An overview of the Budget 2013, economic update & outlook of various sector for the month

1. ADVICE for the WISE
Newsletter – MARCH 2013
1

2. Contents
Index Page No.
Economic Update 4
Equity Outlook 8
Debt Outlook 12
Forex 14
Commodities 15
Real Estate 16
2

3. From the Desk of the CIO…
Dear Investors,
The Union Budget 2014 presented in the Parliament on 28th have become very attractively priced as a result. We believe the
February provoked different reactions from investors, common upside to risk ratio of these stocks at the prevailing prices is
man and industry. While it disappointed investors – who were highly attractive.
hoping for a path-breaking slew of reforms – it remained Global risk appetite saw some caution creep in through
prudent in its outlays and fiscal deficit targets. Debt and equity February. The Italian election results made investors revisit their
markets alike reacted with negative movement on the day of the scenarios of fresh trouble in Eurozone. The hung parliament and
budget. Part of the reaction was driven by confusion in the fine the possibility of anti-austerity parties having a significant say in
print related to the tax treaties. As the air cleared over that, the ruling coalition has investors starting to worry about the
equity markets recovered to pre-budget levels. On the balance future of Euro again. The final word of Italian government is yet
though, the effect of budget is unlikely to last beyond few days. to come. However, macroeconomic data from US has cheered
Participants in both debt and equity markets are now starting to investors back into a sense of business as usual. The pending
speculate about RBI’s move in the monetary policy negotiations in US over the sequestration may bring jitters back.
announcement due this month. There are those that believe the However, most investors have grown habituated to the political
fiscal prudence that marked the budget is likely to give RBI brinkmanship in US and Eurozone alike and have increasingly
enough comfort to embark on aggressive monetary policy started to express an almost dangerous faith in things finally
easing. Others maintain that the fiscal deficit numbers for FY14 working themselves out.
are hard to achieve and RBI knows it just as well, thus keeping On the equities front, the tail (improbable but highly damaging)
the earlier trade off of growth and inflation almost unchanged, event risks remain quite real at current valuations. Either a
and monetary policy easing slow. We belong to the former camp suitably structured exposure to equities with downside
and believe that RBI will cut rates quickly if not very aggressively, protection or the ability to ignore the short term noise because
in the next few months. of the turbulence is a good defense against these risks. Taking
Equities markets saw renewed turbulence in the run up to and exposure to USD through currency futures, investing in dollar-
after the budget. While broad markets experienced some denominated assets or taking explicit put option cover are some
amount of volatility, mid-caps faired much worse. Several good of the specific guards against the improbable event risks.
quality mid-cap stocks saw a major correction. Some of these 3
“Advisory services are provided through Karvy Stock Broking Ltd. (PMS) having SEBI Registration No: INP000001512. Investments are subject to market risks. Please read the disclaimer on slide 18”

4. Economic Update - Snapshot of
Key Markets
125 Sensex Nifty S&P 500 Nikkei 225
As on 28th Change over Change over 120
115
Feb 2013 last month last year 110
105
100
BSE Sensex 18862 (5.2%) 6.2% 95
90
Equity S&P Nifty 5693 (5.7%) 5.7% 85
80
Markets S&P 500 1515 1.1% 10.9%
9.20
Nikkei 225 11559 3.8% 18.9% 8.70
8.20
10 yr Gsec
7.70
7.20
10-yr G-Sec Yield 7.87% 1 Bps (34 bps)
Debt Markets Call Markets 7.89% (15 bps) (109 bps)
Fixed Deposit* 8.75% 25 Bps (50 bps) 33000
32000 Gold
31000
30000
29000
28000
RICI Index 3692 (4.0%) (5.7%) 27000
26000
25000
Commodity Gold (`/10gm) 29517 (2.2%) 3.2%%
Markets
Crude Oil ($/bbl) 114.5 (0.9%) (6.3%)
59
`/$
57
As on 25th Feb 2013
55
53
51
49
Forex Rupee/Dollar 53.8 (0.9%) (9.0%) 47
45
Markets Yen/Dollar 91.8 (0.9%) (12.4%)
• Indicates SBI one-year FD 4
•New 10 Year benchmark paper(8.15%, 2022 Maturity) was listed in the month of June, the 1 year yield is compared to the earlier benchmark(2021 Maturity)

