Trade-related investment measure – K Sup Radio http://ksupradio.com/ Mon, 11 Oct 2021 12:17:03 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://ksupradio.com/wp-content/uploads/2021/03/cropped-icon-32x32.png Trade-related investment measure – K Sup Radio http://ksupradio.com/ 32 32 What you need to know about the investor makeup of Pidilite Industries Limited (NSE: PIDILITIND) https://ksupradio.com/what-you-need-to-know-about-the-investor-makeup-of-pidilite-industries-limited-nse-pidilitind/ Mon, 11 Oct 2021 00:48:09 +0000 https://ksupradio.com/what-you-need-to-know-about-the-investor-makeup-of-pidilite-industries-limited-nse-pidilitind/ Every investor in Pidilite Industries Limited (NSE: PIDILITIND) should know the most powerful shareholder groups. Generally speaking, as a business grows, institutions increase their participation. Conversely, insiders often decrease their ownership over time. I like to see at least a little insider ownership. As Charlie Munger said, “Show me the incentive and I’ll show you […]]]>

Every investor in Pidilite Industries Limited (NSE: PIDILITIND) should know the most powerful shareholder groups. Generally speaking, as a business grows, institutions increase their participation. Conversely, insiders often decrease their ownership over time. I like to see at least a little insider ownership. As Charlie Munger said, “Show me the incentive and I’ll show you the result.

Pidilite Industries is a pretty big company. It has a market capitalization of 1.2t. Normally, institutions would own a significant share of a company of this size. Looking at our data on ownership groups (below), it looks like institutional investors bought the company. Let’s dig deeper into each type of owner, to find out more about Pidilite Industries.

See our latest review for Pidilite Industries

Distribution of the NSEI property: PIDILITIND October 11, 2021

What does institutional ownership tell us about Pidilite Industries?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it’s included in a major index. . We would expect most businesses to have some institutions listed, especially if they are growing.

We see that Pidilite Industries has institutional investors; and they own a good portion of the company’s shares. This may indicate that the company has a certain degree of credibility in the investment community. However, it is better to be careful not to rely on the so-called validation that accompanies institutional investors. They too are sometimes wrong. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company with no history of growth. You can see Pidilite Industries’ historical revenue and revenue below, but keep in mind that there is always more to tell.

profit and revenue growth
NSEI: PIDILITIND Profit and Revenue Growth October 11, 2021

We note that hedge funds do not have a significant investment in Pidilite Industries. Our data shows that Narendrakumar Parekh is the largest shareholder with 11% of the shares outstanding. For context, the second largest shareholder owns around 10% of the outstanding shares, followed by an 8.1% stake by the third largest shareholder. Madhukar Parekh, who is the second shareholder, also holds the title of Top Key Executive.

We also observed that the top 7 shareholders make up more than half of the share register, with a few smaller shareholders to some extent to balance the interests of the larger ones.

While studying the institutional ownership of a company can add value to your research, it is also recommended that you research analyst recommendations to better understand the expected performance of a stock. Many analysts cover the stock, so it can be interesting to see what they are forecasting as well.

Insider property of Pidilite Industries

The definition of an insider may differ slightly from country to country, but board members still count. The management of the company manages the company, but the CEO will report to the board of directors, even if he is a member of the board.

Most view insider ownership as a positive, as it can indicate that the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group.

Our most recent data indicates that insiders own the majority of Pidilite Industries Limited. This means that they can collectively make decisions for the business. This means that the insiders have a very significant 622 billion yen stake in this 1.2 billion yen company. It’s good to see this level of investment. You can check here if these insiders have sold any of their shares.

General public property

The general public has an 18% stake in Pidilite Industries. While this property size may not be enough to influence a policy decision in their favor, they can still have a collective impact on company policies.

Owned by a private company

We can see that the private companies own 19% of the issued shares. It is difficult to draw conclusions from this fact alone, so it is worth considering who owns these private companies. Sometimes insiders or other related parties have an interest in shares of a public company through a separate private company.

Next steps:

I find it very interesting to see who exactly owns a company. But to really get an overview, we have to take other information into account as well. To do this, you need to know the 2 warning signs we spotted with Pidilite Industries.

If you’d rather find out what analysts are predicting in terms of future growth, don’t miss this free analyst forecast report.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative material. Simply Wall St has no position in the mentioned stocks.

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.

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What type of shareholders make up the share register of Abbott India Limited (NSE: ABBOTINDIA)? https://ksupradio.com/what-type-of-shareholders-make-up-the-share-register-of-abbott-india-limited-nse-abbotindia/ Sun, 10 Oct 2021 02:08:56 +0000 https://ksupradio.com/what-type-of-shareholders-make-up-the-share-register-of-abbott-india-limited-nse-abbotindia/ Every investor in Abbott India Limited (NSE: ABBOTINDIA) should be aware of the most powerful shareholder groups. Large companies usually have institutions as shareholders, and we usually see insiders holding shares in smaller companies. Companies that were previously owned by the state tend to have fewer insiders. With a market cap of 463 billion yen, […]]]>

Every investor in Abbott India Limited (NSE: ABBOTINDIA) should be aware of the most powerful shareholder groups. Large companies usually have institutions as shareholders, and we usually see insiders holding shares in smaller companies. Companies that were previously owned by the state tend to have fewer insiders.

With a market cap of 463 billion yen, Abbott India is pretty big. We would expect to see institutional investors on the register. Companies of this size are also generally well known to retail investors. In the graph below, we can see that institutional investors have bought into the company. We can zoom in on the different property groups to find out more about Abbott India.

Check out our latest analysis for Abbott India

Distribution of the NSEI property: ABBOTINDIA October 10, 2021

What does institutional ownership tell us about Abbott India?

Many institutions measure their performance against an index that approximates the local market. Thus, they generally pay more attention to companies that are included in the major indices.

As you can see, institutional investors own a large stake in Abbott India. This implies that analysts working for these institutions have reviewed the action and appreciate it. But like everyone else, they could be wrong. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company with no history of growth. You can see Abbott India’s historical revenue and income below, but keep in mind that there is always more to tell.

profit and revenue growth
NSEI: ABBOTINDIA Profit and Revenue Growth October 10, 2021

We note that the hedge funds do not have a significant investment in Abbott India. Looking at our data, we can see that the largest shareholder is Abbott Laboratories with 75% of the shares outstanding. With such a huge stake in the property, we infer that they have significant control over the future of the business. Meanwhile, the second and third shareholders respectively hold 1.6% and 1.2% of the outstanding shares.

