Zee Media Shares Jump 5% After Board Approves Fundraising Through Foreign Bonds

Zee Media Corporation share price surged by 5.1% on April 9, 2025, reaching an intraday high of ₹13.5 per share on the BSE. This rise followed the company’s decision to raise funds by issuing Foreign Currency Convertible Bonds (FCCBs) worth $46.59 million. The bonds, which carry a 5% annual interest rate, have a maturity period of 10 years. The issuance opened on April 8, 2025. 

What Are FCCBs? 

FCCBs are bonds issued in foreign currency that investors can later convert into company shares. This fundraising method allows Zee Media to attract foreign investments while giving bondholders the option to become shareholders at a fixed price in the future. The conversion terms and price are determined at the time of issuance. 

Read More CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue.   

Key Details of the FCCB Issue 

  • Coupon Rate: 5% per year 
  • Maturity Period: 10 years 
  • Conversion Price: ₹13.5 per equity share (including a premium of ₹12.5) 
  • Floor Price: ₹13.04 per equity share 

Current Market Performance 

As of 1:19 PM on April 9, Zee Media shares were up by 2.57%, trading at ₹13.17 per share. In contrast, the BSE Sensex was down 0.43%, standing at 73,905.78. Zee Media’s market capitalisation was ₹765.52 crore. The stock’s 52-week high was ₹26.29 per share, while its 52-week low stood at ₹10.36 per share. 

About Zee Media 

Zee Media is a part of Zee Entertainment Enterprises and operates in the TV broadcasting and digital content space. The company runs multiple news and infotainment channels, along with online media platforms. 

Stock Performance Over the Last Year 

Over the past year, Zee Media shares have gained 8.7%, outperforming the BSE Sensex, which has risen by only 1% during the same period. 

Conclusion 

Zee Media’s move to raise funds through FCCBs aims to draw foreign investors and strengthen its financial position. With the stock gaining momentum, investors are closely watching its future performance. 

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. 

Zomato vs Swiggy: Which Stock is Performing Better in 2025? 3 Key Insights

Competition in the food delivery industry is heating up, with both Zomato (now Eternal Limited) and Swiggy vying for dominance. While Zomato has undergone a corporate rebranding, Swiggy is focusing on enhancing user experience with new features. Let’s compare their stock performance, business strategies, and financial results to see which company is ahead in 2025. 

Stock Performance: Zomato vs Swiggy 

Zomato, which officially changed its corporate name to Eternal Limited on April 9, is trading at ₹210 per share, down 2% in today’s session. Over the past week, the stock has dipped by 1%, and over 3 months, it has declined by 14%. In the last 6 months, it has dropped 25%, and its year-to-date (YTD) performance is down 23%. However, over the last year, the stock has risen 10%. Eternal’s 52-week high stands at ₹304.70, meaning it is currently 31% below its peak. The company’s market capitalisation is ₹1.95 lakh crore. 

Meanwhile, Swiggy, which went public in November 2024, is performing slightly better today, rising 2% in intraday trade. Over the past week, its stock has fallen by 2%, and in the last month, it has dropped 6%. However, its 3-month performance shows a sharp decline of 33%, and YTD, the stock has plunged 38%. Swiggy’s share price is near its 52-week low of ₹306.95, which is significantly below its 52-week high of ₹617.30—a fall of nearly 50% from its peak. Its market capitalisation stands at ₹77,260 crore. 

Zomato’s Rebranding vs Swiggy’s New Feature 

Zomato has been making headlines due to its name change to Eternal Limited, approved by the Ministry of Corporate Affairs. This rebranding aligns with its expanding portfolio, which includes Blinkit (quick commerce), Hyperpure (B2B supplies), and District (dining services). While the consumer-facing Zomato brand remains unchanged, the stock ticker has changed to ETERNAL, and the company’s official website is moving to eternal.com. 

