Changes in Fund Management for Nippon India Mutual Fund’s Passive Schemes

Nippon India Mutual Fund has announced changes in the fund management of several passive schemes, effective February 1, 2025. Jitendra Tolani will replace Himanshu Mange as the fund manager for multiple exchange-traded funds (ETFs) and index funds.

List of Affected Schemes

The following schemes will now be managed by Jitendra Tolani:

Effective Date

The change took effect from February 1, 2025. Investors in these schemes do not need to take any action, but they can review fund updates for any modifications in execution.

These changes are part of routine fund management realignments, with the core investment strategy of these funds remaining intact.

About Nippon India Mutual Fund

Nippon India Mutual Fund (NIMF), formerly Reliance Mutual Fund, is an asset management company offering multiple investment options, including equity, debt, hybrid, and commodity funds. Established in 1995, it became Nippon India MF in 2019 after Nippon Life acquired a 75% stake. It is managed by Nippon Life India Asset Management Limited (NAM India).

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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. 

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.

No Tax on Earnings up to ₹13.7 Lakh: Here’s How You Can Achieve It

In her Budget speech, Finance Minister Nirmala Sitharaman announced that individuals earning up to ₹12 lakh annually are now exempt from income tax. However, for salaried taxpayers, the threshold is slightly higher at ₹12.75 lakh due to a standard deduction of ₹75,000. Additionally, by making use of the National Pension System (NPS), salaried individuals can legally increase their tax-free income to ₹13.7 lakh.

A salaried individual with an annual income of ₹13.7 lakh can lower their tax liability by approximately ₹96,000 through contributions to the pension scheme. However, this benefit is available only if the employer includes NPS as part of the cost-to-company (CTC) structure, as employees cannot independently enrol in it.

How NPS Helps in Reducing Taxable Income?

Under Section 80CCD(2) of the Income Tax Act, up to 14% of an employee’s basic salary contributed to NPS by the employer is tax-deductible. In contrast, under the old tax regime, this benefit was limited to 10% of the basic pay. This allows employees to lower their taxable income significantly.

For instance, if an individual earns ₹13.7 lakh annually, the following deductions apply:

Salary Component Amount (₹)
Basic Salary 6,85,000
NPS Employer Contribution 95,900
Other Salary Components 5,89,100
Total Salary 13,70,000
Less: Standard Deduction -75,000
Less: NPS Contribution -95,900
Taxable Salary 11,99,100

With these deductions, the taxable salary falls below ₹12 lakh, ensuring that no income tax is payable. However, this benefit is only applicable if the employer includes NPS as part of the cost-to-company (CTC) structure. 

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

NTPC Stock in Focus as Delhi High Court Overturns ₹1,891 Crore Arbitration Award

Share Price of NTPC Limited was in focus on Tuesday, February 4, 2025, after the company secured a favourable ruling from the Delhi High Court in a long-standing contractual dispute with Jindal ITF Limited (JITF). The stock opened at ₹314.85, touched an intraday low of ₹310.30, and was trading over 2% higher at ₹1:15 PM.

The case pertained to an infrastructure project involving coal transportation through waterways for NTPC’s Farakka Super Thermal Power Project (STPP). In 2019, an arbitral tribunal ruled against NTPC, awarding ₹1,891 crore plus interest to JITF. However, NTPC challenged the decision in the Delhi High Court under Section 34 of the Arbitration & Conciliation Act, 1996.

High Court’s Ruling: Arbitration Award Declared ‘Perverse’

On January 30, 2025, the Delhi High Court delivered its judgment, which was uploaded on 1st February. The court ruled in favour of NTPC, setting aside the arbitral award entirely. The verdict deemed the original arbitration decision “perverse” and “patently illegal,” thereby relieving NTPC of the financial burden.

This ruling marks a significant development for NTPC, as a reversal of such a large financial liability could positively impact its balance sheet and investor sentiment.

Share Price Reaction

Following the news, NTPC’s share price experienced a positive uptick, gaining over 2% during the day’s trade. Share price of NTPC is down by 4.5% as of February 4, 2025, on a YTD basis. 