5. Economy Update - Global
• The Conference Board Consumer Confidence Index, which had declined in January, rebounded in
February. The Index now stands at 69.6 (1985=100), up from 58.4 in January
US
• Gross Domestic Product was revised at an annual rate of 0.1%in the Q4 CY 12 as compared to the 0.1%
drop that was originally reported. However, the growth is much lower than last quarter’s annual rate of
3.1%.
• The seasonally adjusted Markit Eurozone Manufacturing PMI remain unchanged in February 2013 at
47.9. The PMI held steady in February, but some consolation can be gained from the fact that January’s
reading was the highest for 11 months, suggesting that the manufacturing downturn has eased so far this
Europe year compared to the pace of decline seen throughout much of last year.
• Euro-zone unemployment rate rose to a record to 11.9% in January 2013 from an upwardly revised 11.8%
in December 2012.
• Japan’s Manufacturing PMI posted a reading of 48.5 in February 2013, up from 47.7 in January 2013.
However, by remaining below the 50.0 mark for an ninth successive month, the PMI again pointed to a
deterioration in manufacturing operating conditions.
Japan
• The seasonally adjusted unemployment rate came at 4.2% in January 2013, down from upwardly revised
4.3% in December 2012.
• China’s HSBC PMI posted a reading of 50.4 in February 2013 down from 52.3 in January 2013, signalling a
marginal strengthening of operating conditions in the Chinese manufacturing sector.
Emerging • India’s HSBC Purchasing Managers’ Index(PMI) posted 54.2 in February 2013, up from the reading of 53.2
economies in January 2013 signaling a further improvement in the health of the manufacturing sector.
• India’s GDP growth for the quarter ending December 2012, slipped to 4.5%. The Indian economy had
grown by 5.5% and 5.3% in first and second quarter of FY 12 respectively.
5

6. Economy Outlook - Domestic
10.0%
8.0% • The country's gross domestic product (GDP) grew at a 10-year
6.0% IIP low of 4.5% during the third quarter of the current financial
4.0% year, hurt by a slowdown in agriculture, mining and
2.0% manufacturing, pushing the projected annual growth rate down
0.0%
further. The gross domestic product (GDP) had expanded by 6%
-2.0%
in the same period of last fiscal.
-4.0%
-6.0%
• The economic growth in the first nine months of this fiscal
Dec Jan Feb Mar Apr May Jun Jul 12 Aug Sep Oct Nov Dec
11 12 12 12 12 12 12 12 12 12 12 12 (April-December) stood at 5%. The manufacturing sector grew
an annual 2.5% during the quarter while farm output rose just
• India's industrial production unexpectedly shrank for a second 1.1% & mining fell by 1.4%.
straight month in December, weighed down by weak investment
• The Industrial sector slightly rebounded to 3.3% during the
and consumer demand. The index of industrial production (IIP) fell
quarter from 2.7% y-o-y in the June quarter and 2.6% in the
0.6% annually in December 2012. IIP for November has also been
corresponding quarter of the previous year. India’s GDP growth
revised downwards to negative 0.8% from 0.1% .
pegged at 6.1%-6.7% for FY14; FY13 growth seen 5.0%. India's
key eight core sector growth expands 3.9% in January following
• Cumulative growth in FY13 in Apr- Dec 2012 stands at 0.7% as
2.5% growth in December.
against a growth of 3.7% in corresponding period of the previous
year. Mining registered -1.9% growth in April Dec 2012, as against -
8.0 7.8 7.7
2.6% during the same period last year. Manufacturing registered
7.5
near zero growth of 0.7% in April - Dec 2012, when compared with 6.9 GDP growth
7.0
4.0% in April - Dec 2011.
6.5 6.1
6.0
• The IIP number for December is at variance with the Purchasing 5.5
5.5 5.3 5.3
Managers’ Index (PMI) for manufacturing, which had risen to a five-
5.0
month high in December 2012. Perhaps this divergence can be 4.5
4.5
explained by the fact that while PMI survey data is from large
4.0
companies, the IIP numbers include smaller firms. FY11(Q4) FY12(Q1) FY12(Q2) FY12(Q3) FY12(Q4) FY13(Q1) FY13(Q2) FY13(Q3)
6

