Reward points are a valuable yet often underutilised financial asset. Consumers earn them across various platforms, including credit cards, airlines, and retail programs, but fragmented balances and expiration dates can reduce their overall usefulness. By strategically consolidating points, prioritising high-value redemptions, and leveraging seasonal promotions, consumers can maximise their savings and get the best returns on their accumulated rewards.

How to Consolidate Reward Points for Greater Value

Consumers accumulate reward points across banks, credit cards, airlines, and retail programs. However, the inability to merge these points often reduces their utility. Some platforms offer point transfer options, allowing users to combine balances for larger redemptions.

Prioritising High-Value Redemptions

Not all redemption options provide the same value. Experts suggest focusing on:

• Travel: Converting points into airline miles or hotel stays often provides better value than gift vouchers.
• Shopping: Using points directly at merchant checkouts ensures full value, unlike catalogue-based redemptions.
• Dining: Paying restaurant bills or food deliveries with points stretches their worth more than using discount vouchers.

Tracking Expiry Dates and Utilising Seasonal Offers

Many reward points have an expiry period, leading to losses if not redeemed on time. Keeping track of expiration dates and using points during festive seasons—when special discounts and bonus offers are available—can increase their value.

Leveraging Festive Deals and Bonus Offers

Retailers and financial institutions frequently offer bonus points, cashback, and exclusive discounts during limited-time promotions. For example, during the Amazon Great Indian Festival or Flipkart Big Billion Days, credit card users often earn extra reward points on purchases.

By timing big-ticket purchases like smartphones or appliances with these sales, users can maximise savings.

Choosing the Right Credit Card

Different credit cards offer varying reward structures. To optimise benefits, users should:

• Use the card with the highest point multiplier for specific spending categories (e.g., travel, online shopping, or dining).
• Take advantage of special promotions that provide increased rewards on high-value purchases.

For example, a frequent traveller can use accumulated credit card points to book flights and hotels, while an online shopper can use rewards to offset future purchases.

Conclusion

Reward points can be a valuable financial tool when used wisely. Consolidating points, focusing on high-value redemptions, and timing purchases with festive offers can significantly enhance their benefits. By selecting the right credit card and tracking expiry dates, consumers can ensure maximum savings from their rewards.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Bajaj Finserv is set to strengthen its hold over its insurance ventures by acquiring the 26% stake held by Allianz in its life and general insurance businesses. This strategic move consolidates Bajaj Finserv’s control, paving the way for future growth and potential public listings.

Bajaj Finserv to Take Full Control of Insurance Arms

According to a CNBC-TV18 interview, Bajaj Finserv announced on Monday that the company, along with other promoter entities, will acquire 26% stake held by Allianz in its life and general insurance businesses. This move marks a significant restructuring, consolidating Bajaj Finserv’s control over its insurance ventures.

IPO Plans for Bajaj Allianz Life and General Insurance

Bajaj Finserv Chairman and Managing Director Sanjiv Bajaj confirmed to CNBC-TV18 that both Bajaj Allianz Life Insurance and Bajaj Allianz General Insurance will go public at an appropriate time. While the financial year 2027 is too early for a listing, he stated that the boards of both companies will seriously consider an IPO in the future.

Independent Growth for Insurance Businesses

Bajaj highlighted that both the life and general insurance divisions are strong enough to operate independently and do not require a new strategic partner at this stage. The decision to acquire Allianz’s stake is aimed at strengthening Bajaj Finserv’s leadership in the insurance sector, setting the stage for long-term growth and potential public listings.

Conclusion

With Bajaj Finserv taking full control of its insurance businesses, the company is now focused on future IPOs for Bajaj Allianz Life and Bajaj Allianz General Insurance. While a listing is not imminent, the move signals Bajaj Finserv’s confidence in the independent growth of its insurance arms.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

One Mobikwik Systems has experienced significant stock price fluctuations following the expiry of its IPO lock-in period. After hitting a 52-week low of ₹231 on March 17 due to heavy selling pressure, the stock staged a sharp recovery, surging 20% to ₹298 on March 18.

Stock Recovers After Hitting 52-Week Low

Shares of One Mobikwik Systems hit the upper circuit on March 18, rising 20% to ₹298. This follows a sharp 15% decline on March 17, when the stock slumped to a 52-week low of ₹231 amid heavy selling pressure after the 3-month IPO lock-in period ended.

With this rally, the stock has snapped a 5-day losing streak, recovering all losses from the previous session.

Impact of IPO Lock-In Expiry

The lock-in expiry on March 17 resulted in the unlocking of 5 million shares, representing 6% of the company’s total equity. This led to a sharp sell-off as early investors and pre-IPO shareholders exited their holdings.

Despite the recent gains, Mobikwik’s stock remains 32% below its listing price of ₹440, which it had hit in December 2023. However, it is now 7% higher than its issue price of ₹279.

Stock Performance Since Listing

Mobikwik made a strong debut on the NSE in December 2023, listing at ₹440 per share, a 58% premium over its issue price. However, the stock has struggled to maintain momentum and is currently trading more than 50% below its all-time high of ₹698, recorded in December last year.