NTPC Financial Performance

For NTPC on a standalone basis, total income for Q3 FY25 is ₹42,303 crore as against ₹40,288 crore in the corresponding quarter of the previous year, registering a growth of 5%. For 9M FY25, the total income increased by 6% to ₹1,28,601 crore from ₹1,21,486 crore in the corresponding previous period. 

NTPC’s Profit after tax for Q3 FY25 is ₹4,711 crore, as against ₹4,572 crore in the corresponding quarter of the previous year, registering an increase of 3%. On a 9-month basis, PAT is ₹13,871 crore as against ₹12,523 crore in 9M FY24, registering an increase of 11%. 

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

How Mutual Funds and ULIPs Will Be Taxed After Union Budget 2025

With the enactment of the Finance Bill, 2025, investors must reassess how their capital gains from mutual funds and Unit Linked Insurance Plans (ULIPs) will be taxed. The distinction between long-term and short-term capital gains remains crucial, directly affecting the tax rates applicable upon redemption or sale of investments. Here’s an in-depth look at the revised taxation structure for the financial year 2025-26.

Long-Term Capital Gains Tax

Equity-Oriented Mutual Funds

Mutual funds that allocate at least 65% of their assets to listed domestic equity shares fall under the category of equity-oriented schemes. Gains from investments held for more than 12 months qualify as long-term capital gains and are subject to a 12.5% tax rate, with some exceptions for specific mutual fund categories.

Non-Equity-Oriented Mutual Funds

For debt funds and other non-equity-oriented mutual funds, the required holding period to qualify as long-term capital gains is 24 months. Gains from these investments held beyond 24 months will also be taxed at 12.5%.

Short-Term Capital Gains Tax

Equity-Oriented Mutual Funds

If investors redeem or sell their equity-oriented mutual fund investments before completing 12 months, they will incur a 20% short-term capital gains tax.

Non-Equity-Oriented Mutual Funds

For non-equity-oriented schemes, short-term capital gains (redemption before 12 months) will be taxed at the investor’s applicable income tax slab rate.

Taxation of ULIPs Post Budget 2025

From April 1, 2026, ULIPs with annual premiums exceeding ₹2.5 lakh will be taxed at a 12.5% long-term capital gains (LTCG) rate. This change aims to bring more clarity and fairness to ULIP taxation.

Why This Change Was Introduced?

Previously, there was ambiguity regarding whether ULIP gains should be classified under long-term capital gains or income from other sources. This was especially relevant for high-premium ULIPs, where a large portion of the premium was invested in equity markets.

Unlike traditional life insurance policies that predominantly invest in debt instruments, ULIPs allocate a significant portion of their premiums to equity assets. Consequently, treating them as regular insurance policies for tax purposes was deemed inappropriate. The Budget 2025 framework has now clearly defined their taxation structure, aligning them with equity-linked investments.

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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. 

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.

Gold and Silver Prices on February 4: Check Rates in Your City

Gold spot prices declined in both global and domestic markets on Tuesday, February 4, due to a strong US dollar.

In the international market, spot gold fell by 0.19% to $2,813.47 per ounce as of 12:29 PM.

In India, gold prices dropped by ₹160 across major metro cities. In Mumbai, 24-carat gold is priced at ₹8,304 per gram, while 22-carat gold costs ₹7,612 per gram. The 24-carat gold price per 10 grams is ₹83,040, down by ₹160 as of 12:29 PM on February 4, 2025.

In Delhi, 22-carat gold is priced at ₹75,983 per 10 grams, while 24-carat gold trades at ₹82,890 per 10 grams.

Gold Prices Across Major Indian Cities (February 4, 2025)

Here is a detailed breakdown of gold prices as of February 4, 2025:

City 24 Carat Gold (per 10gm in ₹) 22 Carat Gold (per 10gm in ₹)
Chennai 83,280 76,340
Hyderabad 83,170 76,239
Delhi 82,890 75,983
Mumbai 83,040 76,120
Bangalore 83,100 76,175

Silver Prices in India on February 4, 2025

International silver prices fell by 0.33% to $31.49 per ounce as of 12:29 PM. In India, silver prices declined by ₹240 per kg.

Silver Prices Across Major Indian Cities

 

City Silver Rate in ₹/kg 
Mumbai 94,140
Delhi 93,980
Kolkata 94,020
Chennai 94,420

Key Takeaways

  • Gold Prices: Both 22-carat and 24-carat gold prices have fallen in India; international spot gold trades above $2,800.
  • Silver Prices: Silver rates have dropped in major Indian cities.

