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Investment
Sectors In
India 2010
The report isabout the differentinvestmentsectorsinIndia,factorsaffecting
the investmentt...
TABLE OF CONTENTS
 INDIAN ECONOMIC OVERVIEW
 AN INTRODUCTION TO INVESTMENT SECTOR
o BANK FIXED DEPOSITS
o LIFE INSURANCE...
Indian Economic Overview
India’s financial market has been one on the centre stage since a decade with
it being one of the...
which offer very high interest rate but they may vanish after some time
loosing all the invested money.
Savings have been ...
Real Estate/Property
Property prices in major Indian cities are doubling in every 2-3 years so
investing in property is a ...
mutual funds. When you buy gold as ornaments you will loose money as
making charges and wastage.
But in the present market...
As the global media transformed from black & white to colours, the
financial(investment) market has changed its facet to d...
Factors Impacting the Debt Market
so many factors influencethe debt market and the followingare the most
prominentamongthe...
EQUITIES MARKET
The history of Indian stock markets dates back to nearly 200 years. Stock
exchanges spread their roots in ...
Particulars 2006-07 2007-08 2008-09 9-Aug 9-Sept
Percentage
change over
the
previous
month(col.6
over col5)
1 2 3 4 5 6 7
...
CURRENCY MARKET
The Foreign Exchange market is the largest and the most liquid market in the
world. The roots of trading o...
restrictions in medium-term framework. Since then, foreign exchange market
has acquired immense participation, depth, and ...
MUTUAL FUND INDUSTRY
Indian mutualfundsin Indiacommenced operationsin 1964 as an initiative of
the Indian government and R...
INVESTORS
FUND
MANAGERS
SECURITIES
RETURNS
INVESTORSPOOL
FUNDS WITH
FUND MANAGERS
SECURITIES
GENERATE RETURNS
FUND MANAGER...
COMMODITY MARKET
History of trading in commodities in India dates back to several centuries. But
organized futures market ...
Silver(in
tones)
India (mcx) 300672.1 306792 393750.80 14.44%
Copper (in
tones)
Global 529396400 768775300 713889800 16.12...
number of FDI related projectsstood at 1,171. Thelevelof investmentin 2007
stood at US$90 billion in comparison to the US$...
other oil rich countries that have had overseas companies investing in them in
order to tap the unlimited oil resources at...
Cumulative amount ofFDI Inflows (Upto
April 2009)
4,04,728 92,158
SOURCE:DIPP, Federal Ministry of Commerce & Industry,
Go...
Major Investment Projects in India
Now since the investment market has grown many foldsthan what it was a
decadeago, it wo...
Maharashtra, Goa, AndhraPradeshand Karnataka that produces a total of 941
MW of electrical energy.
Projects of Reliance En...
Bharti Enterprises and Wal-Mart Stores, Inc. have signed an agreement to
establish Bharti Wal-Mart Private Limited, a join...
Conclusion
Overall the investment in different sectors shows an uprising trend, thus
implying the growth in economy. The i...
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Investment sectors in india

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Investment sectors in india

  1. 1. Investment Sectors In India 2010 The report isabout the differentinvestmentsectorsinIndia,factorsaffecting the investmenttrendsinthe respectiveinvestmentsectors,andthe three majorinvestmentprojectsrunningcurrentlyinIndia. Anamika Tarafadar M090700007 Source of Information: FTKMC knowledge books.