7. Economic Outlook - Domestic
Growth in credit & deposits of SCBs  India’s headline inflation declined sharply to 6.62% in January
21.0%
Bank Credit Aggregate Deposits from 7.18% in December, its slowest pace in three years. It is
19.0%
17.0%
the fourth consecutive monthly decline. WPI declined as the
15.0% prices of fuel and manufactured items cooled moderately in
13.0% December, compared to those in the previous month.
11.0% Manufacturing goods inflation declined to 4.81% from 5.04%
9.0% while fuel prices rose 7.06% in January from those a year
7.0% earlier, compared with an annual rise of 9.38% in December.
5.0%
 Food inflation, as a category, rose to 8.5% during the month,
from 8.32% a year ago. Food articles have 14.3% share in the
 As on Jan 2013 Bank credits grew by 16.1% on a Y-o-Y basis WPI basket. For the fuel and power category, inflation
which is about 0.9% higher than the growth witnessed in moderated to 10.02% during the month from 15.48% in
December 2012. Aggregate deposits on a Y-o-Y basis grew at November 2011. However, diesel inflation increased by 14.60%
13.2%, viz-a viz a growth of 11.1% in December 2012. last month.
 On 29th January 2013, Reserve Bank of India cut the repo rate-  Consumer price inflation climbed to 10.79% in January, while
the key policy rate by 25 basis points to 7.75% in its 3rd Quarter factory output for December shrank 0.6%, all indicating that the
review. Cash reserve ratio (CRR) was also reduced by 25 basis ongoing slowdown could get worse.
points to 4%.
8.0% Wholesale Price Index
7.8%
 If correcting macroeconomic imbalances is good for growth, then 7.6%
7.4%
fiscal discipline has at last begun to move in that direction. The 7.2%
estimated fiscal deficit for 2012-13 was a tad lower than 7.0%
6.8%
targeted at 5.2% of GDP, and is forecast to shrink to 4.8% of GDP 6.6%
6.4%
in 2013-14. Meaningful fiscal influence upon the economy will 6.2%
come from abating the threat of a ratings downgrade, lesser 6.0%
demand boost and, hence, more room for monetary policy, all of
which should support growth.
7
* End of period figures

8. Equity Outlook
Budget for FY14 came in on expected lines
Union Budget for FY14 turned out to be on expected lines with focus on fiscal consolidation. Finance Minister met his promise of
keeping fiscal deficit at 5.2% for FY13. The provisions for fuel and fertilizer subsidies look adequate this year and the fiscal deficit
number would be closer to 5% for FY14 if price hikes continue for auto fuels. The allowances for various entitlement programmes have
not been increased very meaningfully. Current account seems to be a bigger concern for the economy. We expect several measures to
boost export in the new Exim policy expected by month end. Direct Taxes Code (DTC) bill and Insurance bill are going to be introduced in
current Parliament session which will take the reform process forward. We expect RBI to take cognizance of these fiscal consolidation
measures and continue with monetary easing in its next review on 19th March. The correction in the markets in last three weeks has
opened up an attractive entry opportunity and we recommend investors to increase their exposure to equity.
Key Highlights of Budget
The fiscal deficit number has been penciled at 4.8% for FY14. The provisions for fuel and fertilizer subsidies look much better this year
and the fiscal deficit number would be closer to 5% if price hikes continue for auto fuels.
Direct Taxes Code (DTC) bill to be introduced in current Parliament session. No timelines have been given for implementation Goods and
services tax (GST).
On Revenue side, no change has been made in slabs and rate for personal income tax. Surcharge for domestic companies whose taxable
income exceeds Rs 10 crore per year is increased from 5% to 10%. In the case of foreign companies, the surcharge will increase from 2%
to 5%.The additional surcharges will be in force for only one year, that is for Financial Year 2013-14. One time voluntary compliance
scheme for service tax defaulters to be introduced. And interest and penalties will be waived
8

