Parchayi.com - Personal Finance Simplified

The India Fund announced the commencement of it’s semi-annual repurchase offer on Friday. The dealine to respond to the offer is 5PM Eastern on September 14. The shares will be purchased at 2% less than NAV on September 21.

On Friday, The India Fund traded at a discount of 7.3% to NAV and this is significantly less than the discount of 13% in June. However, if this discount continues at the same level the offer is still valuable as you can make 5% profits for doing nothing.

Be warned that Scottrade will charge a 25$ fee for this and you should check with your broker what they will charge. Also check the premium/discount to the NAV on Sep. 7 (the last one available prior to the deadline) before making your decision. Click here for a chart of the premium/discount history for IFN.

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With the current situation, a lot of great stocks look like they are on a bargain basement sale. Even financials - most of whose stock prices are hurt more than justified by the current scenario. Wachovia, Bank of America etc. are amongst the bright spots today because they have become so cheap that is makes no sense not to buy them. The P/E of Morgan Stanley has fallen to 6.6!

It might even be time to get some techs with GOOG well below 500 and AAPL more than 20% off its 52 week high. In fact everything looks like a great buy. The stock market feels like a Big Lots store. Enjoy your shopping while it lasts.

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Last time I covered the battle, I was recommending Netflix acquire/partner with a DVD rental Kiosk to compete with BBI but blockbuster is hell bent on one-upping netflix in any way it can and it has acquired movie download service Movie Link to compete with Netflix’s movie download service.

As of now Blockbuster plans to continue running movielink as a separate entity but will integrate in the future. Unlike Netflix’s streaming, Movie link offers downloads and downloaded rentals but I still think this is all bad for Netflix. as of now BBI is flat to slightly higher and NFLX is down over 5%.

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