Here are 2 Back2Basics collections from today’s news items

B2B #1: From news- ‘Digital transformation to add $154 billion to India’s GDP’

Internet of Things (IoT)

1. IoT is the network of physical devices, vehicles, home appliances and other items embedded with electronics, software, sensors, actuators, and connectivity which enables these objects to connect and exchange data
2. Each thing is uniquely identifiable through its embedded computing system but is able to inter-operate within the existing Internet infrastructure
3. The IoT allows objects to be sensed or controlled remotely across existing network infrastructure
4. When IoT is augmented with sensors and actuators, the technology becomes an instance of the more general class of cyber-physical systems, which also encompasses technologies such as smart grids, virtual power plants, smart homes, intelligent transportation and smart cities

B2B #2: From News- Sebi amends norms for REITs, InvITs to make them more attractive

Real estate investment trusts (REITs)

1. Real Estate Investment Trusts or REITs are mutual funds like institutions that enable investments in the real estate sector
2. This is done by pooling small sums of money from a multitude of individual investors for directly investing in real estate properties so as to return a portion of the income (after deducting expenditures) to unitholders of REITs, who pooled in the money
3. A REIT in India is allowed to invest mainly in completed and revenue generating assets and other approved investments
4. REIT will have to distribute the majority of its income among the unit holders
5. REITs are set up as a trust under the provisions of the Indian Trusts Act, 1882
6. Like a mutual fund, it has three parties – Trustee, Sponsor(s) and Manager – to avoid any conflict of interest issues
7. REITs are regulated by the securities market regulator in India- Securities and Exchange Board of India (SEBI)