While studying the institutional ownership of a company can add value to your research, it is also recommended that you research analyst recommendations to better understand the expected performance of a stock. Our information suggests there is no analyst coverage of the stock, so it is likely little known.

Abbott India Insider Property

The definition of company insiders can be subjective and vary from jurisdiction to jurisdiction. Our data reflects individual insiders, capturing at least board members. The management ultimately reports to the board of directors. However, it is not uncommon for managers to be board members, especially if they are founders or CEOs.

I generally consider insider ownership to be a good thing. However, there are times when it is more difficult for other shareholders to hold the board accountable for decisions.

Our information suggests that insiders of Abbott India Limited own less than 1% of the company. It’s a big company, so even a small proportional interest can create alignment between the board and shareholders. In this case, insiders own 5.4 million yen of shares. Arguably recent purchases and sales are equally important to consider. You can click here to see if any insiders have bought or sold.

General public property

The general public, with a 17% stake in the company, will not be easily ignored. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in line with other large shareholders.

Public enterprise ownership

It seems to us that state-owned companies own 75% of Abbott India. It may be a strategic interest and the two companies may have related business interests. They may have defused. This exploitation probably deserves further study.

Next steps:

I find it very interesting to see who exactly owns a company. But to really get an overview, we have to take other information into account as well.

I like to dive deeper on the performance of a company in the past. You can access this interactive graphic past profits, income and cash flow, free of charge.

If you would rather consult with another company – one with potentially superior finances – then don’t miss this free list of interesting companies, supported by solid financial data.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative documents. Simply Wall St has no position in the mentioned stocks.

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.

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How IRA’s Budget Reconciliation Regulations Undermine Biparty Jobs Law https://ksupradio.com/how-iras-budget-reconciliation-regulations-undermine-biparty-jobs-law/ Fri, 08 Oct 2021 21:33:40 +0000 https://ksupradio.com/how-iras-budget-reconciliation-regulations-undermine-biparty-jobs-law/ In 2012, President Barack Obama enacted the Jumpstart Our Business Startups (JOBS) Act, a bipartisan bill that reduced regulatory barriers preventing ordinary Americans from investing in the businesses of small entrepreneurs. Speaking at the signing ceremony, Mr. Obama said that “thanks to this bill, start-ups and small businesses will now have access to a large […]]]>

In 2012, President Barack Obama enacted the Jumpstart Our Business Startups (JOBS) Act, a bipartisan bill that reduced regulatory barriers preventing ordinary Americans from investing in the businesses of small entrepreneurs. Speaking at the signing ceremony, Mr. Obama said that “thanks to this bill, start-ups and small businesses will now have access to a large and new pool of potential investors, namely the American people ”.

But now, a provision of the $ 3.5 trillion budget reconciliation bill put forward by Obama’s own party would significantly drain that pool, reducing funding for start-ups and lessening the chance for ordinary investors to get rich. with them. Section 138312 of the bill was recently rejected by the House Ways and Means Committee as party principles would prohibit IRAs from holding shares in most companies that do not trade on major US stock exchanges, including those that use the provisions of the employment law championed by Obama.

Although included as a “paid” measure to increase income, proponents of the IRA restrictions state their rationale more as a “fairness” issue. They say their goal is to prevent the rich from getting richer through IRA’s investments in early-stage “unicorns” inaccessible to most investors, as are early-stage investors who have invested in early stage “unicorns”. money in Facebook and Yelp through their IRAs before companies go public. “The intent of these provisions is to level the playing field for low and moderate income investors,” a spokesperson for the Ways and Means Committee said in a statement.

Proponents argue that it is unfair that middle-class investors cannot access early-stage companies with high growth potential, but they overlook why the playing field is tilted: regulations designed to “protect »Non-rich investors. For decades, the Securities and Exchange Commission (SEC) – through its category of “accredited investors” – has exempted companies from the panoply of regulations for listed companies if their investors meet the income and wealth thresholds. currently set at $ 1 million for net worth. , excluding the value of a principal residence, or an income of at least $ 200,000 per year or $ 300,000 with a spouse.

The rationale has been that wealthy investors can “fend for themselves,” and ordinary investors need the red tape created by laws like Sarbanes-Oxley and Dodd-Frank, even if they don’t want to. these “protections”. Myself and other free market advocates have long argued that investing in startups with less paperwork should be open to ordinary investors willing to take risks in order to increase their wealth when startups are doing well. . Our advocacy succeeded in getting the employment law and other liberalization measures enacted.

Yet the bill’s provision on reconciliation would undermine much of this progress in cutting red tape for ordinary investors by preventing them from holding these investments in their IRAs. The Ways and Means Committee did not deny in response to my emailed questions that the bill would also reduce investment choices for middle class IRA holders. Its specific language would prohibit IRAs from holding “any security” for which the investor must have, under SEC rules, “a specified minimum amount of income or assets, … a specified minimum level of education, or … A license or specific credentials “.

Despite the committee’s rhetoric of “leveling the playing field,” education and credential bans would actually undermine recent changes to open up the field of “accredited investors” to the non-wealthy. Late last year, at the request of my organization – the Competitive Enterprise Institute – and other free market advocates, the SEC added a third category of non-wealthy professionals to the “approved investor” category who could legally invest in private securities. The SEC voted to allow investors of any income to be “accredited” with the same level of access to private companies if they held credentials as brokers or investment advisers – a first step to open up those investments to the middle class, which the reconciliation bill now undermines.

In addition, the Bill’s general ban on income and equity-driven investments would likely affect not only business offers to “accredited investors”, but also entrepreneurs who use the JOBS provisions advocated by the law. Obama to offer shares of their startups to the middle class. The provisions of Regulation A + and Crowdfunding Regulation (Reg CF) of the Jobs Act are open to investors of all income levels, but have income and equity qualifications for the amount that can be invested in the securities they cover. Reg CF, for example, ties investment in businesses to a percentage of an investor’s income or equity for any amount greater than $ 2,200.

