth Fund - Growth                             44.226    -40.311      -2.032     14.846       23.256       20.17

HSBC Equity Fund - Growth                             60.691    -43.299      -5.093       11.1       23.015      36.048

ICICI Prudential Dynamic Plan - Growth                50.089    -40.516      -8.822     12.314       22.647      30.874

ICICI Prudential Growth Plan - Growth                  72.38    -45.074     -10.209      9.264       17.339         21

ICICI Prudential Infrastructure Fund - Growth           17.1    -46.263      -1.317     20.146         N.A       18.546

IDFC Imperial Equity Fund - Growth                    10.855    -37.624      -3.039        N.A         N.A        3.158

IDFC Premier Equity Fund - Growth                     13.134     -40.96       5.469     13.995         N.A        9.189

Kotak 30 - Growth                                     58.185    -44.775        -4.76     12.46       24.124      31.509

Kotak Opportunities - Growth                          23.396     -48.92      -6.366     11.311         N.A       22.714

Reliance Growth Fund - Growth                       226.903     -43.994      -4.945     12.352       30.345      26.952

Reliance Regular Savings Fund - Equity - Growth       14.072    -38.728      -2.929     11.874         N.A       10.543

Sundaram BNP Paribas CAPEX
Opportunities Fund - Growth                            13.58    -55.305      -9.287     10.976         N.A       10.381

Sundaram BNP Paribas Select Focus - Growth            55.526    -44.963         -1.5     17.53       22.552       32.23

Tata Equity PE Fund - Growth                          21.192    -48.126      -6.612      6.855         N.A       18.536

Tata Infrastructure Fund - Growth                     19.544    -51.636      -7.112     14.978         N.A       19.811

Templeton India Growth Fund - Growth                  55.566     -42.27      -7.453       8.72       17.545      21.446

UTI Dividend Yield Fund - Growth                       15.05    -37.417        -1.46    10.495         N.A       12.536


BSE Sensex                                         10337.68     -48.064     -11.256      8.576       15.328       16.76

                                                                                                     NOVEMBER 2008

Scheme/Index Name                           NAV/Index     1 Year    2 Years    3 Years      5 Years     SINCE
                                            Value as on Annualized Annualized Annualized   Annualized INCEPTION
DWS Tax Saving Fund - Growth                   7.952    -51.971     -12.207        N.A         N.A     -8.319
Fidelity Tax Advantage Fund - Growth           10.12     -43.31      -6.801        N.A         N.A      0.445
Kotak Tax Saver Scheme - Growth                9.804    -51.214     -13.181        N.A         N.A     -1.015
Principal Personal Tax Saver                   51.13    -51.415     -10.703       6.76      14.859     24.067
Sundaram BNP Paribas Taxsaver - Growth        25.467    -39.218      -0.339     13.907      27.282     19.895
BSE Sensex                                 10337.68     -48.064     -11.256      8.576      15.328      16.76

Scheme/Index Name                           NAV/Index     1 Year    2 Years    3 Years      5 Years     SINCE
                                            Value as on Annualized Annualized Annualized   Annualized INCEPTION
Birla Sun Life Balance Fund - Growth          25.05     -25.371     -4.466       7.369      13.432     10.653
DSP Merrill Lynch Balanced Fund - Growth     36.499     -29.491     -0.531      12.378      18.373     14.689
FT India Balanced Fund - Growth              29.691     -34.111     -3.085      10.356      16.322     12.996
HDFC Balanced Fund - Growth                   26.34     -29.942     -8.956       4.497      11.515     12.737
Kotak Balance                                16.328      -35.98     -4.548       8.843      18.909     15.089
Tata Balanced Fund - Growth                  42.537     -40.523     -4.933       8.965       16.89     12.203

Scheme/Index Name                           NAV/Index    1 Years    2 Years    3 Years      5 Years     SINCE
                                            Value as on Annualized Annualized Annualized   Annualized INCEPTION
DSP Merrill Lynch Savings Plus Fund -
Aggressive - Growth                           14.836     -4.329      5.043       8.439         N.A      9.455
FT India Monthly Income Plan - Growth         21.552     -9.203      2.679       5.792       7.449      9.975
HSBC MIP - Savings - Growth                   14.122     -7.234      4.354       7.383         N.A      7.627
LICMF Monthly Income Plan - Growth            26.165     -5.626      5.175       8.135       8.105      8.593
Principal MIP - MIP Plus - Growth             14.117     -5.043      6.074       7.077         N.A       7.22
BSE Sensex                                  10337.68    -48.064    -11.256       8.576      15.328      16.76