  2. 2. TABLE OF CONTENTS  INDIAN ECONOMIC OVERVIEW  AN INTRODUCTION TO INVESTMENT SECTOR o BANK FIXED DEPOSITS o LIFE INSURANCE o REAL ESTATE/PROPERTY o POSTAL SAVING SCHEMES o GOLD o SHARES AND MUTUAL FUNDS o NSC AND PPF o BONDS, CHIT FUNDS AND COMPANY FD’S  DEBT MARKET o FACTORS IMPACTING DEBT MARKET  EQUITIES MARKET o FACTORS IMPACTING EQUITY MARKET  CURRENCY MARKET o FACTORS IMPACTING CURRENCY MARKET  MUTUAL FUND INDUSTRY o FACTORS IMPACTING MUTUAL FUND INDUSTRY  COMMOTDITY MARKET o FACTORS IMPACTING COMMODITY MARKET  FOREIGN DIRECT INVESTMENT o An overview o Determinants of foreign direct investments  MAJOR INVESTMENT PROJECTS IN INDIA o VIRGIN INDIA o RELIANCE POWER PROJECT o BHARTI WALMART  CONCLUSION  REFERENCES
  3. 3. Indian Economic Overview India’s financial market has been one on the centre stage since a decade with it being one of the fastest growing economies in the world. The last decade has witnessed a large evolution of the Indian market becoming one of the strongest economies, standing head high even in the times of global crisis. India has been one of the best performers in the world economy in recent years, but rapidly rising inflation and the complexities of running the world’s biggest democracy are proving challenging. India’s economy has been one of the stars of global economics in recent years, growing 9.2% in 2007 and 9.6% in 2006. Growth had been supported by markets reforms, huge inflows of FDI, rising foreign exchange reserves, both an IT and real estate boom, and a flourishing capital market. Introduction to INVESTMENT SECTORS in India Investment has been a tool for the individuals or groups to convert their static money into a dynamic asset, giving them returns higher than the principle or n times the principle. In today’s market scenario it has become mandatory to invest your money purposefully in the market in order to get high returns. Investing wisely is an important part of financial security. Invest money as early as possible so that the money will grow accordingly in your lifetime. Today Indian youths are well paid compared to last decades thanks to Information Technology, ITES like BPO, Call Center and overall strong economy. So people are able to save more money. Choosing a wise investment is very crucial because there has to be a balance between the risks and returns. For example many people invest private firms
  4. 4. which offer very high interest rate but they may vanish after some time loosing all the invested money. Savings have been on the Indian blood since decades and to make this saving dynamic, benefiting the economy, giving it the impetus to grow, investment was given the right robust during 80’s in India by the then finance minister Mr.Manmohan Singh,letting the citizens an opportunity to get the tax benefits(subsequently a chance to convert the black money into white money), thus creating mobilization in the economy and since then India has never looked back. Here are some major investment options popular in India. Bank Fixed Deposits This is a very common investment method. Risk is very less compared to other type of investments but return also not very high. Interest rate varies from bank to bank and depends on the scheme you choose. Tenure can be anything between 15 days to 5 years. All leading nationalized, private and co- operative banks offer fixed deposits. Different banks have different schemes and features like easy FD, cash certificate, auto renewal, free credit card with FD etc. Life Insurance This is another important investment option in India. Life insurance Corporation of India, a Government of India undertaking is the market leader followed by private players like ICICI Prudential Life Insurance, Bajaj Alliance Life Insurance, HDFC Standard Life, Birla Sunlife, Kotak Mahindra, Reliance Life Insurance, Tata AIG Life, Aviva Life Insurance etc. The life insurance/insurance sector is yet to see the robust growth in its market as the current scenario suggests that more than 60%(approx) of the Indian population is still untouched by this particular kind of investment.
