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Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
Bond portfolio management
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Bond portfolio management

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Bond portfolio management

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  • 1. A Project Report on : "Bond Portfolio Management" 2011-2012 Submitted for the partial fulfillment of “Master of Business Administration” (MBA) of Maulana Azad National Institute of Technology, BhopalSubmitted To Submitted BySmt. Roli Pradhan Ankit Michael SamuelManagement Department 3rd Sem MBA,MANITMANIT BHOPAL(M.P)
  • 2. Bond Portfolio Management Finance AssignmentTable of Contents  Preface................................................................................................................  Acknowledgement............................................................................................  Certificate................................................................................................................ 1. Introduction......................................................................................................................... 2. Background Review.......................................................................................... 3. Research Design.......................................................................................... 4. Data Collection.......................................................................................... 5. Data Analysis.......................................................................................... 6. Data Interpretation.......................................................................................... 7. Finding And Conclusion.......................................................................................... 8. Bibliography ................................................................................................................ 9. Power Point Presentation.....................................................................................................Samuel, A.M ( NIT Bhopal Alumni ) Page 2Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 3. Bond Portfolio Management Finance Assignment PrefaceThis is a study and research based analytical project assignment. The main motive of theproject is to determine the relatedness of the parameters and the dependence of one over theother. The Trend followed by the bond of the company within a period of time and determiningits trend and co -relatedness and the dependence.Focusing mainly on the analysis and trend analysis of the a certain company and performingthe correlation and regression tests and results of the tests are helping in depicting the trendand evaluating the results of the objective.Samuel, A.M ( NIT Bhopal Alumni ) Page 3Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 4. Bond Portfolio Management Finance Assignment AcknowledgementI thank my guide Mrs. Roli pradhan for her prompt responses and the value added guidancethat she provided from time to time, that was very crucial and has immense effect in derivingthe objective and deciding the crux of the project.I feel a good and devoted guidance is must for better learning and innovative thinking. Thanksfor being my guide and supporting m in achieving my targets and objectives.How can i forget the support that i gained from my friends and family who helped me nourishand grow and train myself and achieve my targets ... Thanks a lot all my well wishers...Thanks..Samuel, A.M ( NIT Bhopal Alumni ) Page 4Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 5. Bond Portfolio Management Finance Assignment CertificateThis is to certify that Ankit Michael Samuel of Maulana Azad National Institute ofTechonology of Management Department has made a project report on "Bond PortfolioManagement". And did his research and analysis under the guidance of Mrs. Roli Pradhan andsuccessfully completed his research project assignment.Attested By:Ankit Michael Samuel - 102103107 (MBA- 3rd Sem Finance)Samuel, A.M ( NIT Bhopal Alumni ) Page 5Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 6. Bond Portfolio Management Finance AssignmentIntroductionIn finance, a bond is a debt security, in which the authorized issuer owes the holders a debt and,depending on the terms of the bond, is obliged to pay interest (the