Birla Sun Life Mutual Fund new issue closes on 28th April
Birla Sun Life Mutual Fund has launched Birla Sun Life Fixed Term Plan-Series CZ, a close-ended income scheme.
The scheme seeks to generate income by investing in a portfolio of fixed income securities maturing on or before the duration of the scheme. The scheme will have duration of 370 days.
The new issue closes on 28th April. The minimum investment amount is Rs5,000.
CRISIL Short Term Bond Fund Index is the benchmark index. Kaustubh Gupta would be the fund manager of the scheme.
The over-the-top craziness of the new ad totally hijacks the product, which is reduced to being a mere prop, instead of being the central character. That’s an advertising crime
Luggage brand VIP has come up with a completely bizarre commercial. Guess they are following that age-old theory of 'let's just do anything to get noticed'.
The ad features an airport, with many passengers queuing up to check-in their VIP bags. Suddenly, an announcer dishes out strange instructions on the public address system. She orders that only those passengers who can do the salsa will get window seats. One early bird dude breaks into the dance, with his VIP bag for company. Others join in too.
Then, for the aisle seats, she announces that they will only go to passengers who can push their bags with one finger. And all the VIP owners are able to do so easily. She then says only those who can split their legs will be personally fed by the air hostesses. Some molesters, oops, passengers, immediately part their legs. Before you tear your hair out wondering what's this comedy show all about, the announcer (not the airport one!) declares: 'Journeys can be crazy. VIP makes them easy. Happy journey.'
Yes, yes, I can see what the VIP chaps are trying to do. And I know this after repeated exposures to the ad, my mouth wide open all the while. In all this madness, there's a visual message. That VIP's 360 wheeling bags allow you to maneuver your bags without too much effort. But here's a big problem: The over-the-top craziness of the ad totally hijacks the product, which is reduced to being a mere prop, instead of being the central character in the communication. That's an advertising crime.
The best ideas are those where the brand drives the creative idea and story, and isn't relegated to the background. We remain mystified by the madness of the situation, we get lost in the antics of the passengers, and therefore we hardly notice the product feature. In short, good laughs for everyone (especially the makers of the ad who must have had a rollicking time shooting this one), except the brand manager of VIP.
What is needed is interesting, relevant, product-centric ads for VIP. Here's a suggestion, though I usually don't give them without payment! Perhaps, they should create a commercial where a desi VIP (very important person) is slipped into the aircraft way beyond the last minute, and he/she effortlessly glides in with VIP's 360 wheels. As the rest of the cattle class junta is left fretting and fuming. Brand connection in place, product feature in place, and a much cheaper commercial too!
Silver has risen to an all-time high, immediate delivery prices are up 5.4% at $49.79/ounce, surpassing the previous high of $49.45 in 1980. But as global analysts predict, this rally may not sustain—and a correction could be on the cards
There is a very interesting theory in financial markets called as 'The Bigger Fool' theory. It says that there are times when the only reason 'X' buys an asset class is because X believes that there is a fool (Y) who is a bigger fool than X, who will buy the same asset from X at a price which is higher than what X has already paid for.
The second person buying the asset also feels the same, so will be the case with the third person and so on... and the price of the asset keeps increasing. However, when the asset reaches its peak price, the fool (the biggest one of them all) holding the asset can no longer find a fool bigger than himself. So he eventually sells to someone who is slightly wiser than himself-and thus the price eventually crashes, leaving the ones who bought at the peak price depressed for ever.
At current levels, silver is one of the biggest examples of this bigger fool theory in live action. Over the past one year, the price of silver, a (relatively) poor cousin of gold, has glittered way beyond anyone's expectation, rising up by over 145%. It has become one of the best performing asset classes in the world, beating every possible resistance level which market pundits could chart.
The so called commodity 'experts' appear on TV and give their short/long term target for silver, the same way they predicted the target for crude oil when it was $140 in mid-2008 (targets were $200 by December 2008).
This also reminds me of the 'target levels' for the Sensex which were predicted in January 2008. The index was expected to touch 25,000 by the year-end.
We all know what happened to these targets. There are fundamental reasons that lead to a rise in silver prices from Rs20,000 levels to around Rs40,000, but after that it's probably the 'greater fool' theory at work.
People have started speculating hugely in the futures market assuming that once JP Morgan comes to unwind its over 3.3 billion ounce short position in silver, it would lead to a short-covering rally. JP Morgan's position is over 1/3rd of the world's known silver deposits (or four times the annual mined supply of silver in the world).
At a price of Rs71,800/kg, there are many who are cursing themselves for not entering the great silver bull run at Rs40,000, Rs50,000 or even at Rs65,000 and are planning to enter now so that they can get rid of the sorry feeling that they are now experiencing for having missed out on this amazing money-minting opportunity.
This sorry feeling which results in individuals chasing any asset class for not wanting to miss the bus is precisely what creates a bubble. It's the same feeling which the masses had when the Sensex was at 21,000 in January 2008, or when crude was at $140/barrel in July 2008 or during the period of the US housing bubble or the dotcom bubble... or even the tulip bubble which occurred in Holland some 370 years back.
So I strongly believe that the upside potential for silver is limited. It can go to Rs75,000 or even Rs80,000/kg. However at that level, I am sure that no one will sell, hoping for a further rise and will eventually end up holding the contracts of the metal at some beaten-down levels.
Retail investors should avoid chasing silver, especially in the futures market, since a correction in prices is long overdue. Top commodity investor Jim Rogers holds the view that a correction in silver is required, for it to sustain on its long-term trajectory. He has been quoted as saying: "I am worried about silver. If silver continues to go up like it has been over the past 2 or 3 weeks, yes, then it would get to triple digits this year. And then we'll have to worry. It's not parabolic yet. I hope something stops it going up in the foreseeable future and we have a correction. There's never one in history that hasn't popped.''
The biggest reason for the crash in the US housing bubble, or the crude bubble or the dotcom bubble or any other financial bubble in history is the realisation that prices would rise forever and can never correct. Once this realisation sets in (as is happening in silver) one can believe that the bubble is at its peak and a fall is inevitable.