Ask Mint | On Investments

Ask Mint | On Investments
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First Published: Mon, Apr 14 2008. 01 39 AM IST
Updated: Mon, Apr 14 2008. 01 39 AM IST
Is it possible to retrieve any shares or debentures of delisted companies? I hold many such shares. Please advise.
- Sandeep
You can get your money back from your investment in debentures, subject to liquidity of the company.
However, getting money back from your investments in equity shares is difficult, unless the shares are being traded.
I had been alloted some shares of Reliance Petroleum Ltd, which had since then merged with Reliance Industries Ltd. And, with its subsequent demerger now, I am holding shares of Reliance Industries, Reliance Natural Resources Ltd, Reliance Communications Ltd, Reliance Energy Ltd and Reliance Capital Ltd, all in physical form.
Also, inadvertently, my name was misspelt on the share papers. I did not notice the mistake in the beginning and found that only when I intended to convert the shares into dematerialized form. Please guide me on how these shares can be converted into dematerialized form as my account and other documents are in my correct name.
Further, I also hold 60 shares of Essar Steel Ltd in physical form. But, even though the stock has now been delisted, the company has not yet asked me to surrender the shares . Please advise.
- Indu
You must first write to the registrar of the company for the necessary correction in your name. They will ask you for some affidavit in support of your claim and other such documents, which justify your claim and establish your identity. On completion of this process, you may apply for dematerialization of your stocks. As far as the Essar Steel shares are concerned, the offer to surrender shares was open to all shareholders and was widely published. However, since this offer is now closed, you have no choice but to hold the shares. For better management and liquidity of your stock, you should get it dematerialized.
Is this a good time to invest money in SBI Magnum Taxsaver 1993 scheme ?
- V.R. Ashok
The stock markets are currently offering good long-term investing opportunities, though some glitches remain in short term and the markets may have some downward potential left. However, as far as investing in a tax saving scheme — SBI Magnum Taxsaver 1993 in this case — is concerned, I would suggest you to take a systematic investment plan (SIP). Investment through SIP is a good option as it would cover all phases of the markets and your risk of a downward market will be contained.
Answers are based on a technical analysis of the markets and individual stocks. The views expressed on this page are not the newspaper’s opinion and are provided for information purposes by Vipul Verma. Readers are requested to do their own research before participating in the stock markets. Neither the paper nor the information provider will be responsible for any outcome based on information provided here.
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First Published: Mon, Apr 14 2008. 01 39 AM IST