9. Equity Outlook
Key Highlights
• On the expenditure side, government has provided for Food subsidy of Rs.90,000 crs and is looking to implement Food
security bill. The allowances for various other entitlement programmes have not been increased very meaningfully.
• There was a lot of talk on boosting infrastructure & investment activity but no concrete provisions have come in. Marginal
changes on investment allowance are unlikely to spur SME’s to start investing
• Subsidies related to administering the Food Security Act have not been separately mentioned. An additional 10,000 crores
has been earmarked in addition to the regular food subsidies of 80,000 crores.
• GDP growth for FY14 is estimated at 6.1-6.7%. All tax estimates have been made keeping the mid point of this range as
benchmark
• In FY13, as against a target of Rs. 30,000 crs, the Government will raise about Rs25,000 crs from disinvestment. For FY14,
Rs. 40,000 crs is to be raised through disinvestment.
• Tax credit of Rs 2000 to be provided to every person having income of up to Rs 5 lakh; this will benefit 1.8 crore people. A
person taking a loan for his first home from a bank or a HFC upto Rs 25,00,000 during 1.4.2013 to 31.3.2014 will be entitled
to an additional deduction of interest of upto Rs 100,000.
9

10. Sector View
Sector Stance Remarks
The reversal of the interest rate cycle will assist in managing asset quality better and would lead to
BFSI Overweight increase in credit growth. However, we like the private sector more than public sector due to
better management quality and higher balance sheet discipline
We like the secular consumption theme. We prefer “discretionary consumption” beneficiaries such
FMCG Overweight as Cigarettes, IT hardware, durables and branded garments, as the growth in this segment will be
disproportionately higher vis-à-vis the increase in disposable incomes.
Raw material prices have started coming down which would boost margins. Auto loans are also
Automobiles Overweight getting cheaper. We are more bullish on SUV’s and agricultural vehicles segment due to lesser
competition and higher pricing power.
We believe in the large sized opportunity presented by Pharma sector in India. India’s strength in
generics is difficult to replicate due to quality and quantity of available skilled manpower. With the
Healthcare Neutral developed world keen to cut healthcare costs, and a vast pipeline of drugs going off-patent, Indian
pharma players are at the cusp of rapid growth. However, the government policy of putting price
control on selected drugs might cause some short term pressure on stock prices.
The significant slowdown in order inflow activity combined with high interest rates has hurt the
E&C Neutral sector. Now since the interest rate cycle has started to reverse, we have turned more constructive
on this space.
10

11. Sector View
Sector Stance Remarks
The regulatory hurdles and competitive pressures seem to be reducing. Incumbents have started
Telecom Neutral
to increase tariffs slowly and we believe that consolidation will happen sooner than expected.
Demand seems to be coming back in Europe. US volume growth has also remained resilient. With
IT/ITES Neutral
pricing already bottomed out, we have turned positive on the space selectively.
With the ongoing price deregulation of diesel, we believe the total subsidy burden on Oil PSU’s
Energy Neutral will come down during the course of the year. We are turning more constructive on the space
now.
We like the regulated return charteristic of this space. This space provides steady growth in
Power Utilities Neutral
earnings and decent return on capital.
Commodity prices have corrected significantly over the last few months due to concerns about
Metals Underweight
growth in China and developed parts of the world.
Cement industry is facing over capacity issues and lackluster demand. With regulator taking a
Cement Underweight
strong view against pricing discipline, the profits of the sector are expected to stay muted.
11