On the other hand, Swiggy is grabbing attention with its Maxxsaver feature. Introduced on Instamart, this tool automatically applies savings of up to ₹500 on bulk orders across categories like groceries, electronics, fashion, and makeup. The feature is applied at checkout and will soon be part of Swiggy BLCK, its premium membership program. 

Read More CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue.   

Financial Performance: Profits vs Losses 

Zomato (Eternal) reported a 57% drop in net profit to ₹59 crore in Q3 FY25, despite a 64% surge in revenue to ₹5,404 crore. The company’s gross order value (GOV) rose 57% YoY to ₹20,206 crore, with food delivery GOV increasing by 17% YoY to ₹9,913 crore. Notably, adjusted EBITDA jumped 128% YoY to ₹285 crore. 

Swiggy, however, posted a wider net loss of ₹799 crore in Q3 FY25, increasing 39% YoY, despite a 31% rise in revenue to ₹3,993 crore. Its GOV grew 38% YoY to ₹12,165 crore, but adjusted EBITDA loss stood at ₹490 crore. 

Conclusion 

While both companies are leading players in the food delivery space, Zomato (Eternal) appears more stable in terms of revenue growth and profitability. Swiggy, though innovative with new features like Maxxsaver, is still facing higher losses. Investors will likely keep an eye on how Swiggy manages its financials and whether Eternal’s rebranding strategy pays off in the long run. 

 

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. 

HUDCO Share Price Rise After Approval to Issue Capital Gain Tax Exemption Bonds

HUDCO’s share price gained on Wednesday, even as the broader Indian stock market declined following the Reserve Bank of India’s (RBI) monetary policy announcement. The stock rose by 1.73% to ₹210.65 on the BSE after the company received government approval to issue Capital Gain Tax Exemption bonds. 

Government Approval for Tax-Exempt Bonds 

Housing & Urban Development Corporation Ltd (HUDCO) announced that the Central Board of Direct Taxes (CBDT) has granted approval for issuing Capital Gain Tax Exemption bonds under Section 54EC of the Income-tax Act, 1961. The approval, effective from April 1, 2025, was officially notified on April 7, 2025. 

Read More CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue.   

HUDCO Signs MoU with MMRDA 

In another significant development, HUDCO signed a Memorandum of Understanding (MoU) with the Mumbai Metropolitan Region Development Authority (MMRDA) on April 8, 2025. Under this agreement, HUDCO will explore funding of up to ₹1,50,000 crore over five years for infrastructure projects in the Mumbai Metropolitan Region. 

Additionally, HUDCO will provide consultancy services and capacity-building support to MMRDA to enhance project implementation. 

HUDCO Share Price Performance 

HUDCO’s stock has seen strong gains over the past month, rising by 15%. However, on a year-to-date (YTD) basis, the stock has declined by 12%. Over the last year, it has remained mostly stable but has delivered exceptional long-term returns. 

  • 2-year gain: 372% 
  • 5-year gain: 864% 

As of 1:25 PM, HUDCO shares were trading 1.33% higher at ₹209.80 on the BSE. 

Conclusion 

HUDCO’s recent approvals and partnerships strengthen its position in infrastructure financing. While the stock shows mixed short-term trends, its long-term returns remain 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. 

 

 

Why Are IT Stocks Falling on April 09? 4 Key Reasons Behind the Market Selloff

Indian IT stocks are facing a sharp decline, with the Nifty IT index falling over 3% today. This continues a broader downtrend, as the index has dropped nearly 11% in the last 7 trading sessions, losing about 3,800 points. Over the past month, it is down 14%, and in 3 months, it has crashed by 25%. 

Once considered a stable investment, IT stocks are now among the worst performers in the market. Let’s explore the key reasons behind this fall and identify the biggest losers in the sector. 

Top IT Stocks Dragging the Market Down 

Most major IT stocks are in the red today. Wipro has taken the biggest hit, falling 4.5%, followed by MphasiS, Persistent Systems, and Tech Mahindra, each losing over 3%. LTIMindtree, Infosys, Oracle Financial Services, and HCL Tech have declined around 2%, while TCS is down 1.5%. 