                                                                                    NOVEMBER 2008

Past NFO Analysis

Description                  Offer Date    Inception    Avg. AUM      Point to Point Returns %
                                             Date          Rs Cr    (as on September 30, 2008)
                                                       September-08 1-Month     Since Inception
Lotus India Banking Fund     May 19 to     17-Jun-08      14.78        -17.64       -15.50
- Retail Plan              June 17, 2008
Investment Pattern
Lotus India Banking Fund - Retail Plan
 Top Holdings as on September 2008                        Security Type          % to AUM

 Axis Bank Ltd.                                               Equity               10.25

 Bank Of Baroda                                               Equity                3.77

 Bank Of India                                                Equity                5.62

 Corporation Bank                                             Equity                4.03

 Federal Bank Ltd.                                            Equity                5.48

 HDFC Bank Ltd.                                               Equity                6.08

 ICICI Bank Ltd.                                              Equity               15.25

 Net Receivables                                         Net Receivables            8.42

 Punjab National Bank                                         Equity                6.15

 State Bank Of India                                          Equity               13.19

 Top Industries as on September 2008

 Banks                                                       Equity                89.18

 Finance - Housing                                           Equity                 2.40

 Asset Allocation as on September 2008

 Equity                                                                            91.58

 Net Receivables                                                                    8.42

                                                                                                                     NOVEMBER 2008

                 H. O.: Sadhana House, 2nd Floor, Behind Mahindra Tower, 570, P B Marg,
                              Worli, Mumbai - 400018. Tel.: 022- 66526000

Ahmedabad        202, Maruti Crystal, Opp Rajpath Club, S G Highway, Ahmedabad - 380015.
                 Tel.:07926870170 / 180 / 40040526.
Akola            Yamuna Tarang Complex, Opp. Vidarbha Hospital, Near Ramlata Business Centre, National Highway No. 6, Murtizapur
                 Road, Akola - 444001. Tel.:07243205802.
Aluva            2nd Floor, Peal Avenue, Pankalam, JnAluva-683101. Tel.:4842620655.
Ambala           Cross Road No-1, Care of Sudshran Tower, 2nd Floor, above Indian Oversese Bank, Ambala Cantt-133001. Tel.:0'171
Anand            Basement Block No. 1, Bhailal Complex, Amul Dairy Road, Anand, Anand-388 001.
                 Tel.:0'2692259911 / 254094 / 255876.
Aurangabad       Sanjeevan Complex, 2nd Floor, Adalat Road, Near Ratnaprabha Motors, Aurangabad - 431001.
Bangalore        Shubhasri Plaza, No.200F, 1&2 Floor, 7 Main 27 Cross, Next To Nilgiri Dep. Store, 3 Block, Jayanagar,
                 Bangalore - 560011. Tel.:08066445017/66445022/66445026.