Conclusion

Mobikwik shares rebounded sharply following the IPO lock-in expiry, but the stock remains significantly below its peak levels. While the surge has helped erase recent losses, its performance post-listing highlights continued volatility in investor sentiment. The coming sessions will determine whether the recovery sustains or selling pressure returns.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

What was Adani Group’s First Business?

Gautam Adani’s journey from a young entrepreneur to the head of one of India’s largest business conglomerates is a testament to strategic vision and relentless ambition. From humble beginnings in the diamond trade to founding the Adani Group, his business acumen has driven the company’s expansion across multiple industries, including infrastructure, energy, mining, and media.

The Beginnings of Gautam Adani’s Career

Gautam Adani’s entrepreneurial journey began in Mumbai in 1978, when he entered the diamond industry at just 16 years old after dropping out of school. By 1979, he started trading diamonds, gaining early business exposure.

He later returned to Ahmedabad, joining a plastics factory run by his brother Mansukhlal Adani. In 1983, the family business started importing polyvinyl chloride (PVC) to meet growing demand. The government’s relaxation of import licenses in 1985 further benefited the company, enabling expansion into global trade.

Foundation of Adani Enterprises and Initial Expansion

In 1988, Gautam Adani established Adani Exports, now known as Adani Enterprises. Initially, it focused on commodity trading, dealing in agriculture and power products. This laid the foundation for the Adani Group’s diversification across multiple industries over the following decades.

Expansion Across Multiple Sectors

Since its inception, the Adani Group has strategically expanded into various industries:

• Commodity Trading: The group started with agricultural and power commodities, forming the backbone of its early operations.
• Infrastructure: The development of Mundra Port positioned Adani as a leader in private port operations, enhancing trade logistics.
• Energy: Adani became a dominant player in power generation and renewable energy, including the establishment of India’s largest solar park.
• Mining and Resources: The group expanded into coal mining in India and internationally, securing energy resources.
• City Gas Distribution: A comprehensive gas distribution network was established, supporting India’s energy infrastructure.
• Airports and Media: The group entered the aviation sector through airport acquisitions and expanded into media with AMG Media Networks, which includes stakes in NDTV.

Global Expansion

The Adani Group has strategically expanded its global footprint across Africa, Australia, and Indonesia. In Africa, Adani Ports leads a consortium that signed a concession agreement to operate Container Terminal 2 at Tanzania’s Dar es Salaam Port, marking its entry into the East African port sector.

In Australia, the Group has invested in the Carmichael coal mine project in Queensland’s Galilee Basin, representing one of the largest investments by an Indian company in that country. In Indonesia, Adani operates coal mines in Bunyu, North Kalimantan, supporting energy demands in India and Southeast Asia.

Conclusion

Starting as a commodity trading firm in 1988, the Adani Group has evolved into one of India’s largest conglomerates, with significant investments in ports, energy, infrastructure, and media. Its strategic diversification has enabled global expansion, making it a key player across multiple industries.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Market Corrections and Sector Performance

The market has dropped by 12-15% in the past five months, leading to significant losses in portfolios. While some stocks have plummeted, not all sectors react the same way during corrections. Understanding the difference between cyclical and defensive sectors can help investors manage risk effectively.

• Cyclical sectors: Perform well during economic growth but decline in downturns. Examples include real estate, commodities, and automobiles.
• Defensive sectors: Remain stable regardless of market cycles. Examples include healthcare, utilities, and consumer staples.

How Have Sectors Performed in Past Crashes?

2007-08 Global Financial Crisis

The 2007-08 financial crisis was triggered by the US housing market collapse, leading to a global recession. From January 2008 to March 2009, markets fell over 60%.

• Defensive sectors like FMCG and pharma had smaller declines compared to cyclical sectors like realty and media, which saw steep losses.
• Investors who allocated funds to defensive sectors faced significantly lower volatility.

2015 Market Crash

The 2015 crash was caused by concerns over China’s slowdown, a 3% devaluation of the Yuan, and weak corporate earnings in India.

• Nifty 50 fell by 25%, with cyclical sectors underperforming.
• Defensive sectors once again outperformed, demonstrating resilience in uncertain times.

While some cyclical sectors like media performed relatively well in 2015, defensive sectors generally proved to be a safer bet.

Key Takeaways from Sector Performance

The performance of sectors varies across different downturns, and past trends do not guarantee future performance. Instead of blindly allocating funds, investors should study sector-specific fundamentals and ongoing economic trends.

Conclusion

Market cycles are unavoidable, but understanding how different sectors react to downturns can help investors make better portfolio decisions. Defensive stocks provide stability in uncertain times, while cyclical stocks offer higher returns during booms. By identifying resilient sectors and allocating investments accordingly, investors can reduce portfolio risk and navigate market corrections more effectively.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Equity Inflows Decline Amid Market Selloff

Net equity inflows into mutual funds dropped sharply in February as the market continued its decline, having lost 18% since its September peak. The inflows fell to ₹29,303.34 crore, marking a 26% decline from January.

