Average deal size up in primary market in 2009: Prime

What was significant in 2009,according to Prithvi Haldea,chairman and managing director of PRIME,was average deal size. This rose dramatically to Rs 931 crore,up from Rs 445 crore in 2008 and Rs 426 crore in 2007. In fact,the average deal size in 2009 was the highest ever. This year there were as many as five issues of over Rs 1,000 crore each. And for the first time ever there was no issue of below Rs 10 crore.

“Mobilisation in 2009 could have been much better with more public sector units’ (PSU) divestment and fresh capital raising,” said Haldea. The year witnessed only two such issues,both of which had been in the pipeline for long. One was NHPC’s IPO for Rs 6,039 crore,which single-handedly accounted for 31 per cent of the year’s total mobilisation. The other was Oil India’s IPO that raised Rs 2,777 crore.

Aviva India launches Ulips and thematic funds

Aviva Life Insurance has launched nine new unit-linked plans. It has also launched 14 new fund options. The company has also introduced two thematic funds: infrastructure fund and PSU fund.

All these Ulips will have a charge structure where the difference between gross and net yield will not exceed 3 per cent for products with a 10-year tenure and 2.25 per cent for those with a tenure of over 10 years. The fund management charges will range from 1-1.35 per cent. These products are likely to offer customers a higher internal rate of return. Said T R Ramachandran,chief executive officer and managing director,Aviva India: “We have enhanced our products by including loyalty additions and guaranteed maturity additions that will encourage customers to stay invested in them.”