coupon) to use and/or torepay the principal at a later date, termed maturity. A bond is a formal contract to repayborrowed money with interest at fixed intervals.Thus a bond is like a loan: the holder of the bond is the lender (creditor), the issuer of the bond isthe borrower (debtor), and the coupon is the interest. Bonds provide the borrower with externalfunds to finance long-term investments, or, in the case of government bonds, to finance currentexpenditure. Certificates of deposit (CDs) or commercial paper are considered to be moneymarket instruments and not bonds.Bonds and stocks are both securities, but the major difference between the two is that (capital)stockholders have an equity stake in the company (i.e., they are owners), whereas bondholdershave a creditor stake in the company (i.e., they are lenders). Another difference is that bondsusually have a defined term, or maturity, after which the bond is redeemed, whereas stocks maybe outstanding indefinitely. An exception is a consol bond, which is a perpetuity (i.e., bond withno maturity).Corporate Bonds:A corporate bond is a bond issued by a corporation. It is a bond that a corporation issues toraise money in order to expand its business.[1] The term is usually applied to longer-term debtinstruments, generally with a maturity date falling at least a year after their issue date. (Theterm "commercial paper" is sometimes used for instruments with a shorter maturity.)Sometimes, the term "corporate bonds" is used to include all bonds except those issued bygovernments in their own currencies. Strictly speaking, however, it only applies to those issuedby corporations. The bonds of local authorities and supranational organizations do not fit ineither category.Corporate bonds are often listed on major exchanges (bonds there are called "listed" bonds) andECNs like Bonds.com and MarketAxess, and the coupon (i.e. interest payment) is usuallytaxable. Sometimes this coupon can be zero with a high redemption value. However, despitebeing listed on exchanges, the vast majority of trading volume in corporate bonds in mostdeveloped markets takes place in decentralized, dealer-based, over-the-counter markets.Some corporate bonds have an embedded call option that allows the issuer to redeem the debtbefore its maturity date. Other bonds, known as convertible bonds, allow investors to convertthe bond into equity.Samuel, A.M ( NIT Bhopal Alumni ) Page 6Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 7. Bond Portfolio Management Finance AssignmentCorporate Credit spreads may alternatively be earned in exchange for default risk through themechanism of Credit Default Swaps which give an unfunded synthetic exposure to similar riskson the same Reference Entities. However, owing to quite volatile CDS basis the spreads onCDS and the credit spreads on corporate bonds can be significantly different.Government bondIt is a bond issued by a national government denominated in the countrys own currency.Bonds are debt investments whereby an investor loans a certain amount of money, for a certainamount of time, with a certain interest rate, to a company or country. Bonds issued by nationalgovernments in foreign currencies are normally referred to as sovereign bonds. The first evergovernment bond was issued by the English government in 1693 to raise money to fund a waragainst France. It was in the form of a tontine.The most important features of a bond are: nominal, principal or face amount — the amount on which the issuer pays interest, and which, most commonly, has to be repaid at the end of the term. Some structured bonds can have a redemption amount which is different from the face amount and can be linked to performance of particular assets such as a stock or commodity index, foreign exchange rate or a fund. This can result in an investor receiving less or more than his original investment at maturity. issue price — the price at which investors buy the bonds when they are first issued, which will typically be approximately equal to the nominal amount. The net proceeds that the issuer receives are thus the issue price, less issuance fees. maturity date — the date on which the issuer has to repay the nominal amount. As long as all payments have been made, the issuer has no more obligation to the bond holders after the maturity date. The length of time until the maturity date is often referred to as the term or tenor or maturity of a bond. The