The overall assets under management (AUM) of the mutual fund industry also declined by 4.04%, dropping from ₹67.25 trillion in January to ₹64.53 trillion in February, driven by heavy mark-to-market losses in the equity segment.

Impact of Market Correction on Equity Funds

The dip in inflows coincided with a steep fall in key indices—Sensex declined 5.55%, while Nifty fell 5.89% in February. The downturn was attributed to global uncertainties, weak earnings, and concerns over economic growth.

Among equity fund categories, inflows into large-cap funds fell 6.4% to ₹2,866 crore, while midcap and smallcap funds saw the sharpest declines:

• Smallcap fund inflows plunged 35% to ₹3,722.46 crore
• Midcap fund inflows fell 33.8% to ₹3,406.95 crore

However, focused funds were an exception, recording a 64.4% rise in inflows to ₹1,287.72 crore, as investors looked for selective opportunities amid the market downturn.

Debt Funds Witness Net Outflows

Debt-oriented funds recorded significant outflows, with net redemptions of ₹6,525.56 crore in February, a sharp reversal from ₹1.28 trillion in net inflows in January.

Key trends in debt fund flows:

• Ultra-short duration funds saw outflows of ₹4,281.02 crore
• Money market funds witnessed net selling of ₹3,275.97 crore
• Liquid funds attracted net inflows of ₹4,976.97 crore
• Corporate bond funds recorded a net buying of ₹1,064.84 crore

Investor Sentiment

Despite the decline in inflows, February marked the 48th consecutive month of positive net inflows into equity mutual funds, indicating continued investor participation. While short-term uncertainties have moderated investment flows, domestic investor confidence remains steady.

Conclusion

Equity mutual fund inflows declined sharply in February amid a broader market correction, leading to a drop in the industry’s AUM. While smallcap and midcap funds saw the biggest pullback, focused funds gained traction. On the debt side, outflows dominated, reflecting investor repositioning amid expectations of interest rate movements. Despite near-term volatility, long-term investor participation in mutual funds remains strong.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

The Rise of Gensol Engineering

Gensol Engineering went public in 2019 through an SME IPO and later transitioned to the NSE and BSE main platforms by 2023. Operating in renewable energy and EV mobility, two fast-growing sectors, the company generated significant investor interest. With a strong ₹7,000 crore order book, growing revenues, and expansion plans, Gensol appeared to be a promising investment.

What is Happening to Gensol Engineering?

The recent sell-off started when ICRA and Care Ratings downgraded Gensol’s credit rating from BBB- to D for its bank loans, indicating financial distress. A downgrade to D signals severe repayment issues and raises doubts about the company’s financial health.

Credit rating agencies act as financial watchdogs, assessing a company’s ability to meet its obligations. While an AAA rating indicates financial strength, a D rating signals default risk. Investors were particularly alarmed as the company had previously claimed that all debt obligations were being met.

The Debt Problem and Cash Flow Issues

Gensol’s financial troubles are reflected in its high debt levels, amounting to ₹1,146 crore, against reserves and equity of ₹589 crore. With a debt-to-equity ratio of 2x, the company is under financial strain. More concerning is its struggle to service debt, despite claiming otherwise.

Gensol planned to raise ₹244 crore through warrants by March 2024 but has only secured ₹140 crore so far, delaying the rest until December 2025. This funding shortfall raises questions about its ability to execute projects efficiently.

Promoter Pledging Raises Red Flags

Another major concern is promoter share pledging. As of now, 82% of promoter shares are pledged, up from 80% in September 2024.

When promoters pledge shares as collateral for loans, it can be risky. If the stock price drops, lenders may demand additional shares or liquidate pledged holdings, further dragging the stock price down. The pledging reached as high as 85% at one point, signalling financial instability.

The Blusmart Mobility Problem

Gensol’s subsidiary, Blusmart Mobility, is also facing challenges. The company is not profitable and recently defaulted on non-convertible debentures, further weakening Gensol’s financial position.

With Gensol already struggling, the subsidiary’s losses make it even harder for the company to attract fresh investors or secure new funding.

Gensol’s Response: Damage Control or Genuine Fix?

Following the downgrade, Gensol’s management issued clarifications, attributing the financial strain to a cash flow mismatch from large projects. The company maintains that there was no financial misreporting and has formed an independent committee to verify its claims.

Management has highlighted its ₹7,000 crore order book as a sign of revenue stability and reported strong financials for FY25, including:

• 42% increase in revenue
• 89% rise in operating profit
• 34% jump in net profit

To address liquidity concerns, Gensol has announced plans to sell assets and reduce debt by ₹665 crore, with ₹230 crore already repaid in 2024.

Conclusion

Gensol Engineering’s stock crash highlights the risks of high debt, excessive share pledging, and governance concerns. While the company insists that its financials are stable, investors remain unconvinced. To regain trust, Gensol must demonstrate consistent debt repayment, real profitability growth, and promoter commitment. Until then, the uncertainty surrounding its financial health remains a major concern.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.