Calling off the deal also means that Reliance will have to wait for some more time to enter into insurance business
Reliance Industries Ltd (RIL), India's biggest company, said its discussion to buy majority stake in two Bharti Axa insurance ventures is terminated mutually due to difference over long term vision and joint management in the future.
In a release, RIL, said, "(Our) Negotiations on the contemplated acquisition by RIL and Reliance Industrial Infrastructure Ltd (RIIL) of Bharti's shareholding of 74% in Bharti AXA Life Insurance Co Ltd and Bharti AXA General Insurance Co. Ltd are being jointly terminated".
The Competition Commission of India (CCI) also cleared this deal in July. Earlier in June, both RIL and AXA said that they have reached an understanding on this deal. If completed, then RIL and RIIL would have hold 57% and 17% stake in both the insurance companies and would have become, AXA's joint venture partners in India. AXA, on the other hand would have retained its 26% stake and continued to manage day-to-day operations of the insurance companies.
Bharti had entered into joint ventures with the AXA group in 2006 and held 74% stake in both these ventures-Bharti AXA Life Insurance and Bharti AXA General Insurance.
During fiscal year 2011, Bharti AXA Life collected premiums of Rs7.9 billion and Bharti AXA GI collected gross direct premiums of Rs5.5 billion.
The song is certainly a hit – but it has its share of doubters too, who wonder if a confluence of hugely influential people can together spark a rage albeit with eminently catchy and hummable material
“Wankhade ground full-u full-u..to see ur ton-u..,ur century miss-u miss-u..country total sad-u..,why dis kolaveri kolaveri di” – this Kolkverised angst about little god Sachin Tendulkar having missed his 100th ton re-tweeted by superstar Amitabh Bachchan seems like the final seal on the astonishing craze over a song that goes “why this kolaveri-di”? Or is it?
Sony, the music company that claims brilliant marketing genius in anticipating the success of this Tanglish number (Tamil slang or more precisely Chennai youth lingo) claims that it had over 3 million hits on YouTube and over 8.2 million links shared on Facebook. Indeed, a bonafide hit.
However, social media, while accepting Kolaveri’s catchy beat also has its set of doubters, who wonder whether Kolaveri going viral has to do with some smart orchestration? When stunning success happens to close relatives of south India’s superstar or demi-god Rajnikanth, this is bound to happen. Dhanush, the singer who is an overnight sensation has sung Koleveri for the Tamil film “3” produced by Aishwarya Dhanush and it was composed by Anirudh Ravichander, who is Rajnikanth’s nephew. Enough of a power-group to tickle the sceptics?
The truth seems somewhere in between. Why this Kolaveri-di is a bonafide rage among those who like the beat and have any connection with south India (not necessarily Tamil Nadu alone) and it gets under the skin of others, it has also left a set of people who don’t understand the Tamil slang, twist and intonation rather cold.
'Kolaveri’ means ‘murderous rage’, the singer Dhanush told the media. The song itself is about heartbreak but is irreverent, with loads of attitude and colloquial Tamil humour." It has words like…
White-u Skin-u Girl-u Girl-u
Girl-u Heart-u Black-u
Eyes-u Eyes-u Meet-u Meet-u”
Some say that people liked it and hence it became a hit. “There are fake virals as well which stop after a time. Such enormous hits and continuous sharing cannot be fake. If people don’t like, that’s the end,” explains Vishank Bharda, a social media analyst. But don’t forget that with Amitabh Bachchan, Karan Johar and other celebrities rooting for it, the song would become a hit even if even un-interested netizens log on to YouTube to take a look at what the Kolaveri is all about.
Sony Music, the creator of the song, has all the reason to cheer. “We saw a huge potential in the song, and decided to create a video which was spontaneous yet fun.
Asset allocation schemes may claim that through one scheme you are able to invest in two or three asset classes. But this will always lead to sub-optimal returns
BNP Paribas Mutual Fund had filed an offer document with the Securities and Exchange Board of India (SEBI) to launch BNP Paribas Gold & Income Fund, an open-ended debt scheme. The objective is to generate income from a portfolio constituted of debt and money market securities, along with investments in Gold Exchange Traded Funds (ETFs).
Should you go for it? Returns from debt cannot keep up with inflation. And while it is a common belief that gold offers good returns over the long-term, this is simply not true. Since 1991, gold is up just 8.9% on a compounded annual basis. That hardly beats a fixed deposit (FD) scheme.
Suppose 65% is invested in debt and 35% in gold. If the debt part gives a maximum return of say 9%, the return from the debt part of the portfolio will be around 5.9%, and if gold goes not go up more than 9% compounded, the overall return would be less than what one can earn through bank FDs. You would also pay a 2% fee to the fund manager, with the only advantage that the return from the scheme may fetch a slightly higher if gold fetches a good return.
We think the fund is merely designed to attract safe money. Since gold prices are rallying, the fund house has decided to add it to the fund. But gold has been rising for years now. To extrapolate that trend into the future would be imprudent. Asset allocation schemes may claim that through one scheme you are able to invest in two or three asset classes. But this will always lead to sub-optimal returns. It's always good to invest in specific products based on your expectations from that particular asset class that is in line with your financial goals.
The scheme will invest 65%-90% in debt and money market instruments. The scheme shall also invest 10%-35% in gold exchange traded funds (ETFs). Debt instruments may include securitised debt up to 60% of the debt net assets.
Exposure to debt derivative instruments not more than 50% of the net assets is only for hedging and portfolio balancing. The scheme will not invest in foreign securities. The scheme will not invest in equity & equity related securities and foreign securitised debt.
Benchmark: CRISIL Short Term Bond Fund Index + Price of Gold (neutral allocation: 75:25).