  5. 5. Real Estate/Property Property prices in major Indian cities are doubling in every 2-3 years so investing in property is a good idea. Investing in property is also a safe investment with good returns. Buy a flat, property or individual house is a prime area or suburbs of main cities and it will appreciate well in another few years. Getting a housingloan is not very difficultthese days. Investin property in main cities like Mumbai, Delhi, Chennai, Bangalore, Hyderabad, Calcutta, Kochi etc. India is viewed by many as having great potential for real estate investment, with both domestic and international firms raising private equity real estate funds targeting the region. Postal Saving Schemes Apartfrom postal services like delivering letters, registers, parcels and money orders Postal department of India offers financial services like recurring deposit, postal life insurance, saving account and national saving certificate. The past generation had a strong belief in this kind of low dynamicinvestment and they had a view that their money is safe in this investment than nowhere else. Gold Investing in gold is another good option for long term. Normally gold appreciate about 17% per year. It is a very good return when inflation is about 4 to 6%. When investing in gold it is better to invest in gold coins or gold
  6. 6. mutual funds. When you buy gold as ornaments you will loose money as making charges and wastage. But in the present market scenario the gold is traded as a commodity and it was, is and will be seen and recognized as a major sector of investment by Indians. Shares and Mutual Funds Investing in Shares and Mutual Funds are risky options but return is more. You will have to study about the company well before investing. To invest in shares you have to start a demat account first. If you have enough time to spend they study about the companies and invest wisely otherwise invest in mutual funds. National Saving Certificate and Public Provident Fund NSCs and PPFs are safe and secure investment method but return is less compared to current bank interest rates and share market returns. Bonds, Chit Funds and Company FDs Other possible investment options are bonds, chit funds and company FDs. Some chit funds and company FDs offer high interest rates but may vanish after some times. So be careful while investing in such firms. These are the few investment sectors which have been in the lime light a half decade ago. Now the investment scenario has changed its position globally, with drastic change in investment trend and shift from the primitive investment tools to the novice global financial instruments, for instance the derivatives, futures and options and commodity exchange market.
  7. 7. As the global media transformed from black & white to colours, the financial(investment) market has changed its facet to distinguished CURRENCY MARKET, COMMODITY MARKET, DEBT MARKET, EQUITY MARKET and EQUITY DERIVATIVES MARKET and new terminologies. Let’s have a brief look on these markets and the factors impacting the investment in each of these markets. The Debt Market The debt marketin India, the governmentsecurities marketin particular, dates back to 1859 when the British govt. took over the East IndiaCompany. The governmenthasbeen issuing debt instrumentsboth before and after independence. Corporatebonds, mainly debentures, werebeingissued by companiesof good standingin the pre-war and post-war years. Lending institutions wereset up during196-70asthere was a decline in corporate bond issues duringthe period. These institutions supplied the bulk of the medium-term and long-term fundingrequirementsof the privatesector. The corporate bond marketrevived in 1980’sand, today, there is a well- segmented debt market in Indiacomprisingthe governmentsecurities(G- secs) market, corporate bond marketand money market. The debt marketplays a pivotalrole in the economy as it helps in efficient mobilization and allocation of resourcesin the economy, besidesfinancingthe developmentactivities of the govt. It transmits signals for implementation of the monetary policy and facilitates liquidity managementin tune with the overall short-term and long-term objectives. The securities are used as an instrumentfor raising debt. The returnson g-secs are normally taken as the benchmark rates of returns and are referred to as the risk-free return in financial theory.
