Guidelines for execution of block deals on the stock exchanges

1. SEBI had issued a circular (reference no. SEBI/MRD/SE/Cir-7/2004) on January 14, 2004 on disclosures of details of “bulk” deals with a view to impart greater transparency to the market on such transactions executed on the stock exchanges. In terms of paragraph 1.1 of that circular, a “bulk” deal constituted of “all transactions in a scrip (on an exchange) where total quantity of shares bought/sold is more than 0.5% of the number of equity shares of the company listed on the exchange”. Thus the quantitative limit of 0.5% could be reached through one or more transactions executed during the day in the normal market segment

2. There is however a felt need of the market to execute large trades through a single transaction easily without putting either the buyer or the seller in a disadvantageous position. In order to facilitate execution of such large trades, the stock exchanges are being permitted to provide a separate trading window. A trade, with a minimum quantity of 5,00,000 shares or minimum value of Rs.5 crore executed through a single transaction on this separate window of the stock exchange will constitute a “block deal” as distinguished from “bulk” deal defined earlier.

3. A “block” deal will be subject to the following conditions :

a. The said trading window may be kept open for a limited period of 35 minutes from the beginning of trading hours i.e. the trading window shall remain open from 9.55 am to 10.30 am.

b. The orders may be placed in this window at a price not exceeding +1% from the ruling market price/previous day closing price, as applicable.

c. An order may be placed for a minimum quantity of 5,00,000 shares or minimum value of Rs.5 crore.

d. Every trade executed in this window must result in delivery and shall not be squared off or reversed.

e. The stock exchanges shall disseminate the information on block deals such as the name of the scrip, name of the client, quantity of shares bought/sold, traded price, etc to the general public on the same day, after the market hours.

f. There is no change in regard to the disclosure of trade details of ”bulk deals” as specified in the earlier SEBI circular reference no. SEBI/MRD/SE/Cir -7/2004 dated January 14, 2004, and such disclosures shall be continued to be made by the stock exchanges to the general public on the same day after the market hours.

4. The stock exchanges shall ensure that all appropriate trading and settlement practices as well as surveillance and risk containment measures, etc., as presently applicable to the normal trading segment are made applicable and implemented in respect of the proposed special window also.

5. The stock exchanges are advised to

a. make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the above decision immediately.

b. bring the provisions of this circular to the notice of the member brokers/clearing members of the Exchange and also to disseminate the same on the website.

c. communicate to SEBI, the status of the implementation of the provisions of this circular in the Monthly Development Report for the month of September 2005.

6. This circular is being issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, to protect the interests of investors in securities and to promote the development of, and to regulate the securities market.

ZIMBABWE CURRENCY AND 231 MILLION PERCENT INFLATION.....!!

           Bunch of Banana's for 50 CR (1 Million = 10 Lakhs)

100 Lakh Cr (1 Trillion = 1 Lakh Cr)

10,000 Cr (1 Billion = 100 Cr)

SEVEN LAKHS FIFTY THOUSAND

From 1000 Cr to 10,000 CR (1 Million = 10 Lakhs)

50 CR (1 Million = 10 Lakhs)

10 CR (1 Million = 10 Lakhs)

5000 CR (1 Billion = 100 Cr)

ON 18th April 1980 Zimbabwe was born from British colony of Rhodesia & Rhodesian Dollar was replaced by Zimbabwe Dollar at PAR.