maturity can be any length of time, although debt securities with a term of less than one year are generally designated money market instruments rather than bonds. Most bonds have a term of up to thirty years. Some bonds have been issued with maturities of up to one hundred years, and some do not mature at all. In the market for U.S. Treasury securities, there are three groups of bond maturities: o short term (bills): maturities between one to five year; (instruments with maturities less than one year are called Money Market Instruments) o medium term (notes): maturities between six to twelve years; o long term (bonds): maturities greater than twelve years. coupon — the interest rate that the issuer pays to the bond holders. Usually this rate is fixed throughout the life of the bond. It can also vary with a money market index, such as LIBOR, or it can be even more exotic. The name coupon originates from the fact that in the past, physical bonds were issued which had coupons attached to them. On coupon dates the bond holder would give the coupon to a bank in exchange for the interest payment.Note: The interest rate that the issuer of a bond must pay is influenced by a variety of factors,such as current market interest rates, the length of the term and the creditworthiness of theissuer.Samuel, A.M ( NIT Bhopal Alumni ) Page 7Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 8. Bond Portfolio Management Finance AssignmentBond MarketThe bond market (also known as the credit, or fixed income market) is a financial marketwhere participants buy and sell debt securities, usually in the form of bonds. As of 2009, thesize of the worldwide bond market (total debt outstanding) is an estimated $82.2 trillion, ofwhich the size of the outstanding U.S. bond market debt was $31.2 trillion according to BIS (oralternatively $34.3 trillion according to SIFMA).Nearly all of the $822 billion average daily trading volume in the U.S. bond market takes placebetween broker-dealers and large institutions in a decentralized, over-the-counter (OTC)market. However, a small number of bonds, primarily corporate, are listed on exchanges.References to the "bond market" usually refer to the government bond market, because of itssize, liquidity, lack of credit risk and, therefore, sensitivity to interest rates. Because of theinverse relationship between bond valuation and interest rates, the bond market is often used toindicate changes in interest rates or the shape of the yield curve.Types of bond marketsThe Securities Industry and Financial Markets Association (SIFMA) classifies the broaderbond market into five specific bond markets. Corporate Government & agency Municipal Mortgage backed, asset backed, and collateralized debt obligation FundingBond market volatilityFor market participants who own a bond, collect the coupon and hold it to maturity, marketvolatility is irrelevant; principal and interest are received according to a pre-determinedschedule.But participants who buy and sell bonds before maturity are exposed to many risks, mostimportantly changes in interest rates. When interest rates increase, the value of existing bondsfalls, since new issues pay a higher yield. Likewise, when interest rates decrease, the value ofexisting bonds rises, since new issues pay a lower yield. This is the fundamental concept ofbond market volatility: changes in bond prices are inverse to changes in interest rates.Fluctuating interest rates are part of a countrys monetary policy and bond market volatility isa response to expected monetary policy and economic changes.Economists views of economic indicators versus actual released data contribute to marketvolatility. A tight consensus is generally reflected in bond prices and there is little pricemovement in the market after the release of "in-line" data. If the economic release differs fromthe consensus view the market usually undergoes rapid price movement as participantsSamuel, A.M ( NIT Bhopal Alumni ) Page 8Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 9. Bond Portfolio Management Finance Assignmentinterpret the data. Uncertainty (as measured by a wide consensus) generally brings morevolatility before and after an economic release. Economic releases vary in importance andimpact depending on where the economy is in the business cycle.Bond market indexA bond market index is a composite listing of bonds or fixed income instruments and a statisticreflecting