Read More CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue.   

4 Reasons Why IT Stocks Are Falling 

  1. Weak Global Tech Sentiment

Indian IT stocks often follow the performance of the US-based NASDAQ index, which houses global tech giants like Apple, Amazon, and Microsoft. NASDAQ futures have dropped 2%, signalling weak investor confidence in the tech sector. Since a major portion of Indian IT revenue comes from the US, any downturn in NASDAQ impacts Indian tech firms as well. 

  1. US Recession Fears

The US is the largest market for Indian IT services. Concerns over a possible economic slowdown, driven by high inflation and new trade policies under the Trump administration, have created uncertainty. Analysts warn that if inflation rises, businesses may cut IT spending, affecting Indian outsourcing firms. 

  1. Weak Q4 Earnings Outlook

Indian IT companies are struggling to boost their profits. With lower attrition rates, high employee utilisation, and pressure on pricing, firms are finding it difficult to improve margins. Analysts expect Infosys to forecast revenue growth of just 1-3% for FY26, similar to its performance in FY25. 

  1. High Valuations and Risk of Further Decline

If a US recession occurs, Indian IT stocks could fall. Even without new trade restrictions, stock valuations remain under pressure. 

According to analysts, TCS, Infosys, HCL Tech, and Coforge have relatively lower downside risks but are still vulnerable. Tech Mahindra, Coforge, LTIMindtree, and Infosys could face the steepest declines due to their exposure to discretionary spending and manufacturing clients. Additionally, companies with weaker leadership stability may struggle more during an economic slowdown. 

Coforge and LTIMindtree have already seen a sharp fall in their stock prices. 

Conclusion 

The ongoing selloff in IT stocks reflects global economic uncertainties and weak earnings prospects. While some stocks may have limited downside, the overall sector remains vulnerable to further declines. Investors should stay cautious, focusing on companies with strong fundamentals and stable leadership. 

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. 

 

 

 

RBI Cuts Repo Rate by 25 bps, Focuses on Growth: 5 Key Takeaways from April MPC Meeting

The Reserve Bank of India (RBI) reduced the repo rate by 25 basis points (bps) in its April Monetary Policy Committee (MPC) meeting held on April 7, 8, and 9. The decision was taken to support economic growth while keeping inflation in check. The new repo rate is set at 6%, effective immediately. 

Here are the 5 key takeaways from the RBI’s April policy meeting:

Interest Rates Cut, Policy Stance Turns Accommodative

RBI Governor Sanjay Malhotra announced a 25 bps cut in the repo rate, bringing it down to 6%. Other key rates were also adjusted: 

  • Standing Deposit Facility (SDF) rate: 5.75% 
  • Marginal Standing Facility (MSF) rate & Bank Rate: 6.25% 

Additionally, the RBI shifted its policy stance from “neutral” to “accommodative”, meaning it may take further steps to support economic growth. 

Read More CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue. 

 Inflation Expected to Stay Low in FY26

The RBI has revised its inflation forecast for FY26 downward, expecting it to remain around 4%, compared to the earlier estimate of 4.2%. The new quarterly projections are: 

  • Q1: 3.6% (previously 4.5%) 
  • Q2: 3.9% (previously 4%) 
  • Q3: 3.8% (unchanged) 
  • Q4: 4.2% (previously 4.4%) 

The central bank believes inflation will stay at comfortable levels and that risks are evenly balanced. 

 Growth Forecast Lowered for FY26

Due to uncertainties in global trade and policies, the RBI lowered its GDP growth projection for FY26 from 6.7% to 6.5%. The quarterly growth estimates have also been revised: 

  • Q1: 6.5% (previously 6.7%) 
  • Q2: 6.7% (previously 7%) 
  • Q3: 6.6% (previously 6.5%) 
  • Q4: 6.3% (previously 6.5%) 

Despite the revision, the RBI remains optimistic that growth will remain strong. 