12. Debt Outlook
8.2 Yield curve 9.00 10-yr G-sec yield
8.1 8.80
8.60
8.0
8.40
(%)
(%)
7.9
8.20
7.8
8.00
7.7
7.80
7.6
7.60
7.5 7.40
7.4 7.20
12.6
0.0
0.8
1.6
2.4
3.2
4.0
4.7
5.5
6.3
7.1
7.9
8.7
9.5
10.2
11.0
11.8
13.4
14.2
15.0
15.7
16.5
17.3
18.1
18.9
19.7
• The 10 year benchmark G-Sec ended the month at 7.91% yield with a fall of 14 Bps during the month.
• The G-Sec market started the last week of Feb on a positive note of OMO announcement, but lower GDP growth estimates.
However, yields harden on high gross borrowing numbers.
• Indian Government has provided Rs 2000 cr as premium towards interest payments for bond buybacks in FY14 and the buyback
will be cash and fiscal deficit neutral.
• On 29th January 2013, RBI cut the policy repo rate under the liquidity adjustment facility (LAF) by25bpsfrom 8% to 7.75% with
immediate effect. RBI also cut the cash reserve ratio (CRR) of scheduled banks by 25 bps to 4% of their net demand and time
liabilities (NDTL) effective the fortnight beginning February 9, 2013; as a result of this reduction, around Rs.18000 cr of primary
liquidity will be injected into the banking system.
• The spread on a 10 year AAA rated corporate bond increased to 104 Bps on 28TH February 2013 from 88 Bps(as on 31st January
2013). The 28th February 2013 AAA Rated bond yields rose by 12 bps to 8.91% as compared to the yields a month earlier at
8.79%.
12

13. Debt Strategy
Category Outlook Details
With the second policy rate cut that happened in Jan2013, with a 25 Bps cut
in Repo rate and CRR along with signals of future cuts in the policy rates in
the coming quarter, but as there is influence of global factors in the market, a
Short Tenure lot of uncertainty is coupled with it, hence, we would recommend to invest
Debt in and hold on to current investments in short term debt Due to liquidity
pressures increasing in the market as RBI has a huge borrowing plan, short
term yields would remain higher. Short Term funds still have high YTMs (9%–
9.5%) providing interesting investment opportunities.
Some AA and select A rated securities are very attractive at the current
yields. A similar trend can be seen in the Fixed Deposits also. Tight liquidity
Credit in the system has also contributed to widening of the spreads making entry
at current levels attractive.
Indian long term debt is likely to see capital appreciation owing to the expected
monetary easing. With the second policy rate cut happening in Jan2013, with a
25 Bps cut in Repo and CRR along with signals of future cuts in the policy rates
in the coming quarter, but along with this is a lot of uncertainty in the market
Long Tenure
and hence would recommend to hold on to the current investments in the
Debt Longer term papers. These papers are suitable for both - investors who may
want to stay invested for the medium term (exiting when prices appreciate) and
those who would want to lock in high yields for the longer term.
13