the composite value of its components. It is used as a tool in the portfoliomanagement process to represent the aggregate characteristics of the underlying securities.Bond Market AnalysisBond Market Analysis provides help to the investors to plan out their investing policy beforemaking any major investment. The Bond Market Analysis also helps people to get themselvesaware about the market and also try to show them the way they would move. Bond MarketAnalysis mainly depends on the bonds performances in particular and the index also helps itgenerally.Bond Market Index plays a major role while the Bond Market Analysis is on. It actually givesthe overall scenario of the market and shows whether the market is running on a high orslowing down considerably. So it is important to conduct Bond Market Analysis beforeentering bond market to save oneself from facing losses.What are Corporate Bonds?A corporate bond is a bond issued by major corporations and can be divided into five majorgroups: industrials, transportations, utilities, banks and other finance companies, and finallyinternational. Bonds issued from the industrial sector would include manufacturing, mining,and retail oriented companies. Transportation bonds would then be issued by airlines, truckingcompanies, and even railroads. Utilities would include companies which would fall into thefollowing groups; water, electric, and telephone. International bonds would be issued by foreignentities such as foreign countries, municipalities, and agencies.Samuel, A.M ( NIT Bhopal Alumni ) Page 9Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 10. Bond Portfolio Management Finance AssignmentBackground ReviewConsidering TCS as the company of choice for analysis of bond. Lets gather some informationabout the TCS.Tata Consultancy Services Limited (TCS) (BSE: 532540, NSE: TCS) is an Indian ITservices, business solutions and outsourcing company headquartered in Mumbai, India. It is thelargest provider of information technology in Asia and second largest provider of businessprocess outsourcing services in India.[2][3] TCS has offices in over 42 countries with more than145 branches across the globe and is a subsidiary of textiles and manufacturing conglomerateTata Group. History It began as the "Tata Computer Centre", for the company Tata Group whose main business was to provide computer services to other group companies. F C Kohli was the first general manager. J. R. D. Tata was the first chairman, followed by Pankaj Roy. One of TCS first assignments was to provide punched card services to a sister concern, Tata Steel (then TISCO). It later bagged the countrys first software project, the Inter-Branch Reconciliation System (IBRS) for the Central Bank of India.[4] It also provided bureau services to Unit Trust of India, thus becoming one of the first companies to offer BPO services. In the early 1970s, Tata Consultancy Services began exporting its services. The company pioneered the global delivery model for IT services with its first offshore client in 1974. TCSs first international order came from Burroughs, one of the first business computer manufacturers. TCS was assigned to write code for the Burroughs machines for several US-based clients.[5] This experience also helped TCS bag its first onsite project - the Institutional Group & Information Company (IGIC), a data centre for tenSamuel, A.M ( NIT Bhopal Alumni ) Page 10Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 11. Bond Portfolio Management Finance Assignment banks, which catered to two million customers in the US, assigned TCS the task of maintaining and upgrading its computer systems.[5]HistoryBombay House, the head office of Tata GroupIn 1981, TCS set up Indias first software research and development centre, the Tata ResearchDevelopment and Design Center (TRDDC) in Pune.[6] The first client-dedicated offshoredevelopment center was set up for Compaq (then Tandem) in 1985.In 1979, TCS delivered an electronic depository and trading system called SECOM for SISSegaInterSettle, Switzerland. It was by far the most complex project undertaken by an IndianIT company. TCS followed this up with System X for the Canadian Depository System andalso automated the Johannesburg Stock (JSE).[7] TCS associated with a Swiss partner, TKSTeknosoft, which it later acquired.