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I am no longer an advocate of elaborate techniques ofsecurity analysis in order to find superior valueopportunities.

-Benjamin Graham, American Stock Market Investor

National Headlines R.Com fails to break MTN jinx, ends talks. The reason given is the legal hurdles of

MTN.

Kingfisher Airlines runs up to Rs. 4000 Crores debt, it also plans to sell two A340sto other carriers and defer delivery of 29 aircrafts.

Hindustan Unilever is one of the companies that have beaten the inflation andslowdown by a margin as its Q2 profits increase by 13% due to higher consumerspending.

LIC walks out of the credit card venture with GE.

BSNL plans to invest Rs. 5000 Cr. in Wi-Max Technology project.

N-deal looms over Indias gas plan, projects worth over $20 billion are being re-considered.

Lafarge French cement maker to pump in $1 billion for pan India presence.

GSPC (Gujarat state petroleum corporation) to pump in Rs. 4000 Crs. for KG basinoil & gas.

International Headlines

Teva Pharmaceutical Company to buy rival Barr Inc for $7.46 Billion.

Ford reports $8.7 billion loss in Q2.

InBev to buy Anheuser for $52 billion.

Swiss drug maker Roche holding company has offered to buy the remainingoutstanding shares of Genentech for $43.7 billion.

Oil prices which had touched $146/barrel have now eased down to near about$123/barrel.

IMF Says End to U.S. Housing Slump `Not Visible,' Credit Crisis May Worsen.

Record $490 Billion U.S. Budget Gap Facing Next President, Official Says.

U.K. House Prices Fell 4.4% in July, the Biggest Drop since at Least 2001.

1st Aug. 2008

Volume 2, Issue 9

..Tracking the Economy

I rarely think the market is right. I believe non dividend stocks arent much more than baseball cards. Theyare worth what you can convince someone to pay for it. -Mark Cuban, American Entrepreneur

Inflation11.89 % , IIP 3.8%

Issue AttractionsNationalHeadlines

1

InternationalHeadline

1

CorporateInterview

2

Crossword/Quiz 3

Company Review 4

InvestorsCheck/Quiz/BuzzWords

5

Faculty Editorial 6

15 days Movements

CHAANAKYACHAANAKYACHAANAKYACHAANAKYAWealth Incorporation - A CCIM Finance Club Initiative Presents

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Interview with Mr. Ramana

A cardinal principle of Total Quality escapes too many managers: you cannot continuously improve

interdependent systems and processes until you progressively perfect interdependent, interpersonalrelationships. - Stephen Covey, American Author and Management Consultant.

Position Held :Associate Researcher, Deloitte Consulting, Hyderabad

Q1. Sir, please tell us about your responsibilities as an Associate Researcher with Deloitte?

Ans. My main responsibility includes number crunching and its derivatories, this is almost like Dat

Mining. My work involves data interpretations and finding out patterns that have been lying

undiscovered and hence helping a module of the project in finding new ways of tracking down us

with data that the client supplies to us.

Q2. What does a consulting firm do and what it has to offer to an entry level MBA student

Ans. Consulting is all about increasing the client/customer experience through better research and

better understanding of the raw data generated through a business activity. Consulting is a vast

subject to be dealt with, my work basically deals with analysis and interpretations, entwining them

both to create that raw data into a purposeful and meaningful end result that will help the client in

understanding his own business and that into which he wants to enter into or diversify. As far as an

entry level MBAs job profile is concerned, it could be anything ranging from data analysis to

preparing the whole feasibility of a certain project, there is no such thing that does not count in

research that goes into Consulting firms job, so one has to know about everything that a project

revolves around, it could be setting up a new ship yard, a new airport for a logistics company or

even a new detergent and its possible success and failure. Its quite challenging and requires good

knowledge of current affairs and Government policies, all in all, its an all rounder job.

Q3: What kind of skills are important for students who want to land up into a consulting

firm?

Ans. Well, analytical skills are the most important, when it comes to looking for a job in a

consulting firm, the other regular ones are soft skills, decision making and strategy optimizing,

Strategy is something which should be considered seriously, a report or a job can be dependent on

single strategy and the same data can yield a different result under a different strategy

implementation.

Q4: Thank You Sir, any final words for the finance group of CCIM?

Ans. Firstly Good luck, not only should you keep your eyes open, but also ears and a constant

questioning thought process. I strongly advocate the process of purposeful learning if you know

what I mean. Thank You.

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Did you Know?

The first Wall

Journal was publ

July 8, 1889. I

for 2 cents, a y

subscription

$5.00) and it

published 6 da

week at 3:15 pm.