Baramati         2nd Floor, Sanket App.,Opp. State Bank of IndiaBaramati - 413102. Tel.:952112560809 / 02112--221230 / 31
Bellary          D No.145 (5),17th Ward, Kolachalam Compound, Opp to Old KSRTC Bustand, Bellary Dist Karnataka,
                 Bellary - 583101. Tel.:8392277377/2277388.
Bhavnagar        Gangotri, Plot No.8-A, Waghavadi Road, Bhavnagar - 364 002. Tel.:2782562310.
Bhuj             Office No. 210 & 211, Complex A, 1st Floor, RTO Reclamation, Nr. RTO Circle, Ring Road, Bhuj - 370 001. Tel.:02832
Baroda           303, Shivshakti Building, Opp. Circuit House, Behind Ivory Terrise Building, Sampatrao Colony, AlkapuriVadodara-390
                 004. Tel.:0'2652354030 / 2355040.
Calicut          5th Floor, M Son's Arcade, Cherooty Road, Calicut, Calicut - 673001. Tel.:04952761847/ 2761846.
Chandigarh       S.C.O.3, 1st Floor, Madya Marg,Sector 26 D, Chandigarh -160019. Tel.:01726602117/6602199/6538172
Chandrapur       Plot No.2,Survey No. 63/1Nagpur Road, Wadgaon Bus Stop, Chandrapur. Tel.:07172325990
Chennai          No. 13 Kanniah Street, Near North Usman Road, T. Nagar, Chennai - 18. Tel.:04428345184, 28345185
Chikka Magalur   Umaram Complex, Hanuman thappa Circle, Chikka Magalur, Chikka Magalur - 577101. Tel.:8262230790
Chitradurga      1st Floor, Shri PM Comforts, Near Railway Station Road, BD Road, Chitradurga - 577501. Tel.:08194 -228022
Cochin           2nd Floor, Kalyani Tower, Deshabhimani Junction, N. H. Kaloor, Cochin - 628017. Tel.:04842333654, 2339896
Coimbatore       No.1021, 1st Floor, above MRF Tyres, Avanashi Road, Pappanaicken, Palayam Coimbatore - 641037.
                 Tel.:04222217747, 2217767
Kollam           5th Floor, 89 - Upasana Nagar, Mamootill, Mahanaiam, Kollam - 691001. Tel.:0'4742765281 / 2766529
Dharmapuri       No.45 1st Floor, Second CrossViewers Colony, Dharmapuri - 636701. Tel.:04342270299, 267729.
Guntur           Mahindra & Mahindra Financial Services Limited, Mangagiri Road, Above Modern Agro Industries,
                 Gaddipadu, Guntur - 522001. Tel.:08636536775
Gurgaon          8, 2nd Floor, Old DLF Colony, Sec-14, Gurgaon, Haryana-122001.
                 Old D.L.F Colony, Mehjrauli Road, Gurgaon-122001. Tel.:0'1246458030-31
Hubli            Srinivas Ground Floor, Old Income Tax Road, Vidhya Nagar, Hubli - 580031. Tel.:8362376897/2272077
Hyderabad        V. V. Towers, Kharkhana Tirumalgherry Road, Secunderabad - 500015.
Jalandhar        1st Floor, Pam Rose Building, Nr Railway Crossing, Opp International Hotel, Jalandhar.
Jalna            Devgiri Sankool, Gandhi Chaman, Old Jalna, Jalna - 431203. Tel.:02482-395781/234624
Jamnagar         Office No.316, Third Floor, Madhav Complex, Pandit Nehru Marg, Opp. D. K. V. College,
                 Jamnagar - 361008. Tel.:2882754950
Junagadh         4&5, Mari Gold Complex, Moti Baug Road, Opp. Raiji Baug, Junagadh - 362 001. Tel.:0'2852673542
Kalyan           Shop No. 8 & 9, Regency Complex, Kalyan Murbad Road, Syandicate, Kalyan - 421306. Tel.:2852673542
Kannur           2nd Floor, Emerald Shopping Centre, Kakkad Road, South Bazar, Kannur - 670001.
                 Tel.:0497-2702960 / 2705535
Kasargod         2nd Floor, City Center, Bank Road, Kasargode - 21. Tel.:4994223744 / 223755