Because of this requirement for Reg CF titles, the reconciliation bill “would potentially prohibit investments greater than $ 2,200” to be held in an IRA, said Richard Castanon, a Washington, DC area lawyer specializing in. taxes and retirement accounts. He adds that the bill “would potentially force the divestiture” of Reg CF’s existing investments in IRAs if their value exceeds $ 2,200.

The committee spokesperson did not deny that these things could happen under the bill, but said President Richard Neal (D-MA) and his “political staff are open to changes to ensure may these proposals be correct “. If so, they should take into account the progress that the JOBS law has spurred on financial inclusion.

In a study analyzing Reg CF usage by congressional district, the Small Business & Entrepreneurship Council policy group and economics consultancy Crowdfund Capital Advisors found that congressional districts represented by minorities “are successful. almost equal to that of the districts as a whole ”.

One of the successful entrepreneurs using Reg CF is Isaac Hayes III, son of the late soul superstar (whose legal name was Isaac Hayes Jr.). Hayes has raised a total of $ 3.5 million through offers on the Reg CF StartEngine portal for Fanbase, its content monetization social media platform for all types of content creators. In an interview, Hayes argues that the Jobs Act and Reg CF are essential in enabling minority entrepreneurs to have an alternative to venture capital and ordinary investors to share in the success of risk takers in their community. The JOBS Act, says Hayes, “provides access and opportunities for people who don’t always have it.”

And that access and that opportunity is something that a spending bill with the slogan “Build Better” should not foolishly remove. Regardless of the measure, Article 138312 of the Reconciliation Bill broadens – rather than “levels” – the playing field between investors and wealthy and ordinary entrepreneurs.

Even when the provision actually affects the wealthy “accredited investors,” the wealthy could still get richer; they just couldn’t use their wealth to help startups that could create thousands of jobs and improve lives. Would it really be more “progressive” to force “accredited” IRA holders to invest in large banks or large publicly traded technology companies, or in stocks traded on foreign exchanges that will still be eligible to be held by? IRAs, rather than American start-ups? And again, why does the bill close the door to new middle class investors who can invest in private stocks for the first time?

It should be obvious that destroying the building blocks of startups and financial inclusion is the complete opposite of “building back better”.

John Berlau is a senior fellow at the Competitive Enterprise Institute and author of the book George Washington, Entrepreneur: How Our Founding Father’s Private Activities Changed America and the World

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Tech check of the event: 8 new tech updates we’re excited about this month https://ksupradio.com/tech-check-of-the-event-8-new-tech-updates-were-excited-about-this-month/ Thu, 07 Oct 2021 11:01:05 +0000 https://ksupradio.com/tech-check-of-the-event-8-new-tech-updates-were-excited-about-this-month/ BizBash’s latest column features a monthly recording of everything related to event technology, from new virtual platforms to tools focused on social distancing to software that will make your job easier. Do you have any advice? Get in touch! In case you missed itHave you ever looked at BizBash’s fall magazine? Called The technical problem, […]]]>

BizBash’s latest column features a monthly recording of everything related to event technology, from new virtual platforms to tools focused on social distancing to software that will make your job easier. Do you have any advice? Get in touch!

In case you missed it
Have you ever looked at BizBash’s fall magazine? Called The technical problem, it’s packed with technological inspiration, including case studies of innovative virtual meetings, technical rental articles and more. Another highlight? A look at seven of the most influential women in event technology, leading the way in a male dominated field. Read their stories here and let yourself be inspired.


More event technology we’re excited about this month
To track and manage participation in hybrid events
Event and community platform Exchange card launched a new portable app called SwapAccess, which provides event planners with an all-in-one session registration and access solution for hybrid events by analyzing attendees as they enter and exit sessions. Organizers can track session attendance and control participant access in person and online on the phone and tablet app, which works within the Swapcard ecosystem. Other strengths include the ability to easily award educational credentials and training certificates by taking attendance; organizers can also separate participants into different focus groups, easily forward interested audience members to partners sponsoring program sessions, get information on how long people attend a session, and more.

For safety and security COVID-19 vaccine verification
Secure site check-in recently announced that its private digital QR code check-in app can now handle COVID-19 vaccination verification for workers and event guests. Upon arrival, participants use their smartphones to scan a private QR code and register. Through the app, organizers can ask guests to privately and securely upload a photo of their CDC-issued vaccination card with vaccination dates; the organizers do not have access to personal health information or any other data on the smartphone. The app can also include personalized questions, such as event ratings, and if someone tests positive for COVID-19, the service can provide a report that includes those who were in potential contact with the infected person.

“As COVID-19 variants gain traction and employers and large events demand proof of vaccination, consumers are rightly concerned about the privacy of their data,” said the CEO of the company, David Ward. “With Safe Site Check In, employers and hosts can quickly set up a secure and private way for people to check in and provide proof of vaccination without compromising the privacy of employees and customers.”

To easily manage business trips
Corporate traveler—A global travel management platform exclusively for startups and mid-sized businesses — launched Melon, a new, proprietary travel management solution. Launched in the United States and Canada, Melon provides a one-stop solution for travel management, with features such as AI technology that can easily be switched between mobile and office without losing functionality; users also have access to 24-hour service and can set custom algorithms and even individual spending levels. Additionally, program administrators can track employee whereabouts in real time, while Melon’s health and safety capabilities provide early alerts on risk-related events impacting travel, such as entry requirements, latest government and vendor COVID restrictions, inclement weather, crime and more.

To engage your virtual participants
Marketing and event management technology company Certain launched Touchpoint Stream, a new intuitive solution for virtual and hybrid events. The product provides a flexible central platform for attendees to easily access live and on-demand content and interact with speakers, sponsors, event hosts and other attendees. By capturing attendee engagement through features such as live polls, surveys, chat, gamification, and discussion forums, Touchpoint Stream creates a personalized attendee journey throughout the event; Businesses can then use this information to measure event success and inform future marketing and event decisions. Certain has partnered with the Kaltura virtual platform for the service.

