Pragmatic Wealth Management Pvt. Ltd.

Saturday, 30 May 2015

Indian Economy grows 7.3% in FY15

India’s gross domestic product (GDP) has grown by 7.3% in 204-15. The growth is based on a new methodology of calculating GDP, with 2011-12 being the new base year, as against 2004-05 used earlier. According to this methodology, the economy has expanded 6.9% in 2013-14, and 5.1% in 2012-13.

India’s growth this time is a little lower than China’s 7.4% (2014). However, March end growth for India (7.5%), was greater than that of China’s 7%.

Agriculture and allied sector has registered a growth of just 0.2%, due to sub-normal monsoon and unseasonal rains prediction. Finance Minister Arun Jaitley said, “Agriculture and exports are two sectors of concern.” hief Economic Advisor Arvind Subramanian said higher farm output would have lifted overall economic growth. “GDP growth lower by 0.1 per cent (compared to the advance estimate) could be a statistical error,” he said.

Growth in industrial production stood at 4.8%, better than the estimate of 4.8%. the manufacturing sector has seen a growth of 7.1%. The service sector has registered a double digit growth of 10.1%.

The government expects the economy to grow 8.1-8.5 per cent in 2015-16.

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PRAGMATIC WEALTH MANAGEMENT PVT. LTD.

Head Office:

102, 1st Floor, Topaz Society,

Dr. Nair Road, Agripada, Mumbai Central (E), Mumbai 400011

Tel: +91-8108178683

E-mail: contact@pragmaticwealth.net

Friday, 29 May 2015

Get a chance to write on this Blog.

Get a chance to write on our company blogs, the topic being "Islamic Finance".

For further info, email us at contact@pragmaticwealth.net

The best article gets published on our company blog. Come and show your writing prowess.

Show your interest in Islamic Finance and get published on our Company Blog.

Details about the competition:

The article should be based on “Islamic Finance” only.

The article should be of minimum 300 words.

All articles should be sent via email only, directed to contact@pragmaticwealth.net with the subject line “Islamic Finance Blog Competition”.

The article should be attached to the email in a word document, and should be titled “Islamic Finance Blog”. The title/ heading of your blog should be on your word document.

Your details (name, contact number, age, profession, industry, company name) should be mentioned in the email.

The article should be your own. Copied materials from internet/magazines/other writer’s work will not be accepted.

Mention the source of the quotation/ reference made in the article.

In case, your article appears on our blog, you will be notified through email.

The contest closes June 30^th, 2015.

For reference, visit our blog http://pragmaticwealthblogs.blogspot.in/

Islamic Finance Glossary (Part - 1)

Invest the Halal Way!!!

Bai Muajjal (Deferred Payment Contract)

A contract involving the sale of goods on a deferred payment basis. The bank or provider of capital buys the goods (assets) on behalf of the business owner. The bank then sells the goods to the client at an agreed price, which will include a mark-up since the bank needs to make a profit. The business owner can pay the total balance at an agreed future date or pay by installments over a pre-agreed period. This is similar to a Murabaha contract since it is also a credit sale.

Bai al Dayn Debt financing:

The provision of financial resources required for production, commerce and services by way of sale/purchase of trade documents and papers. Bai al-Dayn is a short-term facility with a maturity of not more than a year. Only documents evidencing debts arising from bona fide commercial transactions can be traded.

Bai al Salam

This term refers to advance payment for goods which are to be delivered later. Normally, no sale can be effected unless the goods are in existence at the time of the bargain. But this type of sale forms an exception to the general rule provided the goods are defined and the date of delivery is fixed. One of the conditions of this type of contract is advance payment; the parties cannot reserve their option of rescinding it but the option of revoking it on account of a defect in the subject matter is allowed. It is usually applied in the agricultural sector where the bank advances money for various inputs to receive a share in the crop, which the bank sells in the market.

Bai Bithaman Ajil

This contract refers to the sale of goods on a deferred payment basis. Equipment or goods requested by the client are bought by the bank which subsequently sells the goods to the client an agreed price which includes the bank's mark-up (profit). The client may be allowed to settle payment by instalments within a pre-agreed period, or in a lump sum. Similar to a Murabaha contract, but with payment on a deferred basis.