  8. 8. Factors Impacting the Debt Market so many factors influencethe debt market and the followingare the most prominentamongthem  Sound fiscal and monetary policy  Effective legal, taxation and regulatory infrastructure  Competitive market structure  Low transaction cost  Low levelsof fragmentations  Robust marketinfrastructure  High level of heterogeneity amongmarket participants  Liberalized financialsystem with competing intermediaries  Diversified investor base-the more investors, the moretradingactivity  Availability of hedging instrumentssuchas interest rate futuresand swaps  Reliable benchmark yield curveto pricelong term risk  Robust clearing and settlement system  Availability of publicinformation to assess credit quality Bond Market (exchange traded) 2004 2005 2006 2007 2008 2009 Value of bond trading(US D million) Globa l 11,644,37 1 13,003,06 2 14,04,070. 3 15,155,407. 7 19,004,464. 1 13.03 % India 209,097 141,269.6 0 46,378.80 59,960.80 68,619.70 24.31 % source:ftkmc 1
  9. 9. EQUITIES MARKET The history of Indian stock markets dates back to nearly 200 years. Stock exchanges spread their roots in Indiain 1875 when 318 tradersjointly formed the Native Share and Stock BrokersAssociation, which later came to be known as Bombay Stock Exchange(BSE), the oldest stock exchange in India. The Stock Exchange provides the means by which finance can be raised by the sales of shares to investors. Companies are legal entities that produce goods and services in a modern economy and in the process provide employment to a large number of people. Exchange encourage the creation of companies and provide a totally transparent mechanism for the valuation of companies through the process of price discovery. Trading platforms on various exchanges disseminate price information and price is discovered through free market forces. The stock market is known to be the barometer of an economy and reflects how a country’s economy is performing at the macro level. Factors impacting the Equity Market Various factors impact the equity markets, which includes  Interest rates  Inflation rate  GDP growth rate  Money supply  Investmentclimate  Taxation  Regulatory infrastructure  Balance of trade and balance of payments  Currency rates EQUITYTRADING
  10. 10. Particulars 2006-07 2007-08 2008-09 9-Aug 9-Sept Percentage change over the previous month(col.6 over col5) 1 2 3 4 5 6 7 A. Indices BSE sensex 13072.1 15644.44 9708.5 15666.64 171226.84 9.32 NSE NCX Nifty 3821.55 4734.5 3020.95 4662.1 5083.95 9.05 S&P CNX 500 3145.35 3825.85 2294.85 3840.25 4118.65 7.25 B. Market Capitalizations(Rs. Crore) BSE 3545041.00 5138014.13 3086075.17 5825656.69 5708337.29 8.00 NSE 3367349.97 4858121.72 2896154.22 4975799.77 5353879.59 7.60 C. Gross Turnover(Rs.Crore) BSE 956186.00 1578855.29 1000073.70 122319.27 124219.90 1.55 NSE 1945286.55 3551038.00 2752022.98 364968.84 365063.09 0.03 D. P/E Ratio BSE sensex 20.33 20.11 13.65 20.45 22.19 8.51 BSE 100 index 17.64 19.95 15.3 21.85 23.28 6.54 S&P CNX Nifty 18.4 20.63 14.30 20.94 22.9 9.36 source:ftkmc 2
  11. 11. CURRENCY MARKET The Foreign Exchange market is the largest and the most liquid market in the world. The roots of trading of foreign currencies can be traced back to the middle ages with the development of bills of exchange by international merchant bankers. These bills of exchange represented transferable third- party payments, which facilitated both flexibility and growth in international trade that included foreign exchange. The origin of the foreign exchange market in India could be traced back to 1978 when banks in India were permitted to undertake intra-day trade in foreign exchange. The Forex market in Indiawas given a boost by setting up of the Expert Group on Foreign Exchange Markets in India. The economic liberalization of the early 1990’s facilitated the introduction of derivatives based on interest rates and foreign exchange. The Internal Technical Group on Foreign Exchange Market(2005) was constituted to undertake a comprehensive review of the measures initiated by the Reserve Bank Of India(RBI)and identify areasfor further liberalization or relaxation of Equity market primarymarket publicissues rightissues bonusissues secondary market national level stock exchange (NSE,BSE,MCX) regional exchanges
  12. 12. restrictions in medium-term framework. Since then, foreign exchange market has acquired immense participation, depth, and liquidity. The corporate uses the Forex market for hedging against currency depreciation to protect future transactions and buying/selling currencies to pay international employees. Changes in the exchange rate due to changes in the value of each currency relative to the other in the pair, and are measured in points in percentage, or pips. Factors impacting ForeignExchange Market  Businesscycles  Economicgrowth and trends  Balance of payment  Balance of trade  Political developments  New tax laws  Stock marketnews  Inflationary expectations  Internationalinvestmentpatterns  Governmentand RBIpolicies  Marketpsychology  Internationalpolitical and economic developments IndicatorsofIndianforeignexchange marketactivity April 2005-March 2006 April 2006-March 2008 April 2007-March 2008 Total annual turnover 4,404 6,571 12,305 Inter-bankto Merchantratio 2.6:1 2.7:1 2.5:1 Spot/Total turnover(%) 50.5 51.9 49.7 Forward/Total turnover(%) 19.0 17.9 19.3 Swap/Total turnover(%) 30.5 31.1 31.1 source:ftkmc 3, RBI