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

Quant Mutual Fund Shifts Focus: Moving from Defensive to Growth-Oriented Investments

Quant Mutual Fund is set to reposition its investment strategy, gradually shifting away from defensive stocks towards cyclical and growth-oriented segments. This move is driven by evolving economic conditions both in India and globally, highlighting the importance of agility in portfolio management.

The Kumbh Mela Analogy: A Pitcher of Opportunities

The Kumbh Mela, a massive religious gathering, serves as a microcosm of India’s diverse economy, presenting abundant investment opportunities in sectors such as tourism, hospitality, transportation, and retail. Similarly, the current investment landscape offers a blend of economic, social, and structural shifts that investors can capitalise on.

Global Transformations and India’s Resilience

The U.S. economy is undergoing significant changes under its current leadership, with policies that may reshape global trade dynamics. While protectionist policies and tariffs may lead to short-term market fluctuations, India’s diversified export base and strong domestic demand provide resilience against potential disruptions. Additionally, a decline in Chinese exports to the U.S. could create new opportunities for Indian businesses.

Sectoral Rotation and Market Strategy for 2025

Quant Mutual Fund’s predictive analytics suggest that 2025 will be a pivotal year marked by:

  • Increased volatility in major global asset classes.
  • A shift towards high real interest rates and inflation.
  • Geopolitical risk reduction, with global conflicts stabilising in early 2025.

As a response, Quant Mutual Fund is prioritising diversification, superior risk management, and strategic sectoral positioning.

Market Outlook: Key Investment Strategies

  • Near-term outlook: Selective buying opportunities despite high impact costs.
  • Medium-term (1-year): Constructive market outlook with sector rotation as a key theme.
  • Long-term (3-years): A bullish stance with a ‘buy-on-dips’ approach.
  • Decadal outlook (10-years): India remains a long-term structural growth story, with elevated PE multiples.

Transition to High-Growth Sectors

In the coming months, Quant Mutual Fund will begin adjusting its portfolio allocations, reducing exposure to defensive sectors in favour of high-beta stocks, particularly in the small-cap space. Historically, small-cap stocks tend to recover quickly in market rebounds, making them attractive in the current scenario.

This strategic shift aligns with Quant’s core philosophy—leveraging market pessimism to build positions in sectors with strong potential. The fund’s dynamic investment approach aims to generate superior risk-adjusted returns while helping investors build long-term wealth.

A Future-Ready Investment Approach

With a focus on cyclical growth opportunities, Quant Mutual Fund remains committed to assisting Indian households in achieving financial stability and prosperity. Their evolving strategy reflects a proactive response to market cycles, reinforcing their role as a trusted wealth management partner.

For discerning investors, the path forward involves staying informed, adapting to economic shifts, and positioning investments in high-potential areas poised for growth.

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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. 

Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.

Sigachi Industries Invests $1 Million in Hyderabad R&D Centre to Boost API Development

Sigachi Industries Limited, a key player in the pharmaceutical industry, has announced a significant step towards innovation with the establishment of a state-of-the-art Research and Development (R&D) facility in Hyderabad, India. This strategic initiative, backed by an investment of up to $1 million, aims to streamline its Active Pharmaceutical Ingredients (API) development and analytical research efforts, reinforcing the company’s commitment to excellence and long-term growth. Share price of Sigachi Industries jumps over 3% as 12:06 PM on February 4, 2025. 

Strengthening the API Development Pipeline

Sigachi’s new R&D centre will focus on optimising API production by integrating cutting-edge systems while adhering to stringent global regulatory standards. The investment is expected to accelerate the company’s development pipeline and support the expansion of six Certificate of Suitability to the Monographs of the European Pharmacopoeia (CEP) filings over the next six months.

The facility is designed to:

  • Optimise API production by ensuring high-quality outputs that meet international standards.
  • Expand R&D capabilities with a dedicated USD 1 million investment.
  • Employ 15-20 skilled scientists to enhance product development for regulated markets.
  • Streamline pharmaceutical product portfolio, focusing on high-priority APIs and intermediates.
  • Create synergies for manufacturing and regulatory filings, consolidating operations under one roof.