[8]In the early 1990s, the Indian IT outsourcing industry grew tremendously due to the Y2K bugand the launch of a unified European currency, Euro. TCS pioneered the factory model for Y2KSamuel, A.M ( NIT Bhopal Alumni ) Page 11Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 12. Bond Portfolio Management Finance Assignmentconversion and developed software tools which automated the conversion process and enabledthird-party developers and clients to make use of it.[9]In 1999, TCS saw outsourcing opportunity in E-Commerce and related solutions and set up itsE-Business division with ten people. By 2004, E-Business was contributing half a billion dollars(US) to TCS.[10]On 9 August 2004, TCS became a publicly listed company,[11] much later than its rivals,Infosys, Wipro and Mahindra Satyam.During 2005, TCS ventured into a new area for an Indian IT services company -Bioinformatics.[12]In 2008, the company went through an internal restructuring exercise that executives claimwould bring about agility to the organization.[13]In 2011, the company entered the Small and medium enterprises (SME) market with cloud-based offerings.[14]Operations & AcquisitionsTata Consultancy Services campus at Lucknow, IndiaSamuel, A.M ( NIT Bhopal Alumni ) Page 12Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 13. Bond Portfolio Management Finance AssignmentTata Consultancy Services at Madhapur, HyderabadIndian branchesTCS had development centres and/or regional offices in the following Indian cities:Ahmedabad, Baroda, Bangalore, Bhubaneswar, Chennai, Coimbatore, Goa, Gurgaon, Guwahati,Kochi, Madurai, Kolkata, Lucknow, Mumbai, Mangalore, Noida, Pune, Thiruvananthapuram,Jaipur, Jalandhar, New Delhi, Jamshedpur, Hyderabad, now in Indore in 2012[15][16]Global unitsAfrica: South Africa, Morocco[17]Asia (Outside India): Bahrain, Beijing,[18] Hong Kong, Hangzhou, Shanghai, Indonesia, Israel,Japan, Malaysia, Philippines,[19] Saudi Arabia, Singapore, South Korea, Taiwan, Thailand, UAE()[20]Australia: AustraliaEurope: Belgium, Denmark, Finland, France, Germany, Hungary, Iceland, Ireland, Italy,Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, United KingdomNorth America: Canada, Mexico, USASouth America: Argentina, Brazil, Chile, Colombia, Ecuador, Uruguay, Peru[21]Innovation and R&DTata Research Development and Design CenterTCS established the first software research center in India, the Tata Research Developmentand Design Center, in Pune, India in 1981. TRDDC undertakes research in Softwareengineering, Process engineering and Systems Research.Researchers at TRDDC also developed Master-Craft (now called TCS Code GeneratorFramework [22]) a Model Driven Development software that can automatically create codebased on a model of a software, and rewrite the code based on the users needs.[23]Research at TRDDC has also resulted in the development of Sujal, a low-cost water purifierthat can be manufactured using locally available resources. TCS deployed thousands of thesefilters in the Indian Ocean Tsunami disaster of 2004 as part of its relief activities.[24] Thisproduct has been marketed in India as Tata swach, a low cost water purifier.[25]Samuel, A.M ( NIT Bhopal Alumni ) Page 13Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 14. Bond Portfolio Management Finance AssignmentList of acquisitionsThe table below gives some details of TCS key acquisitionsSamuel, A.M ( NIT Bhopal Alumni ) Page 14Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 15. Bond Portfolio Management Finance AssignmentTCS BPOTCS BPO is the second leading player in the outsourcing industry in India behind Genpactaccording to Dataquest survey in August 2011.[36] TCSs BPO arm had revenues of $925million in the year that ended in March, and 34,000 employees[37] Other than major Indiancities, TCS BPO is also present in Tier-II locations like Kolkata and Pune. TCS is alsoexpanding its BPO centre in Kolkata, where it already employs 2,000 people.[38] TataConsultancy Services has opened a business process outsourcing facility in the Philippinesfollowing the path of India-based BPO companies which have operations in that country.[39]US Visa ProgramTCS was the fourth largest visa recipient in 2008, preceded by Infosys, Wipro and MahindraSatyam.[40]Recent news and developments in TCSTata Consultancy Services has managed to receive ten large deals.[41]TCS is planning to hire60,000 Employees in Financial year 2011-2012 [42] TCS has got contract from Credit UnionAustralia.