  13. 13. MUTUAL FUND INDUSTRY Indian mutualfundsin Indiacommenced operationsin 1964 as an initiative of the Indian government and Reserve Bank of India(RBI).  Phase I (1964-87) - establishment of UTI  Phase II (1987-93) – entry of public sector funds  Phase III(1993-96) – entry of private sector funds  Phase IV (1996-99) – growth and SEBI regulations  Phase V (1999-2004) –emergence of a large & uniform industry  Phase VI (from 2004) – consolidation and growth Mutual funds are simply a pool of investments. The fund is organized as a trust that collects funds from investors and collectively invests them in different asset classes such as equity, debt, commodity, real estate, etc. as per the pre-defined investment objectives. The trust manages these investments to achieve the returns as set by the scheme objectives. Once the funds are collected from the investors, units are allotted to the investors depending upon the investment made by them and returns made by the fund are distributed to the investors. FACTORS IMPACTINGMUTUALFUNDS Various factors impact investmentsin mutualfunds  Performanceof fund investments  Units sold or redeemed  Personalexperience with a mutualfund company  Currenteventsin the financial markets  Professionalfinancialadvisors  Stock marketfluctuations  Mediacoverage about fund companies
  14. 14. INVESTORS FUND MANAGERS SECURITIES RETURNS INVESTORSPOOL FUNDS WITH FUND MANAGERS SECURITIES GENERATE RETURNS FUND MANAGERS INVESTFUNDS IN SECURITIES RETURNS ARE PASSED ONTOINVESTORS
  15. 15. COMMODITY MARKET History of trading in commodities in India dates back to several centuries. But organized futures market in India emerged in 1875 when Bombay Cotton Trade Association was established. In the post-liberalization era of Indian economy, it was the Kabra Committee and the World bank-UNCTAD study that finally assessed the scope for forward and futurestrading in commodities markets in India and recommended steps to revitalize futures trading. Futures market facilitates discovery of prices at a future date on the basis of information collected by many stakeholders. Efficient functioning of future markets results in many benefits for optimal decision making and resource allocation by price discovery, risk reduction and risk sharing. Thus, futures markets promote more efficient production planning, storage, marketing and better margins for producers by providing a mechanism for risk management and price discovery. FACTORS IMPACTINGTHE COMMODITYMARKET Commodity pricesare susceptible to a multitudeof factors and the major factors are enumerated below  The demand-supplyequation  Seasonality  News  Geo-political developments  Macroeconomicconditions  Currency movement COMMODITY MARKET 2006 2007 2008 Gold(in tones) Global 1,13,383.3 131695 167134.4 21.41% India (mcx) 10204.5 7901.70 15042.1 21.41% Global 1431771.91 1614694.74 1875003.81 14.44%
  16. 16. Silver(in tones) India (mcx) 300672.1 306792 393750.80 14.44% Copper (in tones) Global 529396400 768775300 713889800 16.12% India (mcx) 5293964 15375506 14277796 64.23% Crude oil(in tones) Global 147472967741.9 23626088813.6 256333425000 31.84% India (mcx) 457166200 1393934524 2050667400 111.70% Indices Global(DIJA AG commodity index) 166.509 184.964 117.244 -11.85% India (COMDEX) 2200.78 2373.16 1788.05 -1.11% Foreign Direct Investment FDI or Foreign Direct Investmentis any form of investment that earns interest in enterprises which function outside of the domestic territory of the investor. FDIs require a business relationship between a parent company and its foreign subsidiary. Foreign direct business relationships give rise to multinational corporations. For an investment to be regarded as an FDI, the parent firm needs to have at least 10% of the ordinary shares of its foreign affiliates. The investing firm may also qualify for an FDI if it owns voting power in a business enterprise operating in a foreign country. Types of Foreign Direct Investment: An Overview FDIs can be broadly classified into two types: outward FDIs and inward FDIs. This classification is based on the types of restrictions imposed, and the various prerequisites required for these investments. Movement of Foreign Direct Investment across countries in the world in the last coupleof years presentsan interesting phenomenon. FDIincreased by 5% worldwide in the year 2007. In 2007 China succeeded in retaining its 2006 ranking as the country in the world, which attracted the highest level of multinational investment. The