To keep things simple and organized for your event speakers
Full-service production company Audiovisual Image has developed a new presentation management portal that automates the process of organizing, collecting and uploading presenter material. The system, which is part of the company’s proprietary virtual platform, eAttend Global, gives each presenter access to a secure portal to download and manage their session material. It is designed to handle live events, where presentation material uploaded to the system is then sent to the session room, as well as hybrid and virtual events, where presenters can upload a pre-recorded presentation and any accompanying material. .

Schedule and coordinate in-person meetings at conferences and trade shows
Chili Piper, an inbound conversion platform for sales and marketing teams, recently debuted Chile Events, a new technology that can automatically schedule, coordinate and track in-person meetings at conferences and trade shows. The technology has a number of easy-to-use features including event-specific URLs for pre-booking, the ability to automatically coordinate availability between meeting spaces, calendar integrations, automatic reminders, a board all-in-one event management dashboard and more.

“In-person events are extremely important for B2B revenue teams,” said Nicolas Vandenberghe, CEO and co-founder of Chili Piper. “With Chili Events, we enable marketing and sales to not only automate the booking of conference and trade show meetings with key prospects and customers, but to treat these meetings like any other digital touchpoint in the customer journey. , with quantifiable results and data. “

For a fully produced live virtual event
Animated media—An award-winning production company that provides audiovisual, event management and creative services for corporate and association events — also offers the Conference-On-Demand + LIVE platform. The service provides comprehensive and convenient live production services for online gatherings, with the aim of generating a virtual component that rivals fine television production. The full-service platform offers everything from signing up to chat and screen sharing to surveys and Q&A. Other features are intended to incorporate aspects of in-person events, such as recordings of God’s voice with music, animated walk-in loops, sponsor advertisements, and personalized branding. The service also offers a personalized portal for live and on-demand documents.

For quick and easy group bookings for meetings and events
Event management platform Eventsforce launched a new ticketing and registration platform. The “Groups and Tickets” system is designed to help organizers sell more tickets and increase revenue from group bookings. Group bookings have the choice of providing the registration details themselves or using the company’s group invitation tool, which allows people to complete their own registration information. A simple setup process ensures that organizers can launch their events quickly, while a WordPress widget allows them to set up ticketing across multiple websites.

“The platform was developed to solve some of the biggest issues that organizers typically face when managing groups for events such as conferences, festivals, workshops and community gatherings,” explained George Sirius. , CEO of Eventsforce. “It takes a lot of the paperwork out of the way and helps them secure group booking money much faster. More importantly, it gives them the tools to manage group experiences as easily as individual participants.


The latest news on promotions and mergers
Event interpretation company To interpret launched new live captioning capabilities for multilingual meetings and conferences. In addition to Interprefy’s sign language offering, Interprefy Captions is available in 31 languages ​​and was designed as a visual aid allowing users to follow speech through translated subtitles, with real-time interpretation. by professional conference interpreters transcribed into live captions using automated speech recognition powered by AI. Technology.

Julius Solaris has joined the all-in-one event management platform Get in as Vice President of Marketing Strategy and Events, where he will support the continued growth of the business by guiding core marketing strategies and engaging the event community. The industry veteran, who most recently worked at Swapcard and is the founder and former editor-in-chief of EventMB, will co-host Hopin’s EventMinded, a mental health summit for event professionals, on October 12. .

Event and experienced marketing agency George P. Johnson (YPG) has acquired a significant minority stake in one of its long-standing partners, a full-service video agency NOMOBO. The investment allows YPG to extend its cinematic approach to virtual and hybrid events by creating high-quality productions that integrate broadcasts into the overall design of the experience, rather than just a simple add-on.

Qwick, an on-demand recruitment platform for the food industry, has expanded to Los Angeles. It is the company’s 11th operating city and second in California, after San Diego. Launched in 2018, Qwick provides a platform for food and beverage professionals to connect directly with hotels, caterers, event venues and restaurants.

Event software company Bizzabo hired five new executives, bringing a total of over 70 years of experience to the team. They are: Devin Cleary, vice president of global events; Sarah North, Director of Events Experiences; Megan Murphy, vice president of account management; Tim Bull, vice president of sales in the EMEA region; and Elijah Clark-Ginsberg, Product Manager.

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News Updates: Biden Administration To Spend $ 1 Billion To Boost Rapid Covid Tests – As Happened https://ksupradio.com/news-updates-biden-administration-to-spend-1-billion-to-boost-rapid-covid-tests-as-happened/ Wed, 06 Oct 2021 22:06:50 +0000 https://ksupradio.com/news-updates-biden-administration-to-spend-1-billion-to-boost-rapid-covid-tests-as-happened/ US private sector hires increased the most in September in three months, fueled by the hospitality and entertainment industry as the spread of Covid-19 slowed. The US private sector payroll increased by 568,000 last month, according to a report by payroll processor ADP. It was the biggest increase since June and exceeded economists’ expectations for […]]]>

US private sector hires increased the most in September in three months, fueled by the hospitality and entertainment industry as the spread of Covid-19 slowed.

The US private sector payroll increased by 568,000 last month, according to a report by payroll processor ADP. It was the biggest increase since June and exceeded economists’ expectations for an increase of 428,000, according to a Reuters survey, and followed a downward revision of 340,000 jobs created in August.

The service sector, which has been hardest hit by pandemic lockdowns and has recovered in recent months thanks to vaccinations and business reopenings, created the most jobs with 466,000. hospitality accounted for 226,000 of these gains. Meanwhile, the manufacturing sector has created 102,000 jobs.

Job creation has also been led by large companies – those employing more than 500 workers – with 390,000 payrolls added last month.

Hiring cooled in the third quarter compared to the second, as coronavirus fears and childcare issues kept Americans from returning to work. “Current bottlenecks in hiring are expected to ease as health conditions related to the Covid-19 variant continue to improve, paving the way for solid job gains in the coming months. “said Nela Richardson, chief economist, ADP.

The data precedes Friday’s official report on non-farm wages, which is expected to show a pickup in hiring in September, with the US economy creating 473,000 jobs. The report is being closely watched as it could pave the way for the Federal Reserve to start scaling back its massive stimulus package in November.