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PRAGMATIC WEALTH MANAGEMENT PVT. LTD.

Head Office:

102, 1st Floor, Topaz Society,

Dr. Nair Road, Agripada, Mumbai Central (E), Mumbai 400011

Tel: +91-22-23001290 / 23007290/ 9594932488 / 8108178683

E-mail: contact@pragmaticwealth.net

Wednesday, 27 May 2015

Performance of Sensex and Nifty vs.ITE-3

Invest the Halal Way!!!

In Feb 2009, Pragmatic Wealth Management (PWM) launched ITE Shariah Indices comprising of Shariah Compliant stocks screened as per the guideline of Shariah Board.

The ITE Shariah Indices are derived from the ITE Shariah Compliant Universe. The universe of listed companies on the BSE (Bombay Stock Exchange) and NSE (National Stock Exchange) are screened for Shariah Compliance and the ITE Shariah Compliant Universe is derived.

ITE Shariah 35

ITE Shariah 35 is a well-diversified 35 Large cap stock Index and comprises of 09 core Shariah Compliant Economy Sectors as defined by the Islami Tijara Equity Sector & Industry Classification (ITE-SIC). ITE Shariah 35 launched in 2009 has been backtracked from 01 Jan 2003 by the Index Research Group (IRG), at PWM.

ITE Shariah 35 is owned and managed by Pragmatic Wealth Management Pvt. Ltd. PWM is India's first specialized company focused on Shariah Compliant Wealth Management. ITE Shariah 35 is based on the free-float market capitalization-weighted methodology.

ITE Shariah Index Covers over 71% of total Float-adjusted Market cap of ITE Shariah Compliant Universe. The Index is thus a barometer and captures the happenings in the 09 core Shariah compliant economy sectors.

The performance of our index has always surpassed the performance of its benchmark, i.e., Sensex and Nifty. Have a look at the below table. For further information on our indexes, products and services, please visit http://www.pragmaticwealth.net/Default.aspx

Click Here to go through our Weekly Newsletter

PRAGMATIC WEALTH MANAGEMENT PVT. LTD.

Head Office:

102, 1st Floor, Topaz Society,

Dr. Nair Road, Agripada, Mumbai Central (E), Mumbai 400011

Tel: +91-22-23001290 / 23007290/ 9594932488 / 8108178683

E-mail: contact@pragmaticwealth.net

Saturday, 16 May 2015

Market Brief

Invest the Halal Way!!!

Markets on Friday ended with marginal gains and the week ended on almost flat note. This is the third week that markets have not registered any substantial gain or fall, signaling indecisiveness in the market, this is primarily due to mixed news flows with some positives and few negatives. Poor exports despite weakening rupee are a bad signal but at the same time the imports have also fallen. Rising crude oil prices and increase in domestic petrol and diesel prices are worrisome. With important reform bills still pending in the Parliament is also a cause of concern in the near term. Optimism in the Global markets have given some solace to our market and restricted a complete sell-off.

Indian equity markets are very critically poised and have been trading in a tight range between 8000 and 8360 on the Nifty. Further news flows will determine the direction for the market, although, short and the medium term trend are down, hence, bad or negative news flows will bring down the markets sharply. In terms of technical level, a close below 8000 will prove very fatal for the market and it will witness a prolong correction and eventually Nifty could test 7400 – 7500, which is also justified from price to earning perspective. However, in event of positive news flows, if the market breaks out 8360, it will witness a swift throwback rally that would initially test 8500.

Investors are advised to exercise caution and as suggested earlier, exit from under performing stocks and remain at-least 20 to 25 percent in cash. Deep corrections should certainly be used for buying since the bull market is still intact, it is only the short and the intermediate trend which is down, and is instrumental in keeping the markets jittery and volatile.

Click Here to go through our Weekly Newsletter

PRAGMATIC WEALTH MANAGEMENT PVT. LTD.

Head Office:

102, 1st Floor, Topaz Society,

Dr. Nair Road, Agripada, Mumbai Central (E), Mumbai 400011

Tel: +91-22-23001290 / 23007290/ 9594932488 / 8108178683

E-mail: contact@pragmaticwealth.net