 Current Account Deficit (CAD) Under Control

The RBI Governor reassured that India’s net services exports and remittance inflows will continue to help balance the trade deficit. He noted that India’s services exports remained strong in early 2025, led by software, business, and transportation services. 

As a result, the current account deficit (CAD) for FY25 and FY26 is expected to stay within sustainable levels. 

 Additional Announcements by RBI

The RBI Governor introduced six key regulatory measures across banking, fintech, and payments: 

  • Securitisation of Stressed Assets: Banks will be able to sell stressed loans through a market-based mechanism, in addition to the existing Asset Reconstruction Company (ARC) route. 
  • Expanded Co-Lending Model: The RBI will allow all regulated lenders to co-lend across different types of loans. 
  • New Gold Loan Regulations: The central bank will introduce stricter rules for gold loans, covering lending practices and customer protection. 
  • Revised Rules for Non-Fund-Based Facilities: RBI will harmonise regulations for letter of credit, bank guarantees, and credit enhancement facilities across lenders. 
  • UPI Transaction Limits: The NPCI (National Payments Corporation of India) will work with banks to set transaction limits for UPI person-to-merchant payments. 
  • Regulatory Sandbox to be Open for All: The RBI will make its Regulatory Sandbox “theme-neutral” and open for ongoing applications, allowing fintech companies to test innovations more freely. 

Conclusion 

The RBI’s April policy meeting focused on balancing growth and inflation while keeping financial risks in check. The repo rate cut, inflation control measures, and regulatory changes are expected to support economic stability and enhance credit access for businesses and consumers. 

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. 

ITI Limited Launches State Network Operations Center (S-NOC) for BharatNet Phase-III in Himachal Pradesh

ITI Limited, India’s first public sector telecom company, has started work on the State Network Operations Center (S-NOC) for the BharatNet Phase-III Project in Solan, Himachal Pradesh. This initiative, undertaken in partnership with BSNL, will help monitor, manage, and secure the network infrastructure of the project, ensuring smooth connectivity. 

Background of the BharatNet Phase-III Project 

In November 2024, ITI Limited won the BharatNet Phase-III contract for: 

  • Himachal Pradesh (Package No. 8) 
  • West Bengal and Andaman & Nicobar Islands (Package No. 9) 

The total order value for this project is ₹5,050 crore. The project follows a Design, Build, Operate, and Maintain (DBOM) model and is funded by the Universal Service Obligation Fund (USOF), Government of India. 

Know More Nifty Weekly Expiry Today: Manappuram Finance and 2 Others Under F&O Ban on April 9.  

 Launch Event in Solan 

The S-NOC launch event was held at the BSNL office in Solan. Key officials present included: 

  • Mr. Rajesh Rai, Chairman & Managing Director, ITI Limited 
  • Mr. Anil Kumar Gupta, CGM, BSNL 
  • Mr. Rajeev Srivastava, Director-Finance, ITI Limited 
  • Mrs. Namita, GM, ITI Limited 
  • Mr Jaspal Singh, Senior GM, BSNL 

Objective of the Project 

The BharatNet Phase-III Project aims to connect all gram panchayats in India to the IP-MPLS Ring Network. The S-NOC in Himachal Pradesh will help monitor connectivity and ensure smooth internet access for rural consumers. 

Implementation Plan in Himachal Pradesh 

  • 3,615 gram panchayats will be connected to 91 block headquarters with 10 Gbps bandwidth. 
  • These will link to BSNL’s IP-MPLS Ring Network, providing connectivity to 15,538 villages. 
  • Around 20,000 km of optical fibre cable (OFC) will be laid across the state. 