  17. 17. number of FDI related projectsstood at 1,171. Thelevelof investmentin 2007 stood at US$90 billion in comparison to the US$116 billion that was registered in 2006. China also recorded substantial job creation in 2007. Out of an estimated 1.2 million jobs created in the Asia-Pacific region, 366,000 were credited to China. Determinants of ForeignDirect Investment One of the most important determinants of foreign direct investment is the size as well as the growth prospects of the economy of the country where the foreign direct investment is being made. It is normally assumed that if the country has a big market, it can grow quickly from an economic point of view and it is concluded that the investors would be able to make the most of their investments in that country. In case of foreign direct investments that are based on export, the dimensions of the host country are important as there are opportunities for bigger economies of scale, as well as spill-over effects. The population of a country plays an important role in attracting foreign direct investors to a country. In such cases the investors are lured by the prospects of a huge customer base. Now if the country has a high per capita income or if the citizens have reasonably good spending capabilities then it would offer the foreign direct investors with the scope of excellent performances. he status of the human resources in a country is also instrumental in attracting direct investment from overseas. There are certain countries like China that have taken an active interest in increasing the quality of their workers. They have made it compulsory for every Chinese citizen to receive at least nine years of education. This has helped in enhancing the standards of the laborers in China. If a particular country has plenty of naturalresourcesit alwaysfinds investors willing to puttheir money in them. A good examplewould be SaudiArabia and
  18. 18. other oil rich countries that have had overseas companies investing in them in order to tap the unlimited oil resources at their disposal. Inexpensive labor force is also an important determinant of attracting foreign direct investment. The BPO revolution, as well as the boom of the Information Technology companies in countries like India has been a proof of the fact that inexpensive labor force has played an important part in attracting overseas direct investment. Infrastructuralfactorslike the status of telecommunicationsand railways play an important part in having the foreign direct investors come into a particular country. It has been observed that if the infrastructural facilities are properly in place in a country then that country receives a substantial amount offoreign direct investment. If a country has extended its arms to overseas investors and is also able to get access to the international markets then it stands a better chance of getting higher amounts of foreign direct investment. It has been observed in the recent years that a couple of countries have altered their stance vis-a-vis overseas investment. They have reset their economic policies in order to suit the interests of the overseas investors. These companies have increased the transparency of the legal frameworks in place. This has been done so that the overseas companies can understand the implications of their investment in a particular country and take the appropriate decisions. CUMULATIVE FDI EQUITY INFLOWS In Rs Crore In US$ Million Cumulative amount ofFDI inflows (From April 2000 to March2009) 3,93,020 89,819 Amount of FDI inflows during 2008-9 (From April 2008 to January 2009) 105,673 23, 885
  19. 19. Cumulative amount ofFDI Inflows (Upto April 2009) 4,04,728 92,158 SOURCE:DIPP, Federal Ministry of Commerce & Industry, Government of India FDI Equity Inflows (2008-09) MONTHS In Rs crore In US$ Million April 2008 15005 3749 May 2008 16563 3932 June 2008 10244 2392 July 2008 9627 2247 August 2008 9995 2328 September 2008 11676 2562 October 2008 7284 1497 November 2008 5305 1083 December 2008 6626 1362 January 2009 13347 2733 Year 2008-09 (Upto January 2009) 105673 23885 Year 2007-08 (Upto January 2008) 58203 14466 YOY Growth(%) (+) 81 (+) 65 SOURCE:DIPP, Federal Ministry of Commerce & Industry, Government of India