14. Forex
Rupee movement vis-à-vis other currencies (M-o-M) Trade balance and export-import data
3.5% 3.3% 30 Export Import Trade Balance (mn $) 0
3.0% 20 -5000
10 -10000
2.5% 2.2%
0 -15000
2.0% -10 -20000
1.5% -20 -25000
1.0% 0.7%
0.5%
0.0% Exports during Jan, 2013 were valued at US $ 25.58 bn which was
-0.5% 0.82% higher than the level of US $ 25.38 bn during Jan, 2012.
Imports during Jan, 2013 were valued at US $ 45.58 Bn
-1.0%
-0.9% representing a negative growth of 6.12% over the level of
-1.5% imports valued at US $ 42.95 Bn in Jan 2012 translating into a
USD GBP EURO YEN trade deficit of $19.96 Bn.
140000
Capital Account Balance
• INR has appreciated against three major currencies other than
USD. INR depreciated by 0.9% against the US Dollar. Rupee has 90000
appreciated against dollar since the beginning of the calendar year
by 1.87%
40000
• Recovery in US economy increased risk appetite among global
investors, sending funds flowing into riskier assets, including those -10000
FY 10 (Q3) FY 10 (Q4) FY 11 (Q1) FY 11 (Q2) FY 11 (Q3) FY 11 (Q4) FY 12 (Q1) FY 12 (Q2)
in emerging markets. One more Factor for INR to strengthen is
that it did not react adversely to fiscal deficit for April-December • The projected capital account balance for Q2 FY 12 is revised
2012 being reported at Rs 407,000 crore, or 78.8% of the budgeted from Rs. 84,400 Cr to Rs. 78,800 Cr also the Q1 figure was revised
fiscal deficit of Rs 991,000 crore for fiscal 2010-13. downwards to Rs. 99,500 Crores from Rs. 1,02,100 Crores.
• We expect factors such as higher interest rates to attract more
• Volatility as last year is expected to continue as the rupee would investments to India. Increased limits for investment by FIIs
track cues from the domestic markets as well as global shores. would also help in bringing in more funds though uncertainty in
the global markets could prove to be a dampener.
14

15. Commodities
Having risen consecutively for eleven years, dollar-gold price performance
is one of the best among other asset classes, generating an annualized 33000
return of 18%. The global financial system was flood with central banks
Gold
liquidity that had risen risk asset in the year 2012 and this is expected to 32000
further lift risk asset prices in the year 2013. Given this backdrop, one
31000
could expect a decent profit booking on the precious metal counter as the
Precious money flow shall now be diverted to equities that was under owned since 30000
2008. We also expect liquidity to dry up significantly around end of 1QCY
Metals following the ECB’s LTROs amid a sharp pull back in dollar index -following 29000
the Fed’s signal to wind down the stimulus program this year - could 28000
rattle global commodity prices. The controlled measures by the central
bankers to curb gold demand with a prime objective being to shore up 27000
confidence in the monetary and banking system, bullion in all probability 26000
will not be a free market. As bullion derivatives market is far larger than
the size of physical metal, a small trigger is sufficient enough to create a 25000
big impact. Domestically, it now seems that gold has formed an
intermediate top and one could see consider price pull back going ahead
in the year 2013.
135
125
The expectation of steadier global growth is a good news for the Crude
115
oil counter given the excess liquidity available. There is no
evidence of oil shortage and given the ample supply coupled with 105
the decent growth prospects, we expect oil to remain firmer.
Oil & Gas While China is expected to stage a good performance this year is
95
positive for the oil market, the signal coming from the Fed on 85
unwinding of the stimulus program this year, keep a lid on the 75
prices. As the risk of oil spike has subsided considerably, the
upside on this counter looks capped.
15

16. Real Estate Outlook
Asset Classes Tier I Tier II
Prices continued to be at peak levels in most markets with sales being slow,
more so in the premium segment. Going forward, the expectation of a general
recovery of the economy is likely to improve the sentiment in the real estate
sector. Residential asset class shall continue to be the prime focus. If the RBI
does implement key policy rates cuts, cheaper home loans will significantly
improve the liquidity in the market.
Demand in Tier II cities is largely driven by the trend towards
A lot of new supply is expected to hit the market specially in NCR and Mumbai nuclear families, increasing disposable income, rising
regions in the near future as developers have been waiting for some time for aspiration to own quality products and the growth in
Residential the liquidity situation to improve. In December, DLF launched a 13 acre infrastructure facilities in these cities. Price appreciation is
project, SkyCourt in Gurgaon which was completely sold off. more concentrated to specific micro-markets in these cities.
Cities like Chandigarh, Jaipur, Lucknow, Ahmedabad, Bhopal,
On an average, projects with Rs. 4,000 – 5,000 per sq. ft. entry pricing with Nagpur, Patna and Cochin are expected to perform well.
good developers in Pune, Bangalore, NCR and Mumbai suburbs are expected
to see good percentage returns.
The recent increase of 5-30% in the Ready Reckoner values, used to calculate
the stamp duty cost, from January 1 by the Maharashtra Government may act
as the slight dampener for the Mumbai market.
Commercial asset class continues to be under pressure as most markets
continue to have an over-supply . Lease transactions are still slow as demand
has not yet revived. On an average, lease rentals have also not seen much
increase. Lower unsold inventory and smaller unit sizes have led to
Commercial/IT
stable lease rentals in Tier II cities.
However, specific pre-leased properties with good tenant profile and larger
lock-in periods may present good investment opportunities over a long-term
horizon.
16

