The long wait for retail investors in India to participate more widely in India’s rapidly growing real estate sector is nearing an end. SEBI on Friday announced guidelines for Real Estate Investment Trusts (REITs). REITs are listed entities, similar to mutual funds, that use collective funds for owning and managing investments in real estate projects.

- SEBI has suggested that these schemes to invest only in income generating real estate and not in vacant land and property development.
- 5% cap of investment on a single real estate project and 25% cap on all the projects developed by a single group of companies
- Indian REITS to be close ended, listed and not to offer guaranteed returns.
- Each scheme must be appraised by an appraisal agency, rated by a credit rating agency and valued by a qualified valuer, all of whom have to be pre-approved by the regulator.
- Net Asset Value (NAV) of REIT to be disclosed annually
- Not less than 90% of the net income to be distributed each year after paying tax

These are just proposed guidelines and SEBI is seeking industry comments on the proposed regulations by 10 January, 2008.

Sebi to unveil norms for real estate MFs, REITs
Click here for the full article.
Source: Moneycontrol.com

Sebi sets the ball rolling on Indian Reits
Regulator’s draft plan puts several safeguards in place; move likely to help boost transparency in the real estate sector
Click here for the full article.
Source: Livemint.com

SEBI paves way for real estate investment trusts
Click here for the full article.
Source: The Economic Times

Sebi clears the way for REITs
Click here for the full article.
Source: Business Standard

New real estate investment avenue ahead
Click here for the full article.
Source: Sify.com

Read Sebi’s draft regulations on Reits
Click here for the full draft guidelines.
Source: Livemint.com

Indian watchdog clears the way for Reits
Click here for the full article.
Source: Financial Times

How are the markets looking? Ramesh Damani gives his views on stocks, sectors and investment strategies in a chat with investors.

Damani’s view on stocks and sectors

Chat with Ramesh Damani on 18 Dec, 2007
What’s good investment now?
How are the markets looking?
Click here for the full chat transcript.
Source: Moneycontrol.com

Chat with Ramesh Damani on 11 Dec, 2007
What’s good investment now?
How are the markets looking?
Click here for the full chat transcript.
Source: Moneycontrol.com

Chat with Ramesh Damani on 04 Dec, 2007
What’s good investment now?
How are the markets looking?
Click here for the full chat transcript.
Source: Moneycontrol.com

Indian IT Service Industry faces several challenges…

Appreciating rupee
Slowdown In IT spending as a result of weakening US Economy
India’s clogged and insufficient infrastructure
Tax breaks to IT industry which are expiring in 2009
Talent shortage & rising salaries
Need to move up the value chain from testing to higher margin business model like consulting.

But is the industry moving fast enough to face the challenges?
An interesting article to read in www.economist.com.

Information technology in India
Gravity’s pull
Is India’s computer-services industry heading for a fall?
Click here for the full article.
Source: Economist

The uncomfortable rise of the rupee
Is India suffocating from too much foreign attention?
Click here for the full article.
Source: Economist

Indian IT gears up for US backlash
By Jo Johnson in New Delhi
Leading Indian information technology companies are bracing themselves for a US backlash against the industry in the run-up to the 2008 presidential elections.
Click here for the full article.
Source: FT.com (Financial Times)