The English

letter of credi

derived from

F r e n c h w

accreditif, a p

to do somet

which in tu

derivative of

L a t i n w

a c c r e d i t i v u

meaning trust.

Of 17 Indian Bu

since 1991-92, o

occasions the

markets fell in

one-month follo

the Budget.

Indian Hotels

BSE 532174,NSEICIC

CMP- Rs. 663.4

TARGET PRICE: RS

Biocon

BSE 532523,NSE BIO

CMP- Rs. 375.8

TARGET PRICE: RS

Tata Chemical

BSE-500770,NSE TATACMP- Rs.310.4

TARGET PRICE:

(CMP Current Market

Stock Ratnas

If you work just for money, you'll never make it, but if you love what you're doing andyou always put the customer first, success will be yours. -American, McDonald Entrepreneur

CROSSWORD

Clues

Across:

1. This company has the highest market capitalization on Sensex.

2. This method of trading involves selling of securities without owning them.

3. IDEA cellular recently purchased a majority stake in this company.4. This account is required to receive the delivery of securities.

5. This Mutual Fund company recently withdrew its IPO from the markets.

Down:

1. The rate at which RBI lends securities & money to other banks

6. This new index forms second 50 most liquid securities after Nifty 50.

7. This private equity firm recently bought a majority stake in Nilgiris.

8. Capital markets investment product offered by insurance companies.

9. Insurance Business JV partner of Future group.

10. The practice of taking advantage of a price differential between two or more

markets.

Quiz:

1.A group of mortgages held in trust as collateral for the issuance of a mortgage-backed security. Some mortgage-backed securities issued by Fannie Mae, FreddieMac and Ginnie Mae are known as "pools" themselves.

2.A slang term primarily referring to the American Stock Exchange (AMEX). Itcan also describe any exchange that is not the New York Stock Exchange (NYSE).

Contd. On Page No. 5

1 7

8 109

3

6

4

2

5

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The key is not to prioritize what's on your schedule, but to schedule your priorities. - Stephen Covey,American Author and Management Consultant.

Company Review :Amba ResearchBy : Sukrutha

Overview:

Amba Research is a leading provider of investment research support services to the global capital markeindustry. They work with clients in all the worlds major financial centers. Clients use Amba Research toleverage their own investment research process, enabling them to generate and screen more investment

ideas in a high-quality, customized, cost effective and flexible manner.

What They Do:

Amba Research specializes exclusively in providing investment research support. This focus allows themprovide a broad and in-depth range of research services. They support clients in major areas of researchincluding equity, fixed income and credit, and quantitative research. The company is committed to qualiinnovation and integrity.

Careers at Amba Research:

Amba Research provides its global clients with supreme quality off-shore investment research support bhiring only motivated individuals with a strong desire to build a career in investment research. Ambapractices and encourages a culture of continuous learning and professional development.

On joining, all candidates attend a proprietary investment research training program and other trainingprograms. Besides that, regular in-house continuous education programs encourage learning throughknowledge sharing, and higher education policy provides financial assistance and encouragement to purprofessional courses such as the CFA program or similar globally recognized programs.

Job Opportunities:

Current vacancies are for the positions of Analysts in Investment Research and Quantitative Research.Desired qualifications for these posts include:

1. Minimum Requirement: Bachelors degree or an equivalent professional qualification in Business,Accounting, Finance or Economics.

2. Strong financial statement analysis skills

3. Fluency in written and spoken English, including report writing skills4. Strong Excel modeling skills

Preference will be for candidates with:

Strong skills in stock valuation methods.

MBA holders, candidates working towards the CFA charter, or holders of other finance-related postgraduate qualifications

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INVESTORS CHECK

Well Managed Investing Risks ...Bring Rewards!Contd. from last issue...

Most individuals measure risk as their chance of loss, but instead measure risk by the variability ofreturns!In other words, because stocks have higher average returns, you can suffer some losses and still end up vastly ahead overthe long run. There's only one situation in which adding stocks to your portfolio doesn't make sense -- when you don't

have time to let the market work for you.

In any given year, you have about a 1 in 4 chance of taking a loss in the stock market. If one year or less is as long as youplan to invest, stocks boil down to a gamble. But if your time horizon is five years or more, there's a very good chance thatputting at least a portion of your money in stocks will boost the performance of your investments!One question that has to be resolved is the kind of investment risk youre comfortable taking. The choice ranges fromconservative to aggressive, with a broad middle ground between the extremes.

Conservative Investing: Means putting money where there's little risk to principal.

Moderate Investing: Means taking risks by putting money into growth stocks and bonds.

Aggressive or Speculative Investing:

Means taking a possible risk of losing part of your investment in exchange for the possibility of making a larger profit.

