[image: PPFAS] <http://www.ppfas.com/>  *18th May 2009*   *Inside this
report...*
The Case of mistaken identity <#1215205d71653a16_12151fee67305d29_pv>
Index Funds <#1215205d71653a16_12151fee67305d29_if>
Oracle Financial Services Software Ltd.: Q4FY09 Result
Update<#1215205d71653a16_12151fee67305d29_ofss>
      *The Case of mistaken identity*   Contributor: Arpit Ranka |
[email protected]
*“We are not so sensible of the greatest health as of the least sickness”* -
Ben Franklin (Read profit for health and loss for sickness)

People want to make money not only for the need of it but also for the
identity it creates for the person who makes it. After all in today’s world
to be successful is to be rich. When so much is at stake it is only natural
that the very prospect of ‘loss’ makes people anxious. And the best way to
deal with it is not psychological denial but by taking appropriate measures
to handle those emotions.

*“Distrust and caution are the parents of security”* - Ben Franklin

As an investor I think that the intensity of emotions become stronger after
we commit ourselves to a particular stock. Because once we commit ourselves
to a stock it becomes a case of mistaken identity (ie) we identify the stock
as a reflection of our ability and its success for ours. In short, the
quality of the result becomes more important than the quality of the
process, which can be misleading when trying to work out in a complex system
such as stock market. And the best way to deal with the anxieties arising
out of mistaken identity is to realize it and incorporate certain antidotes
in our investment philosophy.
more...<http://www.ppfas.com/research/ereports/week/180509/index.php#pv>
 *Index Funds*  Ashish Shah | [email protected]
An Index Fund is a mutual fund scheme that invests in the securities of the
target Index in the same proportion or weightage. Index funds are passive
investments. This means that a portfolio manager will allocate the fund's
assets across stocks that constitute the index in the same proportion as
their respective weights in the index. The mandate is to mirror the index
movements.

Active funds, in contrast, are mandated to beat the benchmark index. They
accordingly charge high management fees, nearly twice as much as the index
funds.

The two important parameters to choose an index fund are expense ratio and
tracking error. Tracking error, which is the standard deviation of the
returns differential between the fund and its benchmark. The objective is to
choose the one with the lowest tracking error. The optimal index fund then
is one, which has low tracking error and expense ratio.
more...<http://www.ppfas.com/research/ereports/week/180509/index.php#if>
 *Oracle Financial Services Software Ltd.: Q4FY09 Result Update*  Raunak
Onkar | [email protected]
Oracle Financial Services Software Limited has reported an impressive 77%
jump in earnings for the year ended March 31, 2009. Overshadowed by the
economic conditions in the financial services & the banking sector, OFSS
still manages to report a 23% growth in Revenues at Rs. 2927.6 Crs as
compared to its FY08 Revenues of Rs.2380.2 Crs.

OFSS has shown remarkable operating performance from 19% in FY08 to 25% in
FY09. The products revenues represent 62% of the overall revenue of FY09
with 31% growth over the previous financial year. Services revenues have
grown at 13% compared to last fiscal year representing a 36% share of the
revenues. Geographically the client concentration shows a decline in US
revenues from 33% last year to just 29% this year coupled with substantial
client additions in Asia Pacific & Middle East geographies. Oracle Flexcube
shows a strong presence in Asia by winning deals in Cambodia, Vietnam,
Nepal, Bangladesh & China. One of Indonesia's largest lenders prefers Oracle
Revelues Basel II implementation. During Q4 FY09, 8 banks have gone live on
the Oracle Flexcube. This quarter has seen new product releases like Oracle
Flexcube Direct Banking, Oracle Revelues ICAAP, Oracle Reveleus Market Risk
& Oracle Mantas.
more...<http://www.ppfas.com/research/ereports/week/180509/index.php#ofss>
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Regards,

Anuj Anandwala
Analyst I Investment Research

Parag Parikh Financial Advisory Services Ltd.
Tel: 022 2284 6555
URL: www.ppfas.com

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