A Commitment to Innovation and Growth

Commenting on this initiative, Amit Raj Sinha, Managing Director and CEO of Sigachi Industries, highlighted the company’s growing focus on R&D.

“We have made significant progress in delivering APIs to the pharmaceutical market. Our increased commitment to R&D is a clear testament to our strategic vision for innovation and excellence. By deepening our investments, we aim to accelerate our development efforts while reinforcing our long-term growth objectives and strengthening Sigachi’s overall pipeline.”

About Sigachi Industries

With over 35 years of experience, Sigachi Industries Limited is a leading player in the pharmaceutical sector, specialising in APIs, intermediates, excipients, and vitamin-mineral nutrient blends. The company operates 5 manufacturing facilities across Telangana, Gujarat, and Karnataka, with a global presence spanning 65+ countries.

Sigachi continues to invest in research and technology to develop high-value pharmaceutical solutions, ensuring stringent compliance with international safety and quality standards. Its commitment to innovation has positioned it as a trusted partner for pharmaceutical and nutraceutical companies worldwide.

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

Adani Ports Achieves Record Cargo Volume in January 2025

Adani Ports and Special Economic Zone Limited (APSEZ) has set a new milestone, handling its highest-ever monthly cargo volume of 39.9 million metric tonnes (MMT) in January 2025. This marks a 13% year-on-year (YoY) increase, primarily driven by container cargo and liquid & gas shipments. The share price of Adani Port was trading higher by 1.19% as of 11:05 AM. 

Growth in Key Segments

The robust cargo performance in January 2025 was supported by significant growth in specific cargo categories:

  • Container Cargo: Recorded a 32% YoY increase, led by containers and liquid and gas.
  • Liquid & Gas Cargo: Achieved an 18% YoY growth, showcasing APSEZ’s growing role in handling energy-related shipments.
  • Containers: Achieved a 32% YoY growth.

Year-to-Date Performance and Key Milestones

For the period spanning from April 2024 to January 2025, APSEZ reported a total cargo volume of 372.2 MMT, reflecting a 7% YoY growth. The primary contributors to this increase were:

  • Container Cargo: Expanded by 20% YoY.
  • Liquid & Gas Cargo: Rose by 9% YoY.

Logistics and Rail Operations

In addition to port operations, APSEZ’s logistics and rail division demonstrated steady growth:

  • Rail Volumes: Handled 0.53 million twenty-foot equivalent units (TEUs), marking a 9% YoY increase.
  • GPWIS (General Purpose Wagon Investment Scheme): Recorded 18.1 MMT in volume, a 12% YoY rise.

Financial Performance

APSEZ’s financial performance for the December quarter

  • Net Profit: Increased by 14% YoY to ₹2,520 crore.
  • Revenue: Grew 15% YoY to ₹7,964 crore, compared to ₹6,920 crore in the same quarter last year.
  • EBITDA: Rose 15% YoY to ₹4,802 crore, though EBITDA margins declined slightly by 20 basis points to 60.3% from 60.5%.

For the first 9 months of the financial year, the company’s cumulative profit exceeded ₹8,000 crore, while total cargo volumes stood at 332 MMT.

Cargo and Revenue Guidance for the Year

Despite the strong performance, APSEZ has maintained its full-year cargo volume guidance between 460 MMT to 480 MMT, while revenue expectations remain between ₹29,000 crore to ₹31,000 crore.

To meet these targets, the company would need to handle between 128 MMT and 148 MMT of cargo in the Q4.

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

Titagarh Rail Expands into Shipbuilding and Maritime Sector in Strategic Diversification

Titagarh Rail Systems, a key player in railway manufacturing, has announced its entry into the shipbuilding and maritime sector. This diversification aims to broaden the company’s presence beyond rail systems, marking a strategic shift into marine business activities, including shipbuilding, ship repair, and other maritime operations.

The move was officially announced on February 3, as the company seeks to leverage its engineering expertise to establish a strong foothold in the maritime industry.

New Business Verticals for Growth

In addition to the maritime foray, Titagarh Rail has also introduced a dedicated business vertical for ‘Signalling and Safety Systems’ within the railway sector. This new division is focused on enhancing railway safety and efficiency by developing and installing cutting-edge solutions to ensure smooth and secure train operations.