  20. 20. Major Investment Projects in India Now since the investment market has grown many foldsthan what it was a decadeago, it would be good have an overview of a few major projects currently runningin India. VIRGIN MOBILES VirginMobile is a brand used by many mobile phone service providers based in the United Kingdom and operating in India, Australia, Canada, South Africa, the United States and France; the brand survived only briefly in Singapore. The international Virgin Mobile businesses each act as independent entities, usually in a partnership between Sir Richard Branson's Virgin Group and an existing phone company. Virgin Group provides the brand, and the phone company operates the network infrastructure. Virgin Mobile India Limited is a cellular telephone service provider company which is a joint venture between Tata Teleservices and Richard Branson's Virgin Group. Currently, thecompany uses Tata's CDMA network to offer its services under the brand name Virgin Mobile, but it has also announced plans to foray into the GSM space as well. RELIANCE POWER PROJECTS The Reliance Power Projects provide detailed overview of the several assignments undertaken by the Reliance Energy Limited. Instituted in the year of 1929, RelianceEnergy Limited has become one of the pioneer companies in the present era, in the field of generating, transmitting and distributing electrical energy. A part of the Anil Dhirubhai Ambani Group, the Reliance Energy Limited Company supplies 28 billion voltage of electricity to more than 25 million customers of India. The company has its power stations in Kerala,
  21. 21. Maharashtra, Goa, AndhraPradeshand Karnataka that produces a total of 941 MW of electrical energy. Projects of Reliance Energy Limited At present, Reliance Energy Limited is engaged in several projects in the area of Engineering, Procurement and Construction (EPC) section of power generation. Apart from the EPC project, the companies under Reliance Energy Limited are involved in other power generating projects through the use of wind energy, hydro-power, coal energy and natural gas. The company has its bases in Arunachal Pradesh, Maharashtra, Uttarkhand and Uttar Pradesh. Reliance Energy Limited has also invested in several projects related to the development of infrastructure that comprises the ambitious Mumbai metro rail project and many other assignments of the National Highways Authority of India. Some of the important projects that were undertaken by the Engineering, Procurement and Construction (EPC) section of power generation in the past few years are:  Establishment of Reliance Energy Limited- Samalkot Power Station at Andhra Pradesh  Thermal Power Station in Dahanu in Maharashtra  Co- generation Power Plant on behalf of Godavari Sugar Mills Limited in Sameerwadi at Karnataka BHARTI WALMART Bharti Enterprisesand Wal-Martjoin handsin wholesale cash-and-carry to servesmall retailers, manufacturersand farmers.  Business-to-businesswholesale cash-and-carry joint ventureto set up world-classmodern supply chain and back-end logistics infrastructure  Drivingefficiencies across the supply chain will help minimizewastage and providesmallretailers quality merchandise at competitive wholesale prices
  22. 22. Bharti Enterprises and Wal-Mart Stores, Inc. have signed an agreement to establish Bharti Wal-Mart Private Limited, a joint venture for wholesale cash- and-carry and back-end supply chain management operations in India, in line with Government of India guidelines. Under the agreement, Bharti and Wal- Mart will hold a 50:50 stake in Bharti Wal-Mart Private Limited. Wholesale cash-and-carry operations provide small retailers and business owners a wide range of quality products at competitive wholesale prices that help them enhance their businesses and profitability. The Bharti Wal-Mart business-to-business (B2B) wholesale cash-and-carry joint venture will serve kirana stores, fruit and vegetable resellers, restaurants and other business owners. It also will serve other retailers such as Bharti Retail, which is setting up a chain of stores in India that are 100 percent owned and operated by Bharti. The wholesale cash-and-carry venture will invest in setting up an efficient supply chain. This will link farmers and small manufacturers directly to retailers, thereby maximizingvaluefor farmers and manufacturers on the one end and retailers, and in turn, consumers on the other. The venture will support farmers and small manufacturers who have limited infrastructure and distribution strength, and the supply chain will enable minimum wastage, particularly of fresh foods and vegetables.
  23. 23. Conclusion Overall the investment in different sectors shows an uprising trend, thus implying the growth in economy. The investors now are more comprehensive of the current scenario of the financial market and are coming forth to invest extensively with the help of different financial tools to enhance growth and maximize profit and generating unimaginable bottom-line.

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