ETHICAL COMPLIANCE REPORT

BAJAJ FINSERV.

Sector:

Financial Services

Industry:

Financial Conglomerates

Overall Compliance

non-compliant

PRIMARY BUSINESS FILTER
Financial Services
non-compliant
REVENUE RATIO FILTER
100%
View Calculations
DEBT RATIO FILTER
41.6%
View Calculations
LIQUIDITY RATIO FILTER
2.3%
View Calculations

Revenue Ratio

The sum of revenue from questionable and non-compliant sources should not exceed 3% of the total revenue. This ensures that the company has tolerable reliance on unethical sources of revenue.

100%

Non Compliant

Questionable

Compliant

CALCULATION

\textbf{Revenue Ratio:} \\[12pt] \dfrac{1103785699999.00}{1103829999999.00} \times 100 = 100.00\%

FORMULA

\textbf{Revenue Ratio:} \\[12pt] \dfrac{\text{Unethical Segments}}{\text{Total Revenue}} \times 100 \; \leq \; 3\%

Segment	Compliance	Value
Rental Income	compliant	₹4.43
Dividend Income	questionable	₹157.98
Interest Income	non-compliant	₹53,793.19
Fees and Commission Income	non-compliant	₹5,435.85
Sale of Services	non-compliant	₹50,990.46
other income	questionable	₹1.09

Debt Ratio

The interest bearing debt should not exceed 31% of the total assets. This is to ensure that the company is not paying a significant portion of its assets as interest.

41.6%

CALCULATION

\textbf{Debt Ratio:} \\[12pt] \dfrac{2238700100000.00}{5379296300000.00} \times 100 = 41.60\%

FORMULA

\textbf{Debt Ratio:} \\[12pt] \dfrac{\text{Interest Bearing Debt}}{\text{Total Assets}} \times 100 \; \leq \; 30\%

Liquidity Ratio

The total liquid assets should not exceed 90% of the total assets. This is to ensure that trading this stock does not become similar to trading a currency.

2.3%

CALCULATION

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{123866600000.00}{5379296300000.00} \times 100 = 2.30\%

FORMULA

\textbf{Liquidity Ratio:} \\[12pt] \dfrac{\text{Total Liquid Assets}}{\text{Total Assets}} \times 100 \; \leq \; 90\%