This dual expansion strategy highlights the company’s commitment to diversifying its business lines while reinforcing its leadership in the transportation sector.

Key Leadership Appointments

To steer the company’s new ventures, Titagarh Rail has reshuffled its leadership team:

  • Anil Kumar Agarwal, previously Deputy Managing Director and CEO of Freight Rail Systems, has been promoted to Deputy Managing Director (DMD) of the company.
  • Saket Kandoi, formerly Director of Freight Rolling Stock, has been assigned the responsibility of the maritime business as Director & CEO (Maritime).

These leadership changes signify Titagarh’s commitment to efficiently managing its growing business portfolio.

Strengthening Its Manufacturing Capabilities

Titagarh Rail has been steadily expanding its manufacturing capabilities, particularly in wagon production. The company recently stated that by Q1FY26, its foundry capacity will enable the production of 1,000 wagons per month.

Additionally, Titagarh Rail has indicated plans to aggressively pursue new orders from 2025 onwards, aiming to bolster its order book to new levels and sustain its growth momentum.

Competing in the Maritime Industry

With its expansion into shipbuilding and maritime systems, Titagarh Rail is set to compete with well-established public sector enterprises such as Mazagon Dock Shipbuilders, Cochin Shipyard, and Garden Reach Shipbuilders & Engineers. 

Share Price Performance

Following the announcement, Titagarh Rail Systems’ share price opened at ₹928 on the NSE and touched an intraday high of ₹938.70. As of 10:49 AM, the stock was trading at a slight decline of 0.55%. 

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

Government Initiatives to Promote Biofuels in India

Biofuels are emerging as a sustainable alternative to fossil fuels, offering environmental and economic benefits. Recognising their potential, the Indian government has introduced several policies and incentives to encourage biofuel production, blending, and adoption.

The National Policy on Biofuels (2018) and Its 2022 Amendment

The National Policy on Biofuels, 2018, and its 2022 amendment have played a crucial role in expanding the scope of biofuel production in India. The policy identifies a broad range of feedstocks that can be used for biofuel production, including:

  • Sugar-based sources: C and B-heavy molasses, sugarcane juice, sugar, sugar syrup.
  • Biomass sources: Agricultural residues (rice straw, cotton stalk, corn cobs, sawdust, bagasse, etc.), grasses.
  • Starch-based sources: Corn, cassava, rotten potatoes, agro-food industry waste.
  • Damaged food grains: Broken rice, food grains unfit for human consumption, surplus food grains.
  • Industrial and municipal waste: Plastic waste, municipal solid waste, industrial off-gases.
  • Other sources: Algae, seaweed, used cooking oil, animal tallow, acid oil, non-edible oilseeds.

By expanding the scope of raw materials, the policy has opened new avenues for biofuel production and reduced dependency on conventional sources.

Key Government Measures to Promote Biofuels

To encourage investment and adoption of biofuels, the government has implemented several measures, including:

1. Biodiesel Blending Programme

The government has set indicative blending targets for biodiesel in diesel and facilitated the direct sale of biodiesel under the National Policy on Biofuels. This initiative aims to gradually replace traditional diesel with biodiesel, reducing carbon emissions and dependency on crude oil imports.

2. GST Reduction on Biodiesel Procurement

To incentivise the blending of biodiesel with high-speed diesel for transportation, the Goods and Services Tax (GST) rate was reduced from 12% to 5%. This move makes biodiesel procurement more affordable and promotes large-scale adoption.

3. Guidelines for the Sale of Biodiesel (2019)

In 2019, the government introduced “Guidelines for Sale of Biodiesel for Blending with High-Speed Diesel for Transportation Purposes”. These guidelines provide a structured framework for the sale and distribution of biodiesel, ensuring compliance with safety and quality standards.

4. Financial Assistance under Pradhan Mantri JI-VAN Yojana

The Pradhan Mantri JI-VAN (Jaiv Indhan – Vatavaran Anukool fasal awashesh Nivaran) Yojana, launched in 2019 and amended in August 2024, provides financial assistance for setting up advanced biofuel projects. This scheme focuses on:

  • Encouraging second-generation (2G) ethanol and advanced biofuel production
  • Promoting the use of agricultural waste for fuel generation
  • Supporting private sector investments in bio-refineries

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