Impact on Rural Connectivity 

Speaking at the event, Mr. Rajesh Rai, CMD of ITI Limited, highlighted the importance of this project: 

  • Bridging the Digital Divide: High-speed internet in rural areas will improve education, healthcare, business, and e-governance. 
  • Overcoming Geographical Challenges: Despite Himachal Pradesh’s difficult terrain, ITI Limited is committed to completing the project on time. 
  • Boosting Digital India Initiative: The project will enhance digital infrastructure and support India’s rural empowerment goals. 

About ITI Limited 

ITI Limited is a leading telecom solutions provider and a multi-unit public sector company. It operates six advanced manufacturing facilities in Bengaluru, Naini, Raebareli, Mankapur, Srinagar, and Palakkad. The company also has an in-house R&D centre in Bengaluru and marketing, sales, and project (MSP) offices across India. 

As of April 9, 2025, at 11:03 AM IST, ITI Limited share price was trading at ₹252.00, up by ₹9.69 or 4.00% for the day. The stock opened at ₹241.00, reached a high of ₹254.40, and a low of ₹237.50. ITI Limited has a market capitalisation of ₹24,270 crore. The company’s price-to-earnings (P/E) ratio and dividend yield are not available. Over the past 52 weeks, the stock has hit a high of ₹592.70 and a low of ₹210.00. 

Conclusion 

The S-NOC launch marks a significant step in bridging India’s digital divide. By enhancing rural connectivity, ITI Limited strengthens the Digital India initiative and enables better access to education, healthcare, and e-governance in remote areas. 

 

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. 

Prestige Group Launches 14 Million Sq. Ft. of Projects in Q4 FY25, Achieves Strong Sales

Prestige Estates Projects Limited, one of India’s top real estate developers, successfully launched several residential projects in the fourth quarter of FY25. The company introduced four new projects in Bengaluru, Mumbai, and Hyderabad, covering a total developable area of 14.03 million square feet. These projects include 4,548 housing units, with a combined Gross Development Value (GDV) of ₹1,61,338 million. 

Project Details and Market Response 

Despite launching some major projects towards the end of the quarter, Prestige Group recorded strong sales before the quarter closed. This reflects a high demand for their properties and the trust customers have in the brand. 

Here is a breakdown of the newly launched projects: 

Project Name  City  Developable Area (Mn Sq. Ft.)  Units  GDV (₹ Mn) 
Prestige Suncrest  Bengaluru  0.86  437  6,976 
Prestige Nautilus  Mumbai  2.92  325  86,651 
Prestige Southern Star – Phase I  Bengaluru  5.21  2,130  35,707 
Prestige Spring Heights  Hyderabad  5.05  1,656  32,004 
Total  –  14.03  4,548  1,61,338 

Prestige Nautilus in Mumbai was a standout success, generating ₹23,857 million in sales within a month. Prestige Southern Star in Bengaluru and Prestige Spring Heights in Hyderabad also performed well, recording sales of ₹13,821 million and ₹11,101 million, respectively, in the final days of the quarter. 

Catering to a Wide Range of Homebuyers 

Prestige Group’s new projects cater to various buyer segments, ranging from mid-income and aspirational housing to premium and luxury homes. The company is committed to offering high-quality residential spaces that meet the diverse needs of homebuyers. 

Know More Nifty Weekly Expiry Today: Manappuram Finance and 2 Others Under F&O Ban on April 9. 

Future Expansion Plans 

Building on this momentum, Prestige Group has an ambitious pipeline of upcoming projects across Bengaluru, the National Capital Region (NCR), Chennai, and Mumbai. 

Leadership Insights 

Commenting on the success of these launches, Mr Irfan Razack, Chairman and Managing Director of Prestige Group, stated: 

“We are thrilled by the positive response our Q4 projects have received across various cities and customer segments. While navigating challenges in project approvals, our team worked diligently to bring these developments to market. The strong sales figures highlight the resilience of our team, the appeal of our projects, and the trust customers place in the Prestige brand.” 