The ideal risk equalizer is that you should work for balance among the various risk categories. One of your concernsshould also be that if you invest too conservatively, you won't have enough money down the road to afford your goals evenif you've been diligent in following your plan.

Another concern is that by taking too many chances you risk losing too much of your capital.

Buzz Word Rolled up coupons - Interest coupons on securities, which

are not paid out, but added to the capital value of the

security.

Shark repellant -An action taken by a company to make

itself less attractive to takeover bidders.

Flight to quality -A tendency of investors to buy safe blue-

chip securities when the economic outlook is uncertain.

Escalator clause -A clause in a contract allowing for regular

price increases because of increased costs or regular wage

increases because of increasing cost of living.

Book Quotes: "A real decision is measured by the fa

that you've taken a new action. If ther

no action, you haven't truly decided

-Tony Robbins

"The ability to discipline yourself to del

gratification in the short term in order

enjoy greater rewards in the long term

the indispensable prerequisite f

success." -Maxwell Maltz

Ask five economists and you'll get five different answers - six if one went to Harvard.

-Edgar R. Fiedler, American Business Economist

Quiz: Contd...

3. A slang term for the uncontested market space for an unknown industry or innovation. Coined by

professors W. Chan Kim and Renee Mauborgne in their book "Blue Ocean Strategy: How to Create

Uncontested Market Space and the Make Competition Irrelevant".

4.A clause in a property insurance contract that, under certain circumstances, permits the propert

owner to abandon lost or damaged property and still claim a full settlement amount. If the insured

party's property cannot be recovered, or the cost to recover or repair it is more than its total value, i

can be abandoned and the insured party is entitled to a full settlement amount.

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Cost saving strategies available to SMEs By : Prof. Anirban Ghatak

In a scenario where mega-billion dollars in acquisitions, whether Tata - Corus, or Hindalco - Novelis stole the

limelight, it is not easy rising funds for small and medium enterprises to the fore. In the other words we can

put it Can we think of some strategies by which SMEs can reduce their cost?

Here is a list of some of the cost-cutting measures one can put in place.

1. Performance Review: Introduction of a smart system in the business (specific, measurable, agreed,

realistic, and time-bound) and match specific results to identify critical success factors in business planed

on spending.

2. Review building: Review the roles and responsibilities and personal goals. Everyone in business

operating in their ability? Members are fully accountable for performance?

3. Review of outsourcing: Consideration of outsourcing, and the shift from fixed costs to variable costs to

reduce non-core activities or to fill vacancies.

4. Review of space: Premises could prove extremely costly for business. So proper planning is required for

the same.

5. Financial review: Discounting of bill provides an immediate counting of the cash injection against the

value of the billing and ongoing financial support of business as they grow. Leasing gives an immediate

use of the equipment and pay for itself while it was used - without tying up capital in depreciating assets

6. Review suppliers: Review the relationships with suppliers to obtain preferential discounts for volume of

trade, or the loyalty of prompt payment. Always try to work together to save money.

7. Review process: Time is money. Analysis of operations, and to eliminate bottle necks - and improve the

flow of information to speed up the time in order to entice the customer.

8. Review of clients: Get rid of customers that do not contribute sufficiently to the bottom line. Make it

profitable or abandon to them if they crate distraction.

9. Procurement Review: The use of zero-based budgeting to break the spending habits - all is justified in

terms of cost and in line with the business plan at the beginning of each year. The acquisition of a central

purchasing border. Discretionary spending should be reduced.10. IT review: Old, inefficient systems costing you money should be replaced as the cost incurred are much

more compare to the benefits derived from them.

These are some of the cost saving strategies available to SMEs, even these are not the exclusive strategies

available. Research should be done in the same areas so that the new strategies can be developed and can be

adopted.

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7A N C E

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10A

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9

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R3S P I C E B

A6J E P N I

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5

U T I M F

Contributions made by :

Faculty Article Prof. Anirban GhatakEditing/Compiling Arihant Patawari

Fouzia Taranum B.News Anoop Rajan &

Ashish PoddarDid you know, Quotes, Company Review SukruthaStock Ratnas, Quiz LaavanyaGraphs Gnana Devi

Investors Check Diwakar GroverCorporate Interview Vamsi KanagoviBook Quotes, Buzz Word Nikhil MehtaCrossword Vineeth KothariCoordination Manish Sinha

Crossword Answers

Quiz Answers

1. Mortgage Pool

2. Little Board

3. Blue Ocean

4. AbandonmentClause

Please mail your valuable feedbacks, reviews at chaanakya.ccim@gmail.com