In response to allegations of fraudulent accounting by India’s Adani Group, a major domestic investment management company that sets up and manages public investment trusts related to India has been forced to respond by announcing the inclusion ratio of related stocks. The Kishida administration advocates “Asset income double planThere are also voices of concern that the momentum for investment expansion will be dampened, as expectations for individual investors are high.
Adani Group is a start-up group led by Indian billionaire Gautam Adani. A report released on January 24 by US investment firm Hindenburg Research pointed out allegations of fraudulent accounting and revealed that it was short-selling related companies.After that, by February 3, core companiesStock prices of Adani Enterprises, etc. temporarily exceeded 50%,Bond prices for Adani Green Energy also fell more than 20% year-over-year. There were concerns about the company’s cash flow, such as the cancellation of a capital increase by Enterprises.
Signage atop the Adani Group headquarters in Ahmedabad, India, on Wednesday, Feb. 1, 2023. Bonds of the Indian billionaire’s flagship firm plunged to distressed levels in US trading, and the company abruptly pulled a record domestic stock offering after the Adani group suffered a $92 billion market crash.
Photographer: Dhiraj Singh/Bloomberg
A subsidiary of Nomura HoldingsNomura Asset Managementannounced on the 7th that the Adani Group’s holdings of stocks and bonds in publicly offered investment trusts set up and managed by the companypublicationbottom. 30 stocks are applicable, and the effective holding ratio to net assets is a maximum of 5%. “We will continue to pay close attention to related news and market trends,” he said. In addition, 51 Sumitomo Mitsui DS Asset Management and 55 Asset Management One companies made similar disclosures.
Kuniaki Matsuo, General Manager of the Public Relations Department of Sumitomo Mitsui DS Asset, said, “Because of the growth market, India-related funds were also focusing on sales. There is concern that the news will put a damper on India’s fever, so how much impact will it have? I’m keeping an eye on it,” he said. Since the end of January, there has been a noticeable increase in inquiries at call centers, etc., and the facts have not been confirmed.publicationIt is said that he took the plunge.
In addition, the spokesperson for Assemane One said that customers who learned about the tick problem in the news reported a high level of interest and thought it was important for customers.DisclosureExplain why. Recent examples include the disclosure of securities related to Russia after Russia’s invasion of Ukraine and the holding status of China Evergrande Group.
A spokesperson for Nomura Asset also said that the volatility of the stock and bond prices of adamani-related companies has continued to decline, and that it has determined that it is necessary to provide information.The company announced on the 3rdmaterialAccording to the Adani Group, the business strategy and capital raising plan of the Adani Group, the trends of the Indian authorities and rating agencies, etc. are attracting attention, and there is a possibility that the stock prices and bond prices of the group companies will continue to be highly volatile in the short term. It says.
In the Indian stock market on the 7th, among the 10 listed companies under the Adani Group, 6 stocks rose, including the stock of the core company that temporarily rose 25%. Sentiment improved after news that Adani and others would prepay $1.11 billion worth of stock-backed loans.