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How a Global Foundry Loses Money in a Chip Boom, Auto News, ET Auto https://ksupradio.com/how-a-global-foundry-loses-money-in-a-chip-boom-auto-news-et-auto/ Wed, 06 Oct 2021 09:21:00 +0000 https://ksupradio.com/how-a-global-foundry-loses-money-in-a-chip-boom-auto-news-et-auto/ But this dependence on customers has not translated into an ability to fill its factories or raise prices to the extent necessary to cover costs. The current state of the global semiconductor market has been alternately labeled by automakers, politicians, and executives as scarcity, crisis, and even squeeze. For the companies at the center of […]]]>
But this dependence on customers has not translated into an ability to fill its factories or raise prices to the extent necessary to cover costs.

The current state of the global semiconductor market has been alternately labeled by automakers, politicians, and executives as scarcity, crisis, and even squeeze. For the companies at the center of it all, the only word to describe what we’re seeing is a chip boom. It is therefore inexplicable that a company that should bathe in profits could still lose money.

Enter GlobalFoundries Inc. The New York-based company is the world’s third largest contract chip maker and has just filed for listing with Nasdaq. With shares of leader Taiwan Semiconductor Manufacturing Co. more than doubling since the darker days of the Covid-19 pandemic, and its closest rival United Microelectronics Corp. which has almost quintupled, investors are expected to claim the $ 1 billion offer from GlobalFoundries.

Like its competitors, GlobalFoundries manufactures chips based on the designs of customers, most of whom do not have their own factories. Rather than land the most advanced orders for components like smartphone processors and graphics chips, the company shifted its strategy in 2018 toward researching older product types – which it euphemistically calls “rich in”. features ”- which include parts that convert sound and images to digital. signals.

The supply of older semiconductor products does not attract the high prices TSMC charges, but they are much cheaper and easier to manufacture. With modern cars devoid of much needed sensors, and even Apple Inc. noting the impact on iPad and iPhone sales, this should be a golden age for GlobalFoundries.

But even with manufacturing times hitting a record 21 weeks and prices pushed up – clear signs that demand is exceeding supply – the company is still failing to turn a profit. Revenue fell 17% last year, a second consecutive decline, and operating loss margins deteriorated. In a potential market of around $ 54 billion in 2020, it only captured $ 4.9 billion. While most of the pandemic-inspired chip boom and shortage occurred through 2021, the truth remains that this business declined last year while the foundry industry climbed 23%.

What is more concerning is that peaks and valleys are a natural part of this industry. New product categories such as PCs, laptops and smartphones have all driven past expansions, with declines after this period of growth ends. This time around we are witnessing a super cycle driven by faster telecommunications networks, cloud computing and streaming content, and electronically equipped cars. This helped GlobalFoundries grow its revenue by 13% in the first half of the year (TSMC was up 18%.) But even then it still recorded a loss of $ 198 million.

In its prospectus, the company boasts of the growing dependence of its customers on its services: “A key measure of our success as a differentiated technology partner is the combination of our revenues attributable to single-source activities”, which she defines as “those who we believe that it can only be made with our technology and that it cannot be made elsewhere without a major overhaul from customers.” ”

But this dependence on customers has not translated into an ability to fill its factories or raise prices to the extent necessary to cover costs.

The biggest expense for a chip foundry is equipment depreciation, which means whether full or empty, the cost of these factories weighs on the bottom line. Over the past three years, capacity utilization has ranged from 70% to 84%, while a rule of thumb for the industry is that it takes at least 90% to break even. What you certainly don’t have when the equipment is idle is the bargaining power to ask customers to pay more. On the other hand, TSMC is preparing to increase its prices by up to 20%.

And this year could be the peak of the current cycle. Although shortages remain, most struggles are over and most industries are returning to normal. The company, citing Gartner Inc., estimates that the foundry industry will grow by an average of 10.1% between 2019 and 2025. Last year hitting 23% and this year heading towards 12% – with TSMC taking the bulk. of that expansion for itself – out there There may not be a lot of momentum left to push GlobalFoundries into profitable territory. And if he does manage to get his head out of the water, it can be difficult to keep him.

Seasonality, industry overcapacity, reductions in demand and decreases in average prices are all described in his brief under “risk factors”. If you want a manual on how to lose money in a chip boom, just read the GlobalFoundries flyer.

Read also :

GlobalFoundries, which is owned by Abu Dhabi sovereign wealth fund Mubadala Investment Company, has yet to set terms for its listing, but it could ask for a valuation of around $ 25 billion, Reuters first reported in August. .

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How many Babcock & Wilcox Enterprises, Inc. (NYSE: BW) shares do institutions own? https://ksupradio.com/how-many-babcock-wilcox-enterprises-inc-nyse-bw-shares-do-institutions-own/ Sun, 03 Oct 2021 12:21:54 +0000 https://ksupradio.com/how-many-babcock-wilcox-enterprises-inc-nyse-bw-shares-do-institutions-own/ If you want to know who actually controls Babcock & Wilcox Enterprises, Inc. (NYSE: BW), then you will need to examine the makeup of its share register. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. Companies that have been privatized […]]]>

If you want to know who actually controls Babcock & Wilcox Enterprises, Inc. (NYSE: BW), then you will need to examine the makeup of its share register. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. Companies that have been privatized tend to have low insider ownership.

With a market cap of US $ 587 million, Babcock & Wilcox Enterprises is a small cap stock, so it might be overlooked by many institutional investors. Looking at our data on ownership groups (below), it appears that institutions are visible on the share register. Let’s dig deeper into each type of owner, to find out more about Babcock & Wilcox Enterprises.

Check out our latest review for Babcock & Wilcox Enterprises

NYSE: BW Ownership Breakdown October 3, 2021

What does institutional ownership tell us about Babcock & Wilcox companies?

Many institutions measure their performance against an index that approximates the local market. Thus, they generally pay more attention to companies that are included in the major indices.

Babcock & Wilcox Enterprises already has institutions listed in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility among professional investors. But we cannot rely on this fact alone because institutions sometimes make bad investments, like everyone else. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company without a history of growth. You can see Babcock & Wilcox Enterprises’ historical earnings and earnings below, but keep in mind that there is always more to tell.

profit and revenue growth
NYSE: BW Profit and Revenue Growth October 3, 2021

We note that the hedge funds do not have a significant investment in Babcock & Wilcox Enterprises. B. Riley Financial, Inc. is currently the largest shareholder in the company with 25% of the shares outstanding. Neuberger Berman BD LLC is the second largest shareholder holding 6.9% of the common shares, and BlackRock, Inc. owns approximately 4.9% of the shares of the company. Additionally, we found that Kenneth Young, the CEO, owns 1.2% of the shares attributed to their name.

