I don’t think that Indian economy has ever been on a sounder footing as it is now. This is good for banking industry and IDFCF Bank.
In my opinion IDFCF price is likely to bounce back within a quarter or two. So you could further invest into IDFC Ltd now and wait for bank shares to get back to 93 and exit. Off course it would be dependent on availability of additional finance. You will have to exercise your own discretion.
Disc-Invested in both.
I would suggest accumulating IDFC Ltd. for new purchases and not doing any swaps. There is not much merit considering the service charges; STT paid for the sell and buy of new shares. And you never know what will happen in the one day in between your sell and buy.
Hi Aayush, where did you get this data?
What do you make out of this data?
we can see the data related to Credit Card spending, Debit Card spending, ATM infra, and POS machines and see how many ATMs were installed(roughly means the number of branches for now as the bank is opening a lot of branches), POS machines to know about how much MDR we can capture on acquiring side, Credit Card outstanding to see how many cards were issued…
IDFC, IDFC Financial Gets Nod For Merger With IDFC First Bank From BSE, NSE, Pension Regulator
Now what are the other approvals are awaiting?
SEBI, RBI, NCLT and Shareholders approval are left…
It would be great if they are able to complete the merger withing next 6 to 9 months…
As per the new RBI circular, following are the points which is applicable to IDFCFB.
CAR will not be at the same level. The banks have to expose an increased amount of Tier 1 capital the aforementioned advances. I mean, what is your take on this, will there be a need for QIB sometime in the future, assuming the risk weight remains unchanged?
I feel that tightening of norms for unsecured retail lending will help better governed banks as they will continue with their business plans by raising additional capital as and when required. I rate IDFCFB management as dynamic and professionally strong. So the new capital adequacy norms should help them as competition in consumer loans will reduce. Logically this segment must be having higher NIM compared to other segments. Therefore in my opinion it is a positive for IDFCFB.
Madhi has resigned from the bank, citing personal reasons and the pursuit of growth, without indicating any issues at IDFC First Bank. However, this raises a pertinent question: What would happen if, one fine morning, Mr. Vaidya decides to step down as CEO and depart from the bank? Does this absence of key figures pose a significant risk to the bank? Who are the other leaders capable of stepping into Madhi’s shoes, and if necessary, Vaidya’s as well?
The resignation letter hints at Madhi’s reasons without suggesting any internal problems. Yet, it prompts consideration about succession and contingency plans, especially in the event of potential future departures within the bank’s leadership.
When an issue is hanging , senior person resignation will say it as a person reason nd nothing more … But here he has mentioned his daughter’s education and bit more. For me i don’t think much problem. But the concern u raised persisting in mind also ., wt if vaida resign unexpectedly …
his age is 55 . this guy left ICICI bank , did merger with idfc - all because of his dream to build a retail bank as md and ceo. dont think he is going to leave unless rbi forces ( for some scary reason ) or he is at retirement age.
and if he stays another 5 years and delivers what he is promising then that would be enough for investor like us.
It is not possible to push a competent CEO out as it would require a majority stake in the bank. And why would anybody take such a step ? It would be a financial suicide for them.
It is also clear that RBI trusts him.
He has made IDFC Ltd shareholders happy by giving them a beyond expectation ratio of 1.55 shares, which has made them the biggest beneficiary of merger with capital first. All the shareholders of IDFC ltd must be a very satisfied lot after a long value stagnation of several years. That itself is 40% support. Today, in my opinion Vaidya would carry 99% support with bank shareholders.
Creating a bank of his own had been his lifetime ambition for which he has worked and risked his neck for last 20 years. Also this is his core competence. He has a chance of becoming the top banker of the country in another 10 years and he is on track. Why would he walk away from that ?
That VV won’t resign or will not be thrown out is the bet we are taking. Otherwise we will never be able to invest in any company as anything can happen. One has to take a chance to make money.
Every time there is a resignation of a Senior management of a Bank, it is usually interpreted as some sort of “Signal” for what’s happening inside the Bank.
For Banks and NBFC this is even more true because the truth is, as market participants we JUST DON’T KNOW what’s happening within a bank. It is extremely easy to play with a Bank’s numbers if you were ever so motivated.
Yes Bank being an obvious case in point BUT it happens ALL the time to varying degrees. Lenders are a naughty lot.
There is NO POINT speculating whether VV will resign or not…why the ED resigned, was the real reason something else etc etc…because you will never know beforehand.
I remember when Mr. Ravneet Gill had taken over at Yes Bank CEO, someone told me, "I really like how he’s handling the crisis" and put more than 7 years of his savings in the hopes of a turnaround. That didn’t end well.
How the h*ll do you even know what’s happening inside. It’s all SPECULATION !! and by default we are ignorant…to varying degrees
HOW MUCH we ALLOCATE to a STOCK is a HEDGE Against OUR INHERENT IGNORANCE
If you allocate reasonably well, what the h*ll I care if ED or VV or BB or whoever else resigns. Good for them 
basically what @abrarhh said in 2 lines 
above.
I totally agree. Allocation and diversification makes you safe. Today my highest allocated stock P.I industries went down by 10% but still my overall portfolio was down by just 0.8% only. Had my portfolio been concentrated into only 4-5 stocks , it would have been a big fall.
IDFC FIRST Bank, LIC Cards and Mastercard Collaborate to Launch a Co-branded Credit Card to Meet the Financial Needs of India