About Prestige Group 

Prestige Estates Projects Limited is a leading name in real estate sector in India, with over 30 years of experience. The company has delivered more than 300 projects across residential, commercial, retail, hospitality, and mixed-use segments, setting high industry standards. With continued expansion and customer-focused developments, Prestige Group remains committed to shaping India’s real estate landscape. 

As of April 9, 2025, at 10:34 AM IST, Prestige Estates Projects share price is trading at ₹1,087.00, down by 0.050 (0.0046%) for the day. The stock opened at ₹1,094.10, reaching a high of ₹1,094.10 and a low of ₹1,063.00. The company has a market capitalisation of ₹46,800 crore, a P/E ratio of 75.46, and a dividend yield of 0.17%. Over the past year, the stock has ranged between a 52-week high of ₹2,074.80 and a 52-week low of ₹1,048.05. 

Conclusion 

Prestige Group’s successful Q4 launches and strong sales reaffirm its market leadership and customer trust. With upcoming projects across major cities, the company is poised for further growth. 

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. 

 

CRISIL, Ashiana Housing, and Others in Focus for Dividend, Stock Split, and Rights Issue

Several companies, including CRISIL, Ashiana Housing, Annvrridhhi Ventures, and Enbee Trade & Finance, will be in the spotlight today due to key corporate actions such as dividends, stock splits, and rights issues. These companies will trade ex-date on Friday, April 11, 2025. 

Stock Market Holiday on April 10 

The Indian stock markets (NSE and BSE) will be closed on Thursday, April 10, 2025, due to Mahavir Jayanti. This means investors should plan their trades accordingly before the market reopens on April 11. 

Read More Nifty Weekly Expiry Today: Manappuram Finance and 2 Others Under F&O Ban on April 9. 

CRISIL and Ashiana Housing to Trade Ex-Dividend 

  • CRISIL has declared an interim dividend of ₹26 per share. 
  • Ashiana Housing has announced an interim dividend of ₹1 per share. 
  • The record date for both companies is April 11, 2025, which means only shareholders holding these stocks as of this date will be eligible to receive the dividend. 

Enbee Trade & Finance Announces Stock Split 

  • Enbee Trade & Finance has decided to split its shares from ₹10 each to ₹1 per share. 
  • The record date for this stock split was Friday, April 4, 2025. 
  • A stock split helps make shares more accessible for investors by increasing the number of shares while keeping the total investment value unchanged. 

Annvrridhhi Ventures’ Rights Issue 

  • Annvrridhhi Ventures has announced a rights issue of 3.24 crore fully paid-up shares. 
  • Each share will have a face value of ₹10, with a premium of ₹5, making the issue price ₹15 per share. 
  • The record date for shareholders eligible to take part in the rights issue is April 11, 2025. 
  • The company is currently under the Graded Surveillance Measure (GSM) on the BSE, meaning it is being monitored closely due to trading concerns. 

Understanding the Ex-Date 

The ex-date is the day when a stock begins trading without the right to dividends, stock splits, or rights issues. Investors who bought the stock on or after this date will not be eligible for these benefits. To qualify, investors must own the stock before the ex-date. The company determines eligible shareholders based on the record date. 

Investors should plan their trades carefully to ensure they qualify for dividends, stock splits, or rights issues before the deadlines. 

Conclusion 

With key corporate actions like dividends, stock splits, and rights issues approaching, investors should plan accordingly to ensure eligibility. Keeping track of record dates is crucial for maximising benefits. 

 

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. 

SWP in Mutual Funds: A Smart Way for Senior Citizens to Get Regular Income

Planning for retirement is essential to ensure a steady income after leaving the workforce. While many people know about Systematic Investment Plans (SIPs), fewer are aware of Systematic Withdrawal Plans (SWPs). SWP is a great option for senior citizens who need regular income post-retirement. It allows investors to withdraw a fixed amount from their mutual fund investments at regular intervals, providing financial stability. 