                                                                                                                      NOVEMBER 2008

Kolhapur          243, E - Ward, above Government Servant Bank, RTO Office Road, Tarabai Park, Kolhapur.
Ludhiyana         G T Road, Opp Sunni Motor Workshop, 1st Flr, Dhendari Karan, Ludhiana - 141010.
                  Tel.:0161510347 / 6536167 / 5025752
Madurai           Avar Plaza, 1st Floor, 128 Ponmeni Pudur, 2nd Street (Near Bank of India), Bye Pass Raod, Madurai.
                  Tel.:04522300339 , 2300349
Mangalore         2nd Floor, Essel Tower, Bunts Hostel Circle, Mangalore-575003. Tel.:0'8242421920/2429677
Mehsana           S-1 To S-4, Maruti Plaza, Opp. Starline Cars Highway, Mehsana, Mehsana - 384 002.
                  Tel.:0'2762250647 / 258049
Muvattupuzha      1st Floor, Y A S Complex, Nr. Nehru Park, Muvattupuzha - 686661. Tel.:4853259425
Mumbai (Goregoan) 267 & 268 Udyog Bhavan, Sanalval Road, Goregoan East, Mumbai - 400063. Tel.:2226881163/0528/5172
Nadiad            201-203, Shiv Point, 2nd Floor, Opp. Desai Park Society, College Road, Nadiad-387 002. Tel.:0'2682581480
Nagpur            C/O, Narang Tower, 1st Floor, Corporation Building No.27, Opp. Traffic Police Office, Palm Road, Civil LinesNagpur -
                  44000107122562880 / 2558886/ 9822843548
Nasik             B Wing, S - 7 To S - 112nd Floor, Suyojit City Center, Mumbai Naka,Opp. Mahamarga Bus Stand,
                  Near Shatabdi Hospital, Nashik - 422011. Tel.:0253-6616005
Nellore           Door No. 26-2-1670, Simhapuri Centre, Vedayapalem, Nellore - 524004.
                  Tel.:0'8612334909 / 2302148 / 2302068
New Delhi         223, 226 & 227, 2nd Floor, Ansal Chambers 2, Plot No. 6, Bikhaji Cama Place, New Delhi - 110066.
                  Tel.:0'1126165492 /240
Palakkad          2nd Floor, Parappurath Complex, Chandranagar, Palakkad - 678007. Tel.:04912573814 / 2573815
Panvel            Anand Apartment, Flat No.101, Plot No. 64, Opp. ITI, MCCH Society, Panvel - 41020627453882/3884
Parbhani          Shop No. 7, Swimming Pool Complex, Nehru Road, Parbhani - 431401. Tel.:02452 -25988
Pune              101/201, Sneha Ganga, Near Income Tax Office, Shankarseth Road, Swargate, Pune-411009.
Raipur            Maruti Heights, 2nd Floor, Besides Sky Automobiles, G.E. Road, Raipur. Tel.:07714061005/ 4061897 / 4053538
Rajkot            110-111, Alap"B" Linda Chowk, Opp. Shastri Maidan, Rajkot - 360001. Tel.:0281-2463542/43
Salem             Jayarathna Complex, 1st Floor, Opp. HDFC Bank, Omalur Main Road, 5 Road, Salem - 636004
Thalassery        Damas Center, Nr. Town Bank Auditorium, Thiruvangad, Thalasserry, Kannur - 670103.
                  Tel.:04902322297 / 3202425
Thane             Shop No. 31/32, Vardhaman Vatika,Opp. Tatvadyan, Vidya Path, Thane Ghodbunder Road, Kapurbawdi,
                  Thane (W) - 400607. Tel.:55971457 / 65771457/ 65744134
Thrikkakara                                                                      .O.,
                  3rd Floor, 164G - Vijaya Complex, Chempumukku, Thrikkakara P Cochin - 682021.
                  Tel.:04843219841 / 2423740
Thrissur          No.349, PV Complex, Civil Lane Road, Ward -21,Thrissur - 680004. Tel.:04872381384 /2389428
Trichy            No.17& 18, 2nd Floor, Opp. shiva Automobiles, MGM Complex, TVS Tolgate, Subramaniyapuram
                  Trichy - 620020. Tel.:04312332402, 2332502
Trivandrum        Dhanya Remya Theatre Road, Nandanam Towers, Trivandrum, Trivandrum - 695014. Tel.:04710471 2471981
Udaipur           124-A, Hiran Magri Sector No.11, Govardhan Villas Road, Opp. Ekling - Garh, K S Motors, Udaipur - 313001. Tel.:0249
Vadakara          2nd Floor, PKC Complex, Nut Street, Vadakara, Calicut - 673104. Tel.:04962513523 / 2513522
Vellore           Vaidyanathasamy Complex, Above Popular Agencies, 1/19, Katpadi Road, Vellore - 632004.
                  Tel.:04164203388 , 2229629
Vijaywada         # 54-15-4A, 3rd Floor, Zoom Complex, Near Vinayak Theatre, NH-5Beside Prakrit Motors Pvt. Ltd.,
                  Vijaywada-520008. Tel.:08662453655 / 2454655/2494655/2493655
Vizag             Plot No. Mig 51/ 5D. No.1-83-29 Sector - 5, Opp. Trinetra Super Market, M.V.P Colony,
                  Visakhapatnam - 530017A.P Tel.:08912709826
Warangal          D.No-15-1-338, 2nd Floor, Mulugu Road, Industrial Estate, Hanumakonda, Warangal - 506007.
                  Tel.:8706565661/ 2424360
Bhandara          F-31/32, Nagar Parishad Building, Main Line, Near Azad Maidan, Yawatmal-445001. Tel.:07232-256264
Tirur             2nd Floor, Aysha Complex, Kuttipuram Road, Nr. SBITirur, Malappuram - 6861014942431106
Pattambi          2nd Floor, Amritha Towers, MWLW Pattambi, Palakkad Road, Pattambi, Palakkad - 6793064663203999
Kottayam          Kannampuram Buildings, Pulimood JNMC Road, Kottayam - 686001. Tel.:4812300802/2300749


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