The market regulator wants to avoid turf war with other regulators while finalising norms to allow mutual funds to launch pension products
New Delhi: Market watchdog The Securities and Exchange Board of India (SEBI) said it will avoid turf war with other regulators while finalising norms to allow mutual funds to launch pension products, reports PTI.
"We will avoid all turf war (between regulators). After we get the stakeholder recommendation we will go to the board and then take a final call," SEBI Chairman UK Sinha said.
He was speaking to reporters after meeting Planning Commission Deputy Chairman Montek Singh Ahluwalia.
On the meeting with Sinha, Ahluwalia said, "It was a courtesy call, we did not have a structured discussion".
"SEBI will take a direction towards reviving the mutual fund interest in the country and some long-term and medium-term measures will be contemplated in the Advisory Committee meeting," Sinha added.
While the mutual funds are regulated by SEBI, pension falls under the purview of Pension Fund Regulatory and Development Authority (PFRDA).
Earlier, the regulation of Unit-Linked Insurance Plans (ULIPs) created a turf was between Sebi and Insurance Regulatory and Development Authority (IRDA) forcing the Finance Ministry to intervene and resolve the issue.
The mutual fund industry, which is going through a bad patch on account of declining investor interest, wants to launch pension products to attract retirement money. However, taxation and other regulatory issues are delaying the process.
The SEBI meeting comes close on the heels of Prime Minister Manmohan Singh's statement last month that the MF industry is facing problems that needed to be resolved.
Sebi has allowed the mutual fund industry to come out with pension schemes and is in touch with the Finance Ministry to sort out the taxation issues.
The current provisions of the Income Tax Act makes pension products of insurance companies eligible for tax deduction benefits. However, no such benefits are available for MF schemes.
Industry experts said SEBI would have to modify regulations to enable mutual fund houses to launch pension schemes.
The survey said a sharp drop in expectations of corporate profit growth has weakened investor confidence and global investors have scaled back technology holdings with just 32% of them remaining overweight on IT
Mumbai: American investors have signalled a possible bursting of the IT bubble after the technology sector remained a favourite for global investors in the past three years, says a survey according to a PTI report.
According to the Bank of American Merrill Lynch (BofAML) survey of fund managers for July, technology has been a favourite sector for global investors for the past three years, but US investors have signalled a possible bursting of the IT bubble.
Overall, a net 22% of US respondents to the regional survey are overweight on technology - a sharp fall from a net 41% a month ago. Within those figures, 19% of the panel are underweight IT, up from 9% in June, the survey said.
Global investors have also scaled back technology holdings. A net 32% was overweight on technology, down from a net 41% in June.
US equities have declined in popularity as global asset allocators have cast their net around the world. A net 14% of respondents are overweight on US equities, down from a net 31% last month. At the same time, asset allocators have reduced their underweights in euro zone, UK and Japanese equities.
The survey said a sharp drop in expectations of corporate profit growth has weakened investor confidence.
BofA Merrill Lynch's Growth Expectations Composite has fallen to 37 in July from 43 in June and 54 in May. A severely deteriorating outlook for profits is driving the fall in confidence. A net 38% of investors say corporate profits will worsen in the coming 12 months - compared with a net 19% a month ago, it said.
Expectation that corporates can grow profits by 10% or more is at its lowest point since April 2009. A net 69% of the panel expects corporates profit growth to be less than 10% in the coming year. A net 58% says operating margins will decrease, up from a net 41% in June.
Both broader macro-economic outlook and risk appetite have stabilised after two months of sharp deterioration. A net 13% of the respondents said the world economy will weaken in the coming year, a drop of two percentage points after a fall of 26 points from May to June, said the survey.
BofA Merrill Lynch's Composite Indicator for risk and liquidity rose slightly month-on-month as investors reduced average cash holdings in portfolios to under 5%. Most investors expect further quantitative easing, but few expect this to happen in the third quarter.
Investor perception of risk in the eurozone shifted in July. The proportion of respondents who see the risk of a negative shock around Germany's economy has more than tripled to 32%, up from 10% in June.
Concern about France has risen with a majority of investors (55%) believing the French economy could present a negative surprise this year, the survey said.
Fears that Spain or Portugal could spring a negative surprise have fallen, while expectation of good news from Ireland is growing - 32% of investors hope for a positive surprise from Ireland this year, up from 16% in June.
Confidence in Greece has fallen, however. The proportion saying Greece will avoid exiting the euro fell to 37% from 44%, it added.
Chapter 4 of the book 'Democracy in India', has a chart of the Presidents of India in which Pranab Mukherjee has been mentioned as "the 14th President of India"
Gadchiroli (Maharashtra): Though Presidential polls are yet to held, Gondwana University has already described United Progressive Alliance (UPA) candidate Pranab Mukherjee as "the 14th President of the country" in a just-published textbook, reports PTI.
The book, 'Democracy in India', has been prescribed for first year students of BA (Political Science) for the ongoing academic session of the newly-formed varsity.
Page number 84 under chapter 4 of the book, published under the heading 'Union Executive', has a chart of the Presidents of India in which Mukherjee has been mentioned as "the 14th President of India".
The book was released a couple of days ago at a function attended by Dean of the Department of Social Sciences of Gondwana University in presence of over 40 lecturers of political science belonging to colleges under the varsity.
Sanjay Gore, Chairman of the Board of Studies of the University and Madhukar Arjunkar, a scholar of political science, are the authors of the book.
Meanwhile, distancing itself from the controversial textbook of political science which has declared Pranab Mukherjee as "14th President of India" before the Presidential election, Gondwana University said it had not sanctioned its publication.
Vice Chancellor Vijay Ainchwar said the author, Sanjay Gore, was called to the University office and given a strict warning. "We had not given any permission to the author to write this book or to publish it," Ainchwar said.
Gondwana University Registrar Vinayak Irpate said a show-cause notice had been issued to Gore as to how he published the book without the Varsity's permission.
The Presidential elections, where Mukherjee will take on BJP-backed nominee PA Sangma, will be held on 19th July.