Online
You are here : Moneycontrol  MMB Personal Finance |
| The latest messages in different topics under Personal Finance are displayed on this page |
|
Ads by Google
| |||||||||
Personal Finance
Tracked by: 0 Boarder
karshin-we will miss you a lot!!Enjoy holidays!!good night!!
...
In reply to:
Are successful people Lucky or always Right
Posted by :
karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night 
Tracked by: 0 Boarder
have a pleasant trip-keep in touch if possible
we await ur return to the board
enjoy in the meantime...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
Enjoy the holidays my friend.
Cheers!
Rudra...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
wish you good holidaying......
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
The March effect
This message is not to give any stock idea or make any good investment proposal. It is just to make us all aware of a phenomenon that exists in debt markets, that can be exploited to suit investor preferences. It is only a matter of convenience and, in any case, it does not make the investor significantly richer.
March is a peculiar month for debt investors for two major reasons.
First, March is a time when most companies are tight on cash mainly due to factors like the need to pay advance tax, etc. (much like most of us are short of funds by month-end). As a result, companies quite often borrow for short term from the money markets by issuing instruments like certificates of deposit (CDs) and commercial papers (CPs). The rates they are willing to pay on such instruments shoot up due to their urgency for money. For example, CP rates have moved up to 5.98% and CD rates have moved up to 5.35% from 4.83% and 3.45% respectively in January 1. This is a VERY REGULAR and PREDICTABLE phenomenon EVERY YEAR MARCH. Hence, starting March, Liquid Funds (that have very short lock-in period of JUST ONE DAY or more) can give good annualised returns of almost 5.5% maybe all the way from March to June.
Secondly, March offers the opportunity to invest for just over a year, say 13 months – from March 2010 till April 2011 and get Double Indexation benefit.
`Double indexation benefit` means getting cost indexation benefit on Long Term capital gains for two financial years, by holding an asset for just over one year. This benefit is not available in case of fixed deposits and bonds, but are available to Fixed Maturity Plans (FMPs) of Mutual Funds, making them a much better option over one year FDs.
Fixed Maturity Plans offered by mutual funds, is a type of debt mutual fund for a fixed duration, just like bank FDs. The units of this plan mature on a predefined date and are hence called Fixed Maturity Plans. They are close-ended schemes meaning that they are not bought and sold on a daily basis. Their maturities range from one month to three years.
The money collected from you is invested in fixed-income instruments like Commercial Paper (CP), Certificate of Deposit (CD), money market instruments, corporate bonds and even bank fixed deposits.
After the FMP matures, say in April 2011, if the option is Growth Option, the profit on redemption is a Long Term Capital gain as you have held the FMP for more than one year. The profit will be taxed at 10% flat or at 20% with indexation benefit. You SHOULD TAKE the indexation benefit as it helps you get `double indexation benefit`.
Say, an investor invested Rs.100 in March 2008 when cost inflation index was 551 for FY 2007-08. When he withdraws the money in the FMP after 13 months in April 2009, he would be able to use cost inflation index for FY 2009-10 which was 632 and not just 582, which is cost inflation index for FY 2008-09.
If he had invested Rs.100, his cost of investment can be considered as Rs.100 multiplied by 632(CI Index of FY2009-10) divided by 551(CI Index of FY 2007-08), which is Rs.114.7. Hence, he needs to pay tax only if he earned more than 14.7% in his debt MF. As a result, his entire 7% appreciation in the FMP is available to him TAX-FREE! In fact, he can show a LONG TERM CAPITAL LOSS of 7.7% and offset some long term capital gains against this.
The possible yield of 13 months FMPs is likely to be around 7%. Presently, the highest 1 year FD rates by banks is 7.25% being offered are by Federal Bank, Karur Vysya Bank and South Indian Bank. For a person in the highest tax bracket, 7.25% interest on FD is ONLY 5.07% interest after tax is cut.
Particularly if you belong to the highest tax bracket and you are looking at a one year FD, applying for FMPs (there are PLENTY of them open now) before 31st March 2010 is a good option from appreciation and taxation point of view....
Tracked by: 0 Boarder
Waiting for your return....
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
you can buy from nse/bse brokers it is regularly traded everyday but it will come in demat form only....
In reply to:
Gold ETF
Posted by : ashalanshu
Dear Yash, Plz. visit Rel. money website or any local Rel. money broker in ur area. In all probability u `ll be able to purchase the Gold ETF.
Plz. note u can purchase Gold ETFs thru ur Demat acct. only.
Thanks
Ashal
Tracked by: 0 Boarder
enjoy ur trip - hope it is a well deserved holiday...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
Is, the Lump sum amount received by wife at the time divorce by mutual consent, taxable? The husband is an NRI....
Tracked by: 0 Boarder
Dear Karshin
Enjoy your time - wherever you are...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
bON VOYAGE...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
Karshin,
Have a great time. We will miss you.. But that doesnt mean you should not have your holiday. ...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night
Tracked by: 0 Boarder
dear boarders,
I am going out for 5 nights and four days fro m tonight. I will be earnestly missing you all.
Good night...
In reply to:
Are successful people Lucky or always Right
Posted by : karshin
welcome. I will try my level best to give quality messages.
Tracked by: 0 Boarder
welcome. I will try my level best to give quality messages....
In reply to:
Are successful people Lucky or always Right
Posted by : tara23
thanks for the info...
Tracked by: 0 Boarder
Dear Yash, Plz. visit Rel. money website or any local Rel. money broker in ur area. In all probability u `ll be able to purchase the Gold ETF.
Plz. note u can purchase Gold ETFs thru ur Demat acct. only.
Thanks
Ashal...
In reply to:
Gold ETF
Posted by :
yash_03
dear sir,
i want to purchase gold etf.
But, i think these are not so popular
in the market as i asked customer care
of reliance money ( in which i`m having my demat a/c ) for purchase of gold etf (any ). But, They unable to provide the me neither the information nor the instruction to buy GOLD ETF.
Pls. tell me How can i purchase gold ETF. Also, tell me whether i can purchase it online or not ?
India over 10 years
See whats improved/ worsended
FDI »
Exports »
Imports »
GNP »
See all »
Poll
Udayan's Market Outlook
 |
United Bank of India looks expensive above Rs 80: Udayan | |
| ||
| Udayan Mukherjee, Stocks Editor, TV18 | ||
 |
Popular Boarders 7days| 188 | |
| 187 | |
| 182 | |
| 169 | |
| 168 | |
Top Tracked 7days| 1408 | |
| 1088 | |
| 1046 | |
| 885 | |
| 859 | |
Have you made your Dream Team?
Top selected cricketers today
Who will win the match?
Explore Moneycontrol
| NEWS |
| Business News |
| Management Interviews (transcripts) |
| Economic News |
| BSE&NSE Notices |
| CNBC-TV18 Transcripts |
| STOCKS & IPO |
| Stock Advice |
| Technical Calls |
| Brokerage Reports |
| IPO News |
| IPO Expert Advice |
| EARNINGS |
| Pre Result Estimates |
| Results |
| Boardroom (transcripts) |
| Result Analysis (transcripts) |
| Brokerage Reports |
| MF & PF |
| Wealth Tips |
| Expert Advice |
| MF News |
| MF Analysis |
| MF Interviews |
|
Connect.in.com | Budget: 2008, 2009, 2010