[43] Countrys largest software firm Tata Consultancy Services (TCS) has received amulti-year, multi-million dollar contract to provide application support, maintenance anddevelopment services from US-based Air Liquide.[44] TCS is going to open its first office inMadhya Pradesh in Indore worth Rs.1000 crores. The 100 acre project, expected to beoperational by 2013, will employ more than 25000 people directly and equal number indirectly.This project is the first and the biggest IT project of the state and would play a vital role in thedevelopment of Indore.[45]EmployeesTCS is one of the largest private sector employers in India with a core strength 202,039individuals.[46] TCS has turned into the second-largest employer among listed companies afterCoal India Limited.But the biggest employer in the country is Indian Railways with 16 lakhsemployees.[47] TCS has one of the lowest attrition rates in the Indian IT industry.[48] In thepast and in the present, TCS has been criticised by its employees in Public forums on itsAppraisal and Promotion policies.[49]TCS Journey in a bookA book titled The TCS Story... and Beyond published by the Penguin Group,was authored byS Ramadorai, now TCS’s Vice-chairman and launched in September 2011.The book covers the43 years journey of TCS.[50]RecognitionAs a brand, TCS is the 76th Most Trusted Brand according to The Brand Trust Report, 2011.Samuel, A.M ( NIT Bhopal Alumni ) Page 15Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 16. Bond Portfolio Management Finance AssignmentResearch DesignSamuel, A.M ( NIT Bhopal Alumni ) Page 16Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 17. Bond Portfolio Management Finance AssignmentSamuel, A.M ( NIT Bhopal Alumni ) Page 17Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 18. Bond Portfolio Management Finance AssignmentData CollectionSamuel, A.M ( NIT Bhopal Alumni ) Page 18Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 19. Bond Portfolio Management Finance AssignmentSamuel, A.M ( NIT Bhopal Alumni ) Page 19Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 20. Bond Portfolio Management Finance Assignment Data AnalysisY/E Sales 2 yearly Deviation of Square PAT 2 Deviation Square x 1y1Mar (Rs moving actual values of (Rs yearly of actual of mn) average from moving scaled mn) movin values scaled X x;x1=x/1000 deviatio g from deviatio 0 n averag moving n eY y;y1=y/10 x 1 ^2 0 y1 ^22010 30028 - - 68729 - - - 92011 37324 336767 - 86829 18100 - - 52012 47982 426535 89768 80.62 10457 17745 -355 12.6025 1016E 5 42013 57682 528323. 101788.5 103.61 12194 17373 -372 13.8384 1433.8E 2 5 7 ∑ ∑y1^2= ∑x1y1= x1^2= 184.23 26.4409 2449.8 Now, r = ∑x1y1 -------------------------------- = 2449.8/(184.23*26.4409) = 0.5029 √∑x1^2√∑y1^2 Thus it has +tive correlation and thus it is probable and related. Samuel, A.M ( NIT Bhopal Alumni ) Page 20 Email: ankit.samuel84@gmail.com Linkedin: http://in.linkedin.com/in/ankitsamuel Facebook: http://facebook.com/ankit.m.samuel
  • 21. Bond Portfolio Management Finance AssignmentCalculation of Regression Equation of y1 on x1.x1 x 1 ^2 y1 y 1 ^2 x 1 y18.98 80.62 -3.55 12.60 106010.18 103.61 -3.72 13.84 1433.8∑x1= ∑x1^2=184.23 ∑y1= ∑y1^2=26.44 ∑x1y1=2493.819.16 -7.27Y-Y = r Std y (X-X) ------------ Std xY= ∑y1/N = -7.27/2 = -3.635X= ∑x1/N= 19.16/2= 9.58r Std y/Std x = N∑x1y1- ∑x1 ∑y1 --------------------------------- = 2* 2493.8 - 19.16 * (-7.27) N∑x1^2 - (∑x1)^2 -------------------------------- =5126.89/1.3544 2* 184.23 - (19.16)^2 = 3785.35883Y = -3.635+ 3785.36(X-9.58)Y = -36267.3838 + 3785.36 XY(39000) = 147592772.6 .Conclusion:The Deviation of Y value is too large from the range thus they are not dependent oneach other.Samuel, A.M ( NIT Bhopal Alumni ) Page 21Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 22. Bond Portfolio Management Finance AssignmentData Interpretation 600000 500000 400000 300000 200000 2010 100000 2013E 0 2012E 2011 2011 2012E 2010 2013ESamuel, A.M ( NIT Bhopal Alumni ) Page 22Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 23. Bond Portfolio Management Finance AssignmentFinding And ConclusionThe parameters of Sales and PAT are correlated but are not dependent on each other. Thus inbonds trend analysis the trends may forecast a correlation but they are interlinked or show apattern of dependency. It is the net flow of investments that decides the flow of bull and bearmarket.Samuel, A.M ( NIT Bhopal Alumni ) Page 23Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 24. Bond Portfolio Management Finance AssignmentBibliography abcde 1. ^ "2010 Form 10-K, TCS". Hoovers. http://www.hoovers.com/company/Tata_Consultancy_Services_Limited/rfykhji-1-1njea5.html. 2. ^ "NASSCOM List". Press Release. NASSCOM. 