Indian Stock Market and Mutual Funds
- Thread starter anmolbhard004
- Start date
That's what I said/meant, in each scheduled commercial bank under a pan 5 lakh is insured(excl the joint acc different order names).
It's the biggest private bank and is not going to fail just like that and neither is Kotak.
Rest u can do some research of your own also if that interested in laughing and asking questions.
It's not going to grow it will stagnate and give you returns below the index because it is bloated af
Muh HDFC, Muh largest private bank, muh 4th biggest listed compani by market cap
ICICI be catching up
Nice, but i have faith in it and i know icici is also good so i have no problem....i'm here for long run
It is becoming harder to make a case for banks. FDs are out of fashion (everyone has a DMAT account these days) and NBFCs have been slowly eating up their loans business.
Another problem (may not be for everyone) is the limit on promoter ownership (capped at 25%). I prefer family owned businesses.
I know who is calling the shots in Reliance. You cannot be sure about a bank.
Another problem (may not be for everyone) is the limit on promoter ownership (capped at 25%). I prefer family owned businesses.
I know who is calling the shots in Reliance. You cannot be sure about a bank.
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It is just an upcycle, NBFCs will enter a downturn sooner or later. Also, banks are the growth engines of any economy providing credit to sectors which matters.
Not every family is like Tata, Anil Ambani's example is there for all to see. For banks at least in India, promoter cap is a must have reform.
Tracer_Bullet
Galvanizer
If banks were doing well, then the logic would be that they are professionally managed vs family run business that may not have shareholder's interest aligned with theirs. HDFC was everyone's darling few years back and most PSU were a big no. For a long time it was quality only etc and then value came back eventually.
Ultimately, most people gravitate towards whatever is working recently and all reasoning and logic gets aligned with that. But market eventually changes and people who have not done the work and are just riding the bull market get taught their overdue lessons.
I agree. By bailing depositors out, I meant rbi or government won't let depositors take losses in nominal terms, unless there is a systemwide crisis, which is unlikely.
Another bank in crisis: RBI stops customers from withdrawing money; what are your rights as depositors if your bank fails?
What happens to your money if a bank fails in India? The Reserve Bank of India (RBI) has imposed restrictions on Shirpur Merchants' Co-operative Bank amid its worsening financial health. The most significant restriction? A freeze on customer withdrawals. The RBI has previously imposed similar...
It is a different case for small banks which can be allowed to fail. The funds will be frozen immediately. The good thing is that RBI has set a 90-day limit for the insurance payout whereas earlier there was no timeline at all.
In some cases, these banks are merged with larger banks but there is no guarantee that you will ever receive more than 5 lakhs back once bankruptcy is declared, since the liability ends once you receive the payout.
Government will only back PSU banks and the too big to fail ones like HDFC and ICICI.
Scheduled commercial banks are much different from cooperative banks which I personally don't even consider as proper banks. I don't even know why someone educated enough will keep any fund there other than a few thousand that too only for emotional reasons like parents grandparents all were its customers.
RBI has never declared a scheduled commercial bank as bankrupt & most likely never will not to mention only 3 scheduled commercial banks have ever failed since independence.
For govt there is not much difference between any scheduled commercial bank & as for too big to fail banks (sbi, hdfc, icici) that can only happen if India/Indian economy itself is about to fail.
babhishek
Herald
On bank depositor bailouts, from my perspective, no meaningfully sized scheduled commercial bank in India has ever inflicted losses on depositors. This when banks like IDBI had written off nearly 30-35% of their loans, which was multiple times of their equity. Their survival, even if through mergers / equity infusion by government was effectively bailing out their depositors for me. I get the point being made earlier that there can be room for nuance, but I do not expect significant haircuts in nominal terms for depositors even at smaller banks, even if the depositors get their money with a lag.
yes watched this thanks for sharing
psu will shoot
Indian stock market will break records on June 4: PM Modi
PM Modi defends government's job creation record and discusses stock market investment trends, in an interview with NDTV Profit. He predicts market performance during election week will determine power shift. PSU bank valuations are rising, and programmers are expected to be busy on June 4.
www.livemint.com
@anmolbhard004
A political leader in that disposition speaking like that gives an eerily uncomfortable feeling. Market may definitely go top high, but is it right to comment like this now, should they be influencing people to vote in their favor for higher market returns ? What pitfalls can be there in such commentaries...
A political leader in that disposition speaking like that gives an eerily uncomfortable feeling. Market may definitely go top high, but is it right to comment like this now, should they be influencing people to vote in their favor for higher market returns ? What pitfalls can be there in such commentaries...
If this is the first thing that gives an eerily feeling coming from lordship's mouth then you probably skipped the past 10 years.
@sauravghosh
Didn't directly intend a political twist in that comment, was purely about current disposition and designation he is in when voting is ongoing, same apply for any leader in such positions. Not wanting to distract from the core topic of interest in this thread.
Didn't directly intend a political twist in that comment, was purely about current disposition and designation he is in when voting is ongoing, same apply for any leader in such positions. Not wanting to distract from the core topic of interest in this thread.