The new open-ended equity scheme will invest in a maximum of 25 stocks. But JP Morgan does not have a great track record so far
JPMorgan Mutual Fund has filed an offer document with the Securities and Exchange Board of India (SEBI) to launch a new open-ended equity growth scheme to be called JPMorgan India Focus Fund. The scheme will normally hold equities of a maximum of 25 companies and the fund manager will have the flexibility to pick the companies. That is, he could pick a biggie like Infosys today and sell it tomorrow, if he chooses to, or invest in any smaller company as well. So, should you invest in the fund?
There is no reason to believe that the new India Focus Fund will do any better than the other well-performing schemes. Besides, JP Morgan's two existing schemes have done quite badly. JPMorgan India Equity and JPMorgan India Smaller Companies, both launched in 2007, have given returns of 5% and -8% respectively since inception.
The equity portion of the scheme will be managed by Harshad Patwardhan and Amit Gadgil. The debt portion will be managed by Nandkumar Surti and Namdev Chougule. Mr Patwardhan and Mr Gadgil also manage the India Equity and India Smaller Companies funds.
Between 65% and 100% of the assets of the Indian Focus Fund will be invested in equity and equity-related securities with a medium- to high-risk profile.
A maximum of 35% of assets would be put into debt securities, money market instruments and cash and cash equivalents with a low- to medium-risk profile.
The exit load charged will be 1% for redemption within 12 months from the date of allotment. The BSE 100 is the benchmark index for the fund.
Subscribers say that the service provider is ignoring their complaints
Despite having registered their numbers in the 'Do Not Call' service of BSNL, the phone company's subscribers continue to be disturbed by calls from telemarketers while also being interrupted by numerous promotional messages.
Subscribers who have complained to the phone company say, officials pay no heed to their grievances and are ignoring the matter. Complaints are being passed from one desk to another and nobody wants to deal with the issue.
Take the case of Pune-based BSNL subscriber Ashwin Patil (name changed). Ashwin registered under BSNL's DNC category, but he continues to receive telemarketing calls. He has so far saved more than 100 promotional messages. "I have registered for DNC. In spite of that I keep getting unsolicited calls and SMSs. My complaints to BSNL are not attended to, and different staff members are trying to dodge the issue. It seems like every person is behaving like a postman and they will not act on the complaints," he says.
Ashwin's complaint is not an isolated case, and complaints lodged on various websites suggest that DNC has not been effective and that the authorities are overlooking the disturbance caused to phone subscribers.
A complaint on www.consumercourt.in reads: "I had registered under DND (Do Not Disturb) on my BSNL mobile, but I continue to get SMSs and phone calls at odd hours." Another complainant says: "I have already registered on 'Do Not Disturb' five months ago, but I still get calls from IDBI Financial and some others."
Moneylife tried to contact the concerned BSNL officer in Pune, but without success.
Achintya Mukherjee, secretary, Bombay Telephone Users' Association, told Moneylife, "We took this matter up with the Telecom Regulatory Authority of India (TRAI). As a result, the TRAI came up with recommendations for the revision in the existing guidelines. According to the new recommendations, penalties on service providers have been increased and it has made changes in the monitoring methods. But it has continued with 'Do Not Disturb', while we were pushing for 'Do Disturb' for those who would not mind receiving marketing calls or SMSs, which would automatically leave the rest out of the system."
Mr Mukherjee said that the Department of Telecommunications has delayed issuing the notification that will bring the recommendations into effect. "They have deliberately postponed this repeatedly."
It was reported recently that in response to a question from a member of parliament about unsolicited calls and messages, Union telecom minister Kapil Sibal said "cell phone users would be able to get rid of them in six weeks when the DND (Do Not Disturb) number 1909 becomes operational." He said, "Mobile phone users would be able to opt not to receive text messages in any of seven categories like real estate, credit cards, consumer durables, banking and finance, by registering their number in the National Do-Not-Call (NDNC) registry, by calling or sending an SMS to the toll-free number 1909."
It was earlier reported that NDNC would be operational 1st August and that those responsible for unsolicited calls and messages could be punished with fines between Rs25,000 and Rs2.5 lakh.
It is necessary to turn the floodlights on the corrupt and their activities, which will hopefully help to deal with corruption. The final instalment of a three-part article, proposes a website that will report on anything that is connected to corruption in the country
First, a comment. Anna Hazare has dug his heels in on three points that must be included in the Lokpal Bill: inclusion of the lower bureaucracy, creation of Lokayuktas in all states and citizens' charters for all services provided by governments and their agencies. These demands are reasonable; the government must concede them, otherwise the Lokpal will be crippled before reaching the starting gate.
Now, we move on to the matter of working on an encyclopaedia of corruption.
The corrupt are creatures of darkness. They are like the Morlocks in HG Wells' novel, "The Time Machine", who live underground. They are like Dracula and his clan who suck people's blood in the night and disintegrate when exposed to sunlight. We, therefore, need to turn thousands of powerful floodlights on the corrupt and their activities. Once exposed to the public eye, they will shrink and shrivel and hopefully fade away.
I propose we create an encyclopaedia of corruption, or graft, or scams, or kickbacks or money-laundering, or black money-call it what you will, it is the same thing. The sub-title of this compendium could be, "What you always wanted to know about corruption but were afraid to ask your local politician".
I will begin by putting up a website-I have already begun work on this-that will switch on a thousand floodlights on all aspects of corruption. And I invite all readers of Moneylife and their friends, and anyone else interested in this venture, to join me.
I suppose we should begin with giving our creation a name. I thought of graftopaedia.com or bribopaedia.com. Other suggestions for a name are welcome.
The content of the website, I feel, should cover anything connected to corruption in India. Definitions, areas which abound in opportunities for corruption, covering government departments, public sector, customs and excise, direct tax departments, banks, state electricity and water boards and (unfortunately) the courts... the list is endless. There are quasi-official agencies like banks, the Securities and Exchange Board of India (SEBI), the stock exchanges, the mutual fund industry, that need to be watched and studied.
And then we have methods used in taking bribes and kickbacks; methods of sending black money outside the country like under-invoicing and over-invoicing of exports and imports; and other methods that shrewd industrialists and politicians use. And benami and other methods used to salt away the black money created by corruption.
We will need articles on corruption and methods of fighting it by learned experts. We will need to create teams of people skilled in investigation, like journalists, lawyers, financial experts, chartered accountants, RTI activists who will jointly and singly investigate government deals and tenders, suspicious actions by SEBI and the stock exchanges.
In about a month, I will be ready with the plan of the website and its contents. I welcome suggestions on the contents and any other aspect of the encyclopaedia on corruption.
We will request Julian Assange, founder of Wikileaks, to give use for publication on the website, all information he has about shady deals by Indians, lists of Indians having huge, secret bank accounts, etc.
The list of activities is endless; and so is the journey. The culture of corruption is so deep-rooted that our grandchildren and great-grandchildren will continue to work on the encyclopaedia long after we have passed into the vast Unknown.
But for now, come on people, let the fun begin.
(R Vijayaraghavan has been a professional journalist for more than four decades, specialising in finance, business and politics. He conceived and helped to launch Business Line, the financial daily of The Hindu group. He can be contacted at [email protected].)