2006-01-23. http://www.nasscom.in/Nasscom/templates/NormalPage.aspx?id=59704. Retrieved 2009-02-13. 3. ^ "Top 20 IT services exports firms in India". Business.rediff.com. http://business.rediff.com/slide- show/2010/jul/19/slide-show-1-tech-top-20-it-companies-of-india.htm#contentTop. Retrieved 2010-08- 12. 4. ^ "Tata Consultancy Services Limited: The Pioneer in the Indian IT Industry". Case Study. ICMR. 1990-01- 01. http://www.icmrindia.org/casestudies/catalogue/Business%20Strategy2/Tata%20Consultancy%20Service s%20Limited%20The%20Pioneer%20in%20the%20Indian%20IT%20Industry.htm. ab 5. ^ "Tata Consultancy Services Limited: The Pioneer in the Indian IT Industry". Case Study. ICMR. 1990- 01-01. http://www.icmrindia.org/casestudies/catalogue/Business%20Strategy2/Tata%20Consultancy%20Service s%20Limited%20Indian%20IT%20Industry.htm. 6. ^ Kanavi, Shivanand (7–20 June 2004). "Megasoft". Business India: 46–54 7. ^ "Indian software keeps Swiss securities safe". Swissinfo.com. 2002-01-14. http://www.swissinfo.ch/eng/archive.html?siteSect=883&sid=957178&ty=st. 8. ^ "TCS acquires TKS Teknosoft". The Financial Express. 11 January 2006. http://www.financialexpress.com/news/tcs-acquires-swiss-firm-tksteknosoft/182435/. 9. ^ "IT Man of the Year: Standing Tall". Cover Story. Dataquest India. 2004-12-22. http://dqindia.ciol.com/content/top_stories/2004/104122201.asp. 10. ^ Kanavi, Shivanand (7–20 June 2004). "Megasoft". Business India: 52 11. ^ "Star Performer Goes Public". Editorial (Chennai, India: The Hindu). 2004-06-14. http://www.hindu.com/2004/06/15/stories/2004061502001000.htm. 12. ^ "TCS launches the country’s first bioinformatics product". The Indian Express. 8 February 2004. http://www.expresscomputeronline.com/20040802/indianews03.shtml. 13. ^ "Eye on future, TCS in revamp mode". Hindustan Times. 12 February 2008. http://www.hindustantimes.com/StoryPage/StoryPage.aspx?sectionName=NLetter&id=c96ab585-b99a- 4521-9939- 18d8253cf710&MatchID1=4924&TeamID1=4&TeamID2=2&MatchType1=1&SeriesID1=1244&PrimaryID=4 924&Headline=Eye+on+future%2c+TCS+in+revamp+mode. 14. ^ "TCS targets SME market with cloud computing". Computer Weekly. 15 February 2011. http://www.computerweekly.com/Articles/2011/02/15/245449/TCS-targets-SME-market-with-cloud- computing.htm.fdaf 15. ^ http://abhisays.com/sofware-companies/office-locations-of-tcs-in-india.html 16. ^ http://www.tcs.com/worldwide/india/Pages/default.aspx 17. ^ "TCS plans Morocco foray with 500-strong unit". Express Online. 12 October 2006. http://www.expressindia.com/news/fullstory.php?newsid=78005. 18. ^ "China Joint Venture with Tata Consultancy Services". China Economic Review. 2007-12-18. http://www.chinaeconomicreview.com/it/2007/09/18/china-joint-venture-with-tata-consultancy- services.html. 19. ^ [1] 20. ^ http://www.tcs.com/worldwide/middle_east_africa/locations/uae/Pages/default.aspx 21. ^ "TCS bets on growing economy of Peru". Times of India. 2010-07-25. http://timesofindia.indiatimes.com/business/TCS-bets-on-growing-economy-of- Peru/articleshow/6213917.cms.Samuel, A.M ( NIT Bhopal Alumni ) Page 24Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 25. Bond Portfolio Management Finance Assignment [dead link] 22. ^ [2] 23. ^ "When Outsourcing Loses Human Element". International Herald Tribune. 2005-05-27. http://www.iht.com/articles/2005/05/26/business/tata.php. 24. ^ "Improving Our World - IEEE Annual Report(page 4)". IEEE. 2005. http://www.ieee.org/portal/cms_docs_iportals/iportals/aboutus/annualreport/2005/IEEE-AR05- Section1.pdf. 25. ^ "Tata launches ‘Swach’ water filters". Deccanherald.com. http://www.deccanherald.com/content/40000/tata-launches-swach-water-filters.html. Retrieved 2010- 08-12. 26. ^ "Tata Consultancy Services To Acquire Citigroup Global Services for $505 million". CIOL. 2008-10-08. http://www.ciol.com/News/Mergers-and-acquisition/News-Reports/TCS-acquires-Citigroup-Global- Services-for-$505-mn/81008111295/0/. 27. ^ "TCS acquires Swiss firm TKS-Teknosoft". Financial Express. 11-01-2006. http://www.financialexpress.com/news/tcs-acquires-swiss-firm-tksteknosoft/182435/. 28. ^ "TCS Buys Comicrom for $23M". Red Herring. 11-07-2005. http://www.redherring.com/Home/14363. 29. ^ "Tata Infotech to merge with TCS". Silicon India. 