In 2004, Zimbabwe’s inflation was 624 %

In February 2007, the central bank of Zimbabwe declared inflation "illegal", outlawing any raise in prices on certain commodities between March 1 and June 30, 2007. Officials arrested executives of some Zimbabwean companies for increasing prices on their products. Such measures, frequently tried during other episodes of hyperinflation, have always failed.  In March 2007, inflation surged to a new high of 1,730%, and in June the government released a figure of 7,638%. The predictions for the annual inflation ranged from 3,000% (according to the IMF) to 8,000%. In fact, inflation that month rose to 11,000% from an earlier estimate of 9,000%. U.S. ambassador Christopher Dell predicted it would reach 1.5 million percent by December 2007, although in the event the IMF estimated a rate of "only" 115,000% for that month, and 150,000% for January 2008. The government then circulated a Z$200,000 note, and reports of extreme shortages of basic foodstuffs, fuel, and medical supplies abounded. The government instituted a six-month freeze on wages on September 1, 2007. Hyperinflation in Zimbabwe began shortly after destruction of productive capacity in Zimbabwe's civil war and confiscation of white-owned farmland.  Food output capacity fell 45 %, manufacturing output 29 % in 2005, 26 % in 2006 and 28 % in 2007, and unemployment rose to 80 %. During the height of inflation from 2008–09, it was difficult to accurately account and monitor for Zimbabwe's hyperinflation because the government of Zimbabwe stopped filing official inflation statistics. This cessation in filing made it difficult to accurately observe how severe inflation was in the country. However, Zimbabwe's peak month of inflation is estimated at 6.5 sextillion percent in mid-November 2008. In 2009 Zimbabwe abandoned its currency; at present in 2012 a new currency has yet to be introduced, so currencies from other countries are used.

Hanke Hyperinflation Index for Zimbabwe (HHIZ)

Date	Index	Monthly Inflation Rate	Annual Inflation Rate
5-Jan-07	1.00	13.70%
2-Feb-07	1.78	77.60%
2-Mar-07	3.14	76.70%
5-Apr-07	6.90	56.20%
4-May-07	6.75	-2.15%
1-Jun-07	20.70	207.00%
6-Jul-07	53.00	60.40%
3-Aug-07	49.10	-7.29%
7-Sep-07	82.50	70.60%
5-Oct-07	219.00	165.00%
2-Nov-07	642.00	193.00%
28-Dec-07	2,010.00	61.50%	215,000%
25-Jan-08	2,250.00	11.80%
29-Feb-08	8,260.00	259.00%
28-Mar-08	17,700.00	115.00%
25-Apr-08	57,100.00	222.00%
30-May-08	442,000.00	498.00%
26-Jun-08	23,600,000.00	5,250.00%	41,400,000%
4-Jul-08	49,200,000.00	3,740.00%	93,000,000%
11-Jul-08	81,800,000.00	2,080.00%	167,000,000%
18-Jul-08	122,000,000.00	1,030.00%	250,000,000%
25-Jul-08	157,000,000.00	566.00%	317,000,000%
29-Aug-08	6,330,000,000.00	3,190.00%	9,690,000,000%
26-Sep-08	794,000,000,000.00	12,400.00%	471,000,000,000%
3-Oct-08	3,570,000,000,000.00	15,400.00%	1,630,000,000,000%
10-Oct-08	32,300,000,000,000.00	45,900.00%	11,600,000,000,000%
17-Oct-08	1,070,000,000,000,000.00	493,000.00%	300,000,000,000,000%
24-Oct-08	124,000,000,000,000,000.00	15,600,000.00%	26,100,000,000,000,000%
31-Oct-08	24,600,000,000,000,000,000.00	690,000,000.00%	3,840,000,000,000,000,000%
7-Nov-08	4,890,000,000,000,000,000,000.00	15,200,000,000.00%	593,000,000,000,000,000,000%
14-Nov-08	853,000,000,000,000,000,000,000.00	79,600,000,000.00%	89,700,000,000,000,000,000,000%

Sources: Imara Asset Management Zimbabwe and author’s calculations

BARACK OBAMA SAYS ECONOMY TO WORSEN BEFORE RECOVERY..!

The year 2009 started in the midst of a crisis unlike any that all of us have seen in our lifetime. US President-elect Barack Obama, who sworn-in , has warned that the economy will get worse before it improves. Meanwhile, Wall Street ended the week on a positive note; financials, however, continue to wilt.

Obama said, “The need for us to act is now; it has never been more urgent. We started this year in the midst of a crisis unlike any that we have seen in our lifetime. If nothing is done and we continue on our current path this recession could linger for years, and America could lose the competitive edge that has served as the foundation for our strength and standing in the world.”