Upon closer inspection, we found that more than half of the company’s stock is owned by the top 7 shareholders, suggesting that the interests of the larger shareholders are to some extent offset by the smaller ones.

Institutional ownership research is a good way to assess and filter the expected performance of a stock. The same can be achieved by studying the feelings of analysts. Many analysts cover the stock, so it can be interesting to see what they are forecasting as well.

Insider ownership of Babcock & Wilcox companies

The definition of an insider may differ slightly from country to country, but board members still count. The management ultimately reports to the board of directors. However, it is not uncommon for managers to be board members, especially if they are founders or CEOs.

Insider ownership is positive when it indicates that executives think like the real owners of the company. However, strong insider ownership can also give immense power to a small group within the company. This can be negative in certain circumstances.

I can report that insiders own shares of Babcock & Wilcox Enterprises, Inc. As individuals, insiders collectively own US $ 18 million of the US $ 587 million company. It shows at least some alignment. You can click here to see if these insiders have bought or sold.

General public property

The general public has a 19% stake in Babcock & Wilcox Enterprises. This size of ownership, while considerable, may not be enough to change company policy if the decision is not in line with other large shareholders.

Owned by a private company

It appears that private companies own 4.0% of the shares of Babcock & Wilcox Enterprises. Private companies can be related parties. Sometimes insiders have an interest in a public company through a stake in a private company, rather than in their own capacity as an individual. While it is difficult to draw general conclusions, it should be noted that this is an additional area of ​​research.

Public enterprise ownership

It can be seen that state-owned companies hold 25% of Babcock & Wilcox Enterprises shares upon issuance. It’s hard to say for sure, but it suggests that they have intertwined business interests. This can be a strategic issue, so it’s worth watching this space for changes in ownership.

Next steps:

It’s always worth thinking about the different groups that own shares in a company. But to better understand Babcock & Wilcox Enterprises, there are many other factors that we need to consider. To this end, you should inquire about the 4 warning signs we spotted with Babcock & Wilcox Enterprises (including 2 which are significant).

If you are like me, you might want to ask yourself if this business will grow or shrink. Fortunately, you can check out this free report showing analysts’ forecasts for its future.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative material. Simply Wall St has no position in the mentioned stocks.

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.

If you are looking to trade Babcock & Wilcox companies, open an account with the cheapest * professional approved platform, Interactive Brokers. Their clients from more than 200 countries and territories trade stocks, options, futures, currencies, bonds and funds around the world from a single integrated account.Promoted

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Is Monte Carlo Fashions Limited (NSE: MONTECARLO) popular among insiders? https://ksupradio.com/is-monte-carlo-fashions-limited-nse-montecarlo-popular-among-insiders/ Sat, 02 Oct 2021 02:28:40 +0000 https://ksupradio.com/is-monte-carlo-fashions-limited-nse-montecarlo-popular-among-insiders/ A look at the shareholders of Monte Carlo Fashions Limited (NSE: MONTECARLO) can tell us which group is more powerful. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. Warren Buffett said he enjoys “a business with sustainable competitive advantages, led […]]]>

A look at the shareholders of Monte Carlo Fashions Limited (NSE: MONTECARLO) can tell us which group is more powerful. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. Warren Buffett said he enjoys “a business with sustainable competitive advantages, led by skilled people and owner-centered.” So it’s nice to see some insider ownership as it may suggest that the management is owner-driven.

Monte Carlo Fashions is not a big company by global standards. It has a market cap of 7.8 billion yen, which means it wouldn’t get the attention of many institutional investors. In the graph below, we can see that the institutions hold shares in the company. Let’s take a closer look at what different types of shareholders can tell us about Monte Carlo Fashions.

Check out our latest review for Monte Carlo Fashions

Distribution of the NSEI property: MONTECARLO October 2, 2021

What does institutional ownership tell us about Monte Carlo fashion?

Many institutions measure their performance against an index that approximates the local market. Thus, they generally pay more attention to companies that are included in the major indices.

Monte Carlo Fashions already has institutions registered in the share register. Indeed, they hold a respectable stake in the company. This suggests some credibility among professional investors. But we cannot rely on this fact alone because institutions sometimes make bad investments, like everyone else. When several institutions hold a stock, there is always a risk that they are in a “crowded trade”. When such a transaction goes awry, several parties may compete with each other to sell stocks quickly. This risk is higher in a company without a history of growth. You can see Monte Carlo Fashions historical income and earnings below, but keep in mind that there is always more to tell.

profit and revenue growth
NSEI: MONTECARLO Profits and revenue growth October 2, 2021

Monte Carlo Fashions is not owned by hedge funds. Looking at our data we can see that the largest shareholder is Girnar Investment Ltd with 32% of the shares outstanding. Nagdevi Trading & Investment Co Ltd, Asset Management Arm is the second largest shareholder holding 24% of the common stock, and Nahar Capital and Financial Services Limited owns around 8.0% of the shares of the company. Additionally, CEO Jawahar Oswal owns 0.6% of the company’s shares.

A more detailed study of the register of shareholders showed us that 2 of the major shareholders hold a considerable share of the ownership of the company, through their 56% stake.

While it makes sense to study a company’s institutional ownership data, it also makes sense to study analysts’ sentiments to know which way the wind is blowing. We are not seeing any analyst coverage of the stock at this time, so the company is unlikely to be widely held.

Insider property of Monte Carlo Fashions

The definition of an insider may differ slightly from country to country, but board members still count. The management of the company manages the company, but the CEO will report to the board of directors, even if he is a member of the board.

Insider ownership is positive when it indicates that executives think like the real owners of the company. However, strong insider ownership can also give immense power to a small group within the company. This can be negative in certain circumstances.

