SEBI's relaxation is apparently aimed at facilitating Initial Public Offering and listing of certain specially placed companies. Capital issue may be divestment of part holding of the sole promoter or additional issue by the company. These issues are bound to suffer from illiquidity. For that reason their market price may be skewed up. While this proposal may open up more possibilities of investment, the risks attached to such scrips should be borne in mind.
Most analysts talk of the Indian software sector in terms of positives.
This is more a coincidence than deliberate action. Our Dhanavarsha series of income schemes caught the fancy of the market and we had to come out with a new scheme every now and then to meet the investor needs. So it happens that we have built up a large debt portfolio and in comparison the equity funds appear small. Sometime ago, the RBI governor had floated a proposal to delink the bank's role as the government's merchant banker. State Governments being allowed direct access to the market will appear to be a logical extension of the above proposal.