JAZAA FINANCIAL ADVISORY PVT. LTD.

1. JAZAA FINANCIAL ADVISORY PVT. LTD. Ethics . Principles . Social Responsibility WEEKLY NEWSLETTER www.jazaa.in 23rd Dec 2012

2. NEWSLETTER 23rdDec 2012 BSE SENSEX INDIAN STOCK MARKETS Indian shares ended lower on Friday, marking a second week of declines, as lenders were hit by profit-taking, while BhartiAirtel fell after federal police filed charges as part of a probe into alleged corruption in allocation of mobile airwaves. The market also tracked weak global shares after a Republican proposal to deal with a U.S. fiscal crunch failed to get enough support, deepening uncertainty over the U.S. can avert the "fiscal cliff" of automatic spending cuts and tax increases set to start Jan. 1 The benchmark BSE index fell 1.09 percent, or 211.92 points, to end at 19,242, marking its biggest single-day percentage fall since Oct. 30, and ending 0.39 percent lower for the week. The broader NSE index shed 1.16 percent, or 68.70 points, to end at 5,847.70, closing below the psychologically key 5,900 level, also ending down 0.54 percent for the week. Indian shares are expected to remain volatile next week amid uncertainty around the U.S. "fiscal cliff" and as markets head into the last derivatives expiry of 2012 on Thursday. Markets are hoping for a solution to the U.S. fiscal cliff issue because if a solution is not reached, it can impact sentiment negatively • GLOBAL MARKETS • U.S. stocks finished lower on Friday after a Republican plan to avoid the "fiscal cliff" failed to gain sufficient support on Thursday night, draining hopes that a deal would be reached before 2013. • Japan's next premier, Shinzo Abe, renewed pressure on the central bank to adopt a 2 percent inflation target, saying that he will try to revise a law guaranteeing its independence if his demand is not met. • Global stock markets skidded on Friday, and the euro and oil futures also slipped as a new setback in talks to avert a U.S. fiscal crisis and weak data out of Europe put investors on edge. • Qatar on Sunday lifted its forecasts for economic growth and inflation next year, saying a decline in oil and gas output was now expected to be less than originally thought. • Investors turned to the relative safety of the U.S. dollar on Friday as Washington's struggle to come up with a negotiated budget.

3. NEWSLETTER 23rdDec 2012 Editor’s Blog An article quoted when nations become strong and their companies begin to spread business to other countries, interests are bound to either collide or come together. Editor’s Blog The minnows of stock market seems to have stolen the show on Dalal Street in 2012 with better returns than their large blue-chip peers and appreciation of up to 40 per cent in their share prices. While the stock market has seen a smart across-the-board rebound towards the end of the year after taking a big beating in 2011, it is the shares of medium and small size companies in terms of market valuations that have recorded better gains on a full-year basis. As the year 2012 draws to an the mid-cap and small-cap indices have appreciated by about 40 per cent and 35 per cent, respectively, shows an analysis of the BSE data. Analysts said that higher foreign fund inflows, strong intent from the government towards reforms and cheaper valuations are some of the driving factors behind the smart rally in the broader markets this year. Sensex has gained around 25 per cent so far in 2012 aided by FII inflows which bought stocks worth over $22.5 billion. This winning situation in the market seems to be the outcome of blast of liquidity from western central banks, coupled with government's renewed interest for reforms since September," Aditya Trading Solutions MD Vikas Jain said. According to Edelweiss Financial Services' Head of Research VinayKhattar, decisions to open up FDI in multi-brand retail and civil aviation, as also hike in fuel prices, were among the major policy initiatives that helped the markets. As the situation started improving in the US and Europe and RBI started easing monetary policy, the broader markets benefited more than the benchmark indices in 2012 E-GOLD and E-SILVER CommodityE-GOLD Last Price: 3256.7 % Return since last week: -1.48 One year Return: 12.83 CommodityE-SILVER Last Price : 5981 % Return since last week: -4.79One year Return: 5.02

4. NEWSLETTER 23rdDec 2012 • NEWS THIS WEEK • SUICIDE BOMBERS HIT AIRTEL OFFICE, OTHER CELLPHONE FIRM IN NIGERIA • HTTP://IN.REUTERS.COM/ARTICLE/2012/12/22/NIGERIA-BOMB-AIRTEL-IDINDEE8BL03D20121222 German bank sues DGCA, Kingfisher Airlines http://in.reuters.com/article/2012/12/21/india-kingfisher-lessors-dvb-dgca-idINDEE8BK09H20121221 ArcelorMittal takes $4.3 billion writedown on weak Europe http://in.reuters.com/article/2012/12/21/arcelormittal-writedown-idINDEE8BK03F20121221 India rupee hits 3-wk low; U.S. 'fiscal cliff' development eyed http://in.reuters.com/article/2012/12/21/markets-india-forex-idINL4N09V3QS20121221 IKEA may enter India with cut-down product range, but not without cafes http://www.rediff.com/business/slide-show/slide-show-1-ikea-may-enter-india-with-cut-down-product-range/20121223.htm