I can report that insiders own shares of Monte Carlo Fashions Limited. In their own name, the insiders own shares worth 499 million yen in the company 7.8 billion yen. Some would say this shows the alignment of interests between shareholders and the board, although I generally prefer to see larger insider holdings. But it might be worth checking out if these insiders have sold.

General public property

The general public, with a 21% stake in the company, will not be easily ignored. While this group cannot necessarily take the lead, it can certainly have a real influence on how the business is run.

Owned by a private company

Our data indicates that private companies own 35% of the company’s shares. Private companies can be related parties. Sometimes insiders have an interest in a public company through a stake in a private company, rather than in their own capacity as an individual. While it is difficult to draw general conclusions, it should be noted that this is an additional area of ​​research.

Public enterprise ownership

State-owned companies currently own 8.0% of the shares of Monte Carlo Fashions. We cannot be sure, but it is quite possible that it is a strategic issue. Companies can be similar or work together.

Next steps:

I find it very interesting to see who exactly owns a company. But to really get an overview, we have to take other information into account as well. For example, we have identified 1 warning sign for Monte Carlo Fashions that you need to be aware of.

Sure, you might find a fantastic investment looking elsewhere. So take a look at this free list of interesting companies.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative documents. Simply Wall St has no position in the mentioned stocks.

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.

If you are looking to trade Monte Carlo fashion, open an account with the cheapest * platform that professionals trust, Interactive Brokers. Their clients from more than 200 countries and territories trade stocks, options, futures, currencies, bonds and funds around the world from a single integrated account.Promoted

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What is the ownership structure of Eurazeo SE (EPA: RF)? https://ksupradio.com/what-is-the-ownership-structure-of-eurazeo-se-epa-rf/ Fri, 01 Oct 2021 12:34:19 +0000 https://ksupradio.com/what-is-the-ownership-structure-of-eurazeo-se-epa-rf/ The large Eurazeo SE (EPA: RF) shareholder groups have power over the company. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. I generally like to see some degree of insider ownership, even if it’s just a little. As Nassim Nicholas […]]]>

The large Eurazeo SE (EPA: RF) shareholder groups have power over the company. Institutions often own shares in more established companies, while it is not uncommon to see insiders owning a good number of smaller companies. I generally like to see some degree of insider ownership, even if it’s just a little. As Nassim Nicholas Taleb said, “Don’t tell me what you think, tell me what you have in your wallet.

With a market capitalization of 6.2 billion euros, Eurazeo is rather large. We would expect to see institutional investors on the register. Companies of this size are also generally well known to retail investors. In the graph below, we can see that the institutions hold shares in the company. Let’s dig deeper into each type of owner, to find out more about Eurazeo.

See our latest analysis for Eurazeo

ENXTPA: Distribution of RF ownership October 1, 2021

What does institutional ownership tell us about Eurazeo?

Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it’s included in a major index. . We would expect most businesses to have some institutions listed, especially if they are growing.

Eurazeo already has establishments registered in the share register. Indeed, they hold a respectable stake in the company. This may indicate that the company has a certain degree of credibility in the investment community. However, it’s best to beware of relying on the so-called validation that comes with institutional investors. They too are sometimes wrong. If several institutions change their mind about a stock at the same time, you could see the stock price drop quickly. It is therefore interesting to consult the history of Eurazeo’s results below. Of course, the future is what really matters.

profit and revenue growth
ENXTPA: RF Earnings and Revenue Growth October 1, 2021

We note that the hedge funds do not have a significant investment in Eurazeo. Our data shows that JCDecaux Holding SAS is the largest shareholder with 18% of the shares in circulation. With 6.7% and 5.9% of the outstanding shares respectively, Tikehau Capital and Estate of Eliane David Weill are the second and third shareholders.

A closer look at our ownership figures suggests that the top 11 shareholders have a combined 52% ownership, implying that no shareholder has a majority.

Institutional ownership research is a good way to assess and filter the expected performance of a stock. The same can be achieved by studying the feelings of analysts. There are a lot of analysts covering the stock, so you can look at expected growth quite easily.

Insider ownership of Eurazeo

The definition of company insiders can be subjective and vary from jurisdiction to jurisdiction. Our data reflects individual insiders, capturing at least board members. The management of the company is accountable to the board of directors and the board must represent the interests of the shareholders. Notably, sometimes senior executives themselves sit on the board of directors.

I generally consider insider ownership to be a good thing. However, there are times when it is more difficult for other shareholders to hold the board accountable for decisions.

We note that insiders hold Eurazeo SE shares. Insiders have a significant stake worth 607 million euros. Most would see this as a real benefit. It’s good to see this level of investment from the insiders. You can check here if these insiders have bought recently.

General public property

The general public, with a 32% stake in the company, will not be easily ignored. While this group cannot necessarily take the lead, it can certainly have a real influence on how the business is run.

Private shareholders

Private equity companies hold 6.7% of Eurazeo’s capital. This suggests that they can influence key policy decisions. Some investors might be encouraged by this, as private equity is sometimes able to encourage strategies that help the market see the value of the business. Alternatively, these holders could withdraw from the investment after making it public.

Owned by a private company

Our data indicates that private companies own 35% of the company’s shares. It may be worth pursuing the question further. If related parties, such as insiders, have an interest in any of these private companies, this should be disclosed in the annual report. Private companies may also have a strategic interest in the business.

Next steps:

While it is worth considering the different groups that own a business, there are other factors that are even more important. Consider, for example, the ever-present specter of investment risk. We have identified 3 warning signs with Eurazeo (at least 2 that cannot be ignored), and understanding them should be part of your investment process.

But finally it’s the future, not the past, which will determine the success of the owners of this business. Therefore, we believe it is advisable to take a look at this free report showing whether analysts are predicting a better future.

NB: The figures in this article are calculated from data for the last twelve months, which refer to the 12-month period ending on the last date of the month of date of the financial statement. This may not be consistent with the figures in the annual report for the entire year.

This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative documents. Simply Wall St has no position in the mentioned stocks.

Do you have any feedback on this item? Are you worried about the content? Get in touch with us directly. You can also send an email to the editorial team (at) simplywallst.com.