2005-07-18. http://www.siliconindia.com/shownews/Tata_Infotech_to_merge_with_TCS-nid-28806.html. 30. ^ "TCS stakes its claim in BPO with Diligenta". Ovum. 04-2006. http://www.ovum.com/go/content/c,64433. 31. ^ "TCS acquires IT consultancy firm for A$15m". ITWire.com. 11-12-2006. http://www.itwire.com/content/view/7061/598/. 32. ^ "Tata acquires Phoenix India arm". ComputerWeekly.com. 05-11-2004. http://www.computerweekly.com/Articles/2004/05/11/202355/tata-acquires-phoenix-india-arm.htm. 33. ^ "TCS buys out Singapore Airlines stake in ASDC". Chennai, India: The Hindu. 03-10-2004. http://www.hindu.com/2004/03/10/stories/2004031003241500.htm. 34. ^ "TCS buys 75.1% stake in AFS from Swissair". Rediff.com. 05-06-2003. http://www.rediff.com/money/2003/may/06tcs.htm. 35. ^ "TCS TCS oulines vision for CMC". Chennai, India: The Hindu. 2001-10-18. http://www.hindu.com/thehindu/2001/10/18/stories/06180008.htm. 36. ^ http://www.rediff.com/business/slide-show/slide-show-1-tech-indias-top-20-bpo- companies/20110823.htm 37. ^ Tripathy, Devidutta (24 August 2011). "India TCS outsourcing chief sees no impact of global crisis". Reuters. http://www.reuters.com/article/2011/08/24/idUSL4E7JN15N20110824. 38. ^ http://www.business-standard.com/india/news/tcs-to-open-2000-people-bpo-centre/446963/ 39. ^ http://www.ibtimes.com/articles/88322/20101203/tata-consultancy-services-bpo-shop-in-manila- philippines.htm 40. ^ "Indian Firms, Microsoft Top H-1B List". News. Businessweek. 2009-02-24. http://www.businessweek.com/technology/content/feb2009/tc20090223_946195.htm?chan=rss_topSto ries_ssi_5. 41. ^ http://www.topnews.in/tcs-bags-10-new-large-deals-2259153 42. ^ http://www.hyderabadwalkins.in/news/295-tcs-to-hire-60000-employees-in-financial-year-2011-2012 43. ^ http://www.moneycontrol.com/news/buzzingstocks/tcsgetscontractcreditunionaustralia;stockup_532351 .html 44. ^ The Times Of India. http://economictimes.indiatimes.com/tech/ites/tcs-bags-multi-million-dollar- contract-from-air-liquide/articleshow/7843270.cms. 45. ^ The Times Of India. http://timesofindia.indiatimes.com/city/indore/TCS-project-finally-sees-the-light-of- the-day/articleshow/9792437.cms. 46. ^ "Jacob Antony". Jacobantony.com. 2011-07-22. http://www.jacobantony.com/tcs-employee-strength- crosses-2-lakhs/. Retrieved 2011-07-22. 47. ^ http://www.telegraphindia.com/1110509/jsp/business/story_13957686.jspSamuel, A.M ( NIT Bhopal Alumni ) Page 25Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 26. Bond Portfolio Management Finance Assignment 48. ^ "TCS Delivers Growth, Maintains Operating Margins in Q1; Revenues at $1.5b, Up 21%...". Reuters. 2008-07-16. http://www.reuters.com/article/pressRelease/idUS143871+16-Jul-2008+PRN20080716. Retrieved 2010-07-16. 49. ^ "TCS Employee discussions on Appraisal,HR policies". Dexternights. 2010-03-10. http://www.dexternights.com/2010/03/20/tcs-to-increase-the-share-of-band-d-ahead-of-annual-hike/. Retrieved 2011-01-10. 50. ^ http://business-standard.com/india/news/no-one-ever-wrotebook-about-tcs/449412/Samuel, A.M ( NIT Bhopal Alumni ) Page 26Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 27. Bond Portfolio Management Finance AssignmentPower Point Presentation Bond Portfolio Management IntroductionSamuel, A.M ( NIT Bhopal Alumni ) Page 27Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 28. Bond Portfolio Management Finance Assignment Corporate Bonds Government BondsSamuel, A.M ( NIT Bhopal Alumni ) Page 28Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 29. Bond Portfolio Management Finance Assignment Features of a Bond Bond MarketSamuel, A.M ( NIT Bhopal Alumni ) Page 29Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 30. Bond Portfolio Management Finance Assignment Market Volatility Others ….Samuel, A.M ( NIT Bhopal Alumni ) Page 30Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 31. Bond Portfolio Management Finance Assignment Tata Consultancy Ltd… Financial Data …Samuel, A.M ( NIT Bhopal Alumni ) Page 31Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel
  • 32. Bond Portfolio Management Finance Assignment Data Interpretation… 600000 500000 400000 300000 200000 2010 2011 100000 2013E 2012E 0 2012E 2013E 2011 2010 Conclusion…Samuel, A.M ( NIT Bhopal Alumni ) Page 32Email: ankit.samuel84@gmail.comLinkedin: http://in.linkedin.com/in/ankitsamuelFacebook: http://facebook.com/ankit.m.samuel

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