17. Real Estate Outlook
Asset Classes Tier I Tier II
Government has recently approved 51% foreign
ownership in multi-brand retail and 100% in single-brand
retail. Entry of foreign retailers in the Indian markets may Tier II cities see a preference of hi-street retail as compared
infuse new enthusiasm in the sector and improve the to mall space in Tier I cities. While not much data on these
demand for retail space. rentals gets reported, these are expected to have been
stagnant.
Retail However, it will take a gestation period of at least an year
for this to translate into actaul offtake of space. In the The mall culture has repeatedly failed in the past n the
immediate near term, unsold invesntory levels continue Tier-2 cities. Whether the FDI in retail can change this
to be high levels and lease rentals stagnant. phenomenon can be known with more certainty once the
effect of FDI is more visible in Tier I cities.
Long term investments in retail space along pre-
eastblished hubs may be attractive.
As Tier I cities continue to grow, new proposed /
implemented infrastructure developments at the
Land in Tier II and III cities along upcoming / established
outskirts of these cities are making adjoining lands
Land growth corridors have seen good percentage appreciation
expensive and attracting a lot of investor attention.
due to low investment base in such areas.
Caution should however be exercised due to the
complexities typically involved in land investments.
Please Note:
Tier I* markets include Mumbai, Delhi & NCR, Bangalore, Pune, Chennai, Hyderabad and Kolkatta
Tier II* markets includes all state capitals other than the Tier I markets
The IC note is proposed to be presented every quarter
17

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18

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The information given in this document on tax are for guidance only, and should not be construed as tax advice. Investors are advised to consult their
respective tax advisers to understand the specific tax incidence applicable to them. We also expect significant changes in the tax laws once the new
Direct Tax Code is in force – this could change the applicability and incidence of tax on investments
Karvy Private Wealth (A division of Karvy Stock Broking Limited) operates from within India and is subject to Indian regulations.
Karvy Stock Broking Ltd. is a SEBI registered stock broker, depository participant having its offices at:
702, Hallmark Business plaza, Sant Dnyaneshwar Marg, Bandra (East), off Bandra Kurla Complex, Mumbai 400 051 .
(Registered office Address: Karvy Stock Broking Limited, “KARVY HOUSE”, 46, Avenue 4, Street No.1, Banjara Hills, Hyderabad 500 034)
SEBI registration No’s:”NSE(CM):INB230770138, NSE(F&O): INF230770138, BSE: INB010770130, BSE(F&O): INF010770131,NCDEX(00236,
NSE(CDS):INE230770138, NSDL – SEBI Registration No: IN-DP-NSDL-247-2005, CSDL-SEBI Registration No:IN-DP-CSDL-305-2005, PMS Registration No.:
INP000001512” 19

20. Contact Us
Bangalore 080-26606126
Chennai 044-45925923
Coimbatore 0422-4291018
Delhi 011-43533941
Gurgaon 0124-4780228
Hyderabad 040-44507282
Kochi 0484-2321831
Kolkata 033-40515100
Mumbai 022-33055000
Pune 020-30116238
Email: wealth@karvy.com SMS: ‘HNI’ to 56767 Website: www.karvywealth.com
Corporate Office : 702, Hallmark Business Plaza, Off Bandra Kurla Complex, Bandra (East), Mumbai – 400 051 20