If you want to trade on Eurazeo, open an account on the cheapest platform * approved by professionals, Interactive Brokers. Their clients from more than 200 countries and territories trade stocks, options, futures, currencies, bonds and funds around the world from a single integrated account.Promoted

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Fragile economic recovery https://ksupradio.com/fragile-economic-recovery/ Fri, 01 Oct 2021 00:43:13 +0000 https://ksupradio.com/fragile-economic-recovery/ The writer is a group director at Jang Group. Make too many promises and sooner or later a government will find out that not everything can be kept. This is especially true of economic policy where it is strongly recalled that some stakeholder objectives must be abandoned in favor of another objective. Thus, high levels […]]]>

The writer is a group director at Jang Group.

Make too many promises and sooner or later a government will find out that not everything can be kept. This is especially true of economic policy where it is strongly recalled that some stakeholder objectives must be abandoned in favor of another objective. Thus, high levels of spending on physical infrastructure or on social development programs aimed at stimulating the economy will generally lead to inflation, unless the economy is in deep recession and has a large capacity for production or production. enough foreign exchange to finance a surge of imports.

In an attempt to stop the widening current account deficit, the State Bank of Pakistan (SBP) recently raised its policy rate to 7.25%. However, the rate hike is unlikely to alleviate inflationary pressures, as the inflation we are experiencing is not only due to excess aggregate demand, but also cost pressures on the supply side.

A major downside to increasing interest rates is the additional burden it places on the Pakistani government with debt service obligations as the increase in the SBP key rate is rippled throughout the economy, including across the economy. federal government savings plans.

The current account balance is in the red at $ 5.4 billion in the first eight months of 2021 alone. This contrasts with a small but positive current account balance of $ 245 million in 2020. The surplus of last year, however, is an aberration; it reflects depressed industrial activity in the global economy because of the Covid-19, which caused a drop in the prices of raw materials, in particular that of crude oil.

The ongoing problem with our trade balance is the large gap between exports and imports of goods and services, even after eliminating imports of crude oil.

The saving grace for the checking account continues to be worker remittances which reached a record high of nearly $ 26 billion in 2020 – a growth rate of 17% from 2019. In 2021, remittances of funds have already exceeded $ 20.5 billion in the first eight months. by 2021, then we may well have a record annual inflow of around $ 27 billion by the end of this year.

Relying primarily on remittances to cover the trade deficit is a risky proposition, however, due to the underlying political and economic currents. According to the International Labor Organization (ILO), Covid-19 resulted in the loss of more than 114 million jobs worldwide in 2020. It is also revealing that many jobs lost during the current pandemic are permanently disappearing as workers host countries are switching to robotics and automation to replace unskilled labor or impose more stringent restrictions on the movement of border workers due to the populist backlash against migrants.

The outflow of dollars to Afghanistan, coupled with the rampant trade deficit, means further depreciation of the rupee is to be expected, even though the SBP governor, in a recent press briefing, tried to twist positive to negative trade gap due to increased investment in factories and machinery heralding a period of faster GDP growth in Pakistan. It’s the same type of fallacious answer (if not why the new restrictions on auto financing by the banks?) We remember the situation in Lewis Carroll’s “Through the Looking Glass” when a bewildered Alice discovers that she is. stuck in one place as she runs as fast as she can. The Red Queen’s response is that Alice’s attempts to move forward are in vain if she only runs as fast as she can. To go elsewhere, she has to run at least twice as fast as that!

As recently announced by the SBP, quantitative measures such as tightening the conditions for granting auto loans by banks are an appropriate corrective measure to slow the growing trade deficit. The assembly of cars on site requires significant foreign exchange requirements, as components and parts have to be imported by domestic producers. Foreign currency is also used for additional imported oil to meet the gasoline production of petroleum refiners for the growth in the number of cars. Add to this the negative impact on the current account due to the repatriation of profits by automakers and the need to curb car purchases is clear.

This is because the state of congestion on the roads of major cities and the fact that our urban areas rank among the worst in the world in terms of air quality, resulting in higher health and mortality costs in the world. population, provides a strong rationale for reducing air pollution through an emission permit system for car manufacturers. (Other polluting sectors like cement and power generation can be dealt with later under a “cap and trade” system).

Pollution permits mean higher prices for owners of cars driving huge gas guzzlers, but this would be offset by lower prices for smaller, more fuel-efficient vehicles. It would also boost the prospects of owning electric vehicles in this country.

A central implication of climate change is that changing patterns of global food production will cause seismic changes in the geopolitical landscape. Countries that have or are acquiring food export capacities will find that their importance has increased in international geopolitical terms. Frankly speaking, food crops will be the new oil.

One of the areas requiring immediate intervention in Pakistan is increasing the production of oilseeds and edible oils, which could reduce dependence on their imports which cost the country more than $ 3 billion. dollars per year. Surprisingly, very little has been achieved in the area of ​​oilseeds and edible oil self-sufficiency despite several important studies and recommendations on this sector by international and local consultants dating back to the mid-1980s. annual expenditure on importing these products is a direct consequence of a massive increase in the country’s population coupled with a decline in the production of traditional sources of edible oils such as cottonseeds while the area devoted to production cotton decreases.

Our planners are obsessed with promoting large-scale manufacturing even though, after more than 70 years of disappointments, it is evident that Pakistan lacks a comparative advantage in large-scale industry, which survives largely because ‘it has been pampered by a combination of protectionist barriers and a profusion of tax breaks and subsidies. Consumers pay the high cost of inefficiency.

It is disconcerting to note that recently reductions in excise duties and sales taxes were allowed on imports of spare parts for automobile production while taxes on personal computers and laptops were increased. Given their importance to the digital economy and to distance and hybrid learning in schools and universities, there should be zero taxes and duties on imports of laptops and PCs whose dollar prices have already increased due to a shortage of microprocessors in the world.

The digital economy is one area where Pakistan has a comparative advantage, as evidenced by the fact that we earn millions of dollars, despite an attitude of benign neglect on the part of the authorities, from the IT services offered to international clients. What’s remarkable is that much of this development has happened through seed efforts through which our young people have learned their craft through self-help initiatives by accessing free resources. on the Internet such as YouTube videos. The government must facilitate their efforts by expanding the broadband footprint to all corners of the country. Hopefully a million digital flowers will bloom as a result.

E-mail: [email protected] com.pk

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