5. NEWSLETTER 23rdDec 2012 FIRMS IN SHARIAH 50 Mindtree Limited, formerly known as Mindtree Consulting Limited (BSE532819, is a mid-sized international information technology (IT) consulting and implementation company. It operates in two units: Product engineering Services and IT Services. Mindtree was started in 1999 by ten industry professionals from Cambridge Technology PartnersLucenTechnologies, and Wipro. Currently co-headquartered in Warren, New Jersey, and Bangalore, India, it has three development centers in India and 15 offices in Asia, Europe, and the United States.Mindtree is ranked #18 in Indian IT companies and overall #445 in Fortune India 500 list of 2011.[ It was the First Indian IT firm that went public, and offered an IPO . Mindtree’s edge stems from a unique balance of human perspective with deep strategic thinking. We look beyond the immediate project and program horizon to see the impact we can create with our customer on their end consumers and societies. All our people, processes, technologies and delivery are centered around this philosophy. It is this balanced approach that enables us to create possibilities to help our customers operate efficiently and effectively and partner in their success. Ethical business conduct, integrity and commitment to values are the cornerstones of Mindtree’s corporate governance philosophy. BSE TASIS SHARIAH 50

6. NEWSLETTER 23rdDec 2012 • ISLAMIC TREASURY DESERVES ATTENTION • There is being lot discussed about various impediments of Islamic Banking system. On my latest research on Islamic treasury I found out that liquidity is becoming a huge problem for Islamic Banks due to its improper management. Traditionally banks manage their liquidity by investing in short term interest based securities which is not the cup of tea for an Islamic banking. The market for Islamic bank products are extremely shallow and illiquid, and money markets are almost non existent since viable instruments are currently not available. The lack in liquidity enhancing instruments has eliminated a large segment of potential investors. At this juncture Islamic treasury and securitization has an opportunity to develop more liquid instruments for Islamic banks to tap its potential short term investors. Islamic treasury offers a wide range of opportunities for the bankers to earn profits through their savings and deposits. The concept of Islamic treasury began since the time Zakat and Jizya were collected in the treasury of an Islamic government and were used to provide income for the needy including the poorelderly,orphans widows, and the disabled. . HADITH OF THE WEEK Narrated Abu Said Al-Khudri and Abu Huraira: Allah's Apostle employed someone as a governor at Khaibar. When the man came to Medina, he brought with him dates called Janib. The Prophet asked him, "Are all the dates of Khaibar of this kind?" The man replied, "(No), we exchange two Sa's of bad dates for one Sa of this kind of dates (i.e. Janib), or exchange three Sa's for two." On that, the Prophet said, "Don't do so, as it is a kind of usury (Riba) but sell the dates of inferior quality for money, and then buy Janib with the money". The Prophet said the same thing about dates sold by weight. (See Hadith No. 506). Volume 3, Book 38, Number 499: GLOSSARY OF ISLAMIC BANKING TERMINOLOGY Hiwalah A remittance or bill of exchange, This is a contract which allows a debtor to transfer his debt obligation to a third party who owes the former a debt.  The mechanism of Hiwalah is used for settling international accounts by book transfers, thus obviating the need for a physical transfer of cash. 

7. NEWSLETTER 23rdDec 2012

8. NEWSLETTER 23rdDec 2012 Disclaimer This document has been prepared by JaZaa Financial Advisory Pvt. Ltd.(JaZaa) This Document is subject to changes without prior notice and is intended only for the person or entity to which it is addressed to and may contain confidential and/or privileged material and is not for any type of circulation. Any review, retransmission, or any other use is prohibited. Kindly note that this document does not constitute an offer or solicitation for the purchase or sale of any financial instrument or as an official confirmation of any transaction. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. JaZaa will not treat recipients as customers by virtue of their receiving this report. The information contained herein is from publicly available data or other sources believed to be reliable. While we would endeavor to update the information herein on reasonable basis, JaZaa, its subsidiaries and associated companies, their directors and employees (“JaZaa and affiliates”) are under no obligation to update or keep the information current. Also, there may be regulatory, compliance, or other reasons that may prevent JaZaa and affiliates from doing so. We do not represent that information contained herein is accurate or complete and it should not be relied upon as such. This document is prepared for assistance only and is not intended to be and must not alone betaken as the basis for an investment decision. The user assumes the entire risk of any use made of this information. Each recipient of this document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. We do not undertake to advise you as to any change of our views. Affiliates of JaZaa may have issued other reports that are inconsistent with and reach different conclusion from the information presented in this report. This report is not directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law, regulation or which would subject JaZaa and affiliates to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in all jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction. JaZaa & affiliates may have used the information set forth herein before publication and may have positions in, may from time to time purchase or sell or may be materially interested in any of the securities mentioned or related securities. JaZaa may from time to time solicit from, or perform investment banking, or other services for, any company mentioned herein. Without limiting any of the foregoing, in no event shall JaZaa, any of its affiliates or any third party involved in, or related to, computing or compiling the information have any liability for any damages of any kind. Any comments or statements made herein are those of the analyst and do not necessarily reflect those of JaZaa.

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