What is SWP and How Does It Work? 

SWP helps investors withdraw money periodically from their mutual fund investments instead of taking a lump sum. This ensures they have a steady flow of income while their remaining investment continues to grow. 

For example, if Mr Sharma invests ₹10 lakhs in a balanced mutual fund and sets up an SWP for ₹10,000 per month, the fund redeems units worth ₹10,000 every month and transfers the amount to his bank account. Meanwhile, the rest of his investments keep earning returns. 

Read More Nifty Weekly Expiry Today: Manappuram Finance and 2 Others Under F&O Ban on April 9. 

Why is SWP Beneficial for Senior Citizens? 

1. Regular Income Post-Retirement 

After retirement, a regular salary stops, but expenses continue. SWP helps retirees maintain their lifestyle without financial stress by providing a steady cash flow every month. 

2. Tax Efficiency 

SWP is more tax-friendly than lump sum withdrawals. In equity mutual funds, only the gains are taxed, and long-term capital gains (LTCG) tax applies if the investment is held for over a year. For debt mutual funds, LTCG tax is 20% with indexation benefits, which reduces the tax burden compared to fixed deposits. 

3. Flexibility and Control 

Investors can choose the withdrawal amount and frequency (monthly, quarterly, etc.). If financial needs change, they can increase, decrease, or stop withdrawals anytime. 

4. Protection from Market Fluctuations 

Market volatility can be risky for senior citizens. SWP provides stable income even when markets are down, allowing the remaining investment to recover over time. 

How Senior Citizens Can Use SWP Effectively 

  • Invest in a Balanced Fund – A mix of equity and debt funds provides both growth and stability. 
  • Start with a Lump Sum Investment – Investing a substantial amount helps generate regular income. 
  • Choose a Realistic Withdrawal Amount – A safe withdrawal rate is 4-6% per year to avoid depleting funds too quickly. 
  • Monitor Investment Performance – Regularly check the fund’s performance and adjust withdrawals if needed. 
  • Use Tax Benefits Wisely – Equity-oriented funds offer better tax efficiency compared to debt funds. 

Example of SWP for a Retired Person 

Let’s say Mrs. Mehta, a retired government employee, invests ₹20 lakh in an equity mutual fund. She sets up an SWP of ₹15,000 per month. Over a year, she withdraws ₹1.8 lakh. If her investment grows at 10% per year, she earns ₹2 lakh as returns. This way, she maintains her capital while enjoying a steady income. 

Conclusion 

SWP is a smart financial strategy for senior citizens, offering regular income, tax benefits, and flexibility. By selecting the right mutual fund and planning withdrawals wisely, retirees can secure a comfortable and stress-free financial future. 

Ensure steady returns with systematic withdrawals! Estimate your withdrawals with our SWP Calculator and manage your finances seamlessly.

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. 

 

 

Closing Bell: Sensex Rises 1,139 Points; Nifty Tops 22,500 Amid Strong Buying on April 08, 2025

Indian stock markets traded higher on Tuesday, supported by stability in other Asian markets. Investors also remained focused on upcoming economic data and the RBI’s monetary policy decision.

By 3 PM, the BSE Sensex rose 1,139.52 points (1.56%) to 74,277.42, while the Nifty 50 climbed 370.95 points (1.67%) to 22,532.55.

Mid-cap and small-cap stocks also performed well, with the Nifty MidCap and Nifty SmallCap indices gaining 2.2% each.

Broader Market Closing

The broader markets ended on a strong note:

  • BSE MidCap index gained 1.87%

  • BSE SmallCap index climbed 2.18%

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Sectoral Gains

Several sectors saw strong buying interest. The Nifty Financial Services, FMCG, IT, PSU Bank, and Realty indices all advanced by over 2% each.

Top Gainers and Losers

Oil Prices

As of April 08, 2025, at 03:22 PM, Brent Crude was trading at $64.35, up by 0.22%.

 

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.