A guest lecture was held for SY B.COM-C students of the course – Economic Survey and Union Budget – on 25th January 2019 from 10:00 to 11:00 am on the topic “Impact of the Union Budget on the Stock Market”. The resource person for the session was Ms. Manalee Raikar, Certified Financial Planner, Milestone Financial Consultants, Margao. She is a graduate in Financial markets from Mumbai university, with 4 years of work experience. The resource person was introduced and welcomed by Asst. Prof. Averyl Pires.
Ms. Raikar started by explaining the meaning of the Union Budget. She then discussed about Capital Receipts and Payments. Also the meaning of Revenue Receipts and Revenue Expenditure were discussed. She explained the process of preparation of the budget. The meaning of stock market, its process and functioning was explained. The need of a stock market was highlighted as to raise capital, bring buyers and sellers together, price discovery, trickle down economies and for wealth creation. The different avenues to invest in stock markets like direct equity or equity mutual funds were discussed.
The resource person explained the effects of the Union Budget on the stock market. Some of the effects discussed were long term capital gains tax on equity investments, proposal to introduce a tax on distributed income, exceeding disinvestment target and recapitalization program launched with bonds. She discussed a numerical example in terms of financial goals and how they can be achieved in the long run. She also motivated students to start investments at an early age and explained the importance of savings and returns. Her presentation also included interesting videos to explain the impact of the union budget on the stock markets.
Students raised several queries about what is the right time to buy shares before or after the budget, impact of global sentiments on the stock market, investing in shares or SIP’s which one is better, impact of elections on the stock market etc. The vote of thanks was proposed by Ms. Damini Achari. This lecture was attended by a total of 38 students. The session was informative and a good learning experience for students.
