The returns you actually earn from the debt scheme may or may not be similar to the Portfolio YTM
For regular returns, investors opt for fixed deposit, company deposit or small saving schemes. These suffer from disadvantages when it comes to taxation, falling interest rates & liquidity in case of some emergency.
Your SIP investment must go up as your income rises.
With low foreign ownership of securities and strong fundamentals Indian debt is preferred in the region.
Some moderation in the GDP growth in Q1 FY18 was expected. But the growth rate of 5.7% was a bit of a surprise.
These funds invest in highly liquid government instruments. You can invest even for a day and get your funds back the next business day
Total return index captures dividends and show true picture of fund manager’s performance.
SIP work irrespective of market sentiment. Marry the SIP with your financial goal and you are home.
Only a fund with a relatively smaller corpus size can be quickly repositioned; a large fund will have the baggage of existing portfolio which should not be disturbed.
Unlike other instruments like PPF, NSC and Long term deposits, an ELSS is a long-term wealth creator due to its consistent equity exposure.
The average SIP size is Rs 3,250 and the month-wise collection through SIPs is just under Rs 5,000 crore per month now. It shows investors are walking in the right direction.
Balanced, MIPs, Equity Savings and Dynamic Allocation are categorized as Hybrid funds
In a passively managed fund, the investment strategy is to track the benchmark of the asset class and ensure that the returns of the fund are in line with the performance of the broader asset class. Therefore, investments in passive funds are rarely altered.
While debt funds, unlike fixed deposits and small saving schemes are also subject to market risk, though less than equity funds, the return expectation is commensurately higher than traditional products over the same tenure.
Patil expects liquidity to remain strong, especially domestic money that is not expected to be abating as retail flow is coming, pension fund money is also flowing, so Rs 10,000 crore looks like will be sustainable on monthly basis
Existing duration fund investors may continue with their current investments and not rush to exit at current juncture.
India today has one of the highest real interest rates in the world. With CPI inflation at around 1.54 percent, and with 10-year benchmark gilt at around 6.46%, the real interest rate is too attractive to be ignored.
If the investor takes position in equity through balanced funds, they get to realise equity growth potential and lower fund volatility.
We will explain not only how, but also why and when it is wise to switch your investments from regular plan to direct plan.
With valuation reaching such historical highs, a 10–20% correction triggered by domestic or global geopolitical events cannot be ruled out.
With valuation reaching such historical highs, a 10â€“20% correction triggered by domestic or global geopolitical events cannot be ruled out.
The trend of older or conservative investors moving their life savings into balanced funds essentially means that they are convinced these funds can give them regular dividends that can beat fixed deposits by a good margin over the medium to long term.
The most important principle in lump-sum investing, especially in equity funds, is to maintain your calm and equanimity.
Mutual fund is a professionally-managed investment scheme, run by an asset management company (AMC) that pools together a group of people and invests their money in instruments/assets for a common investment objective. As compared to PMS, MFs have a wider range of investment options, that an investor can invest in based on his risk profile.
Bank deposits and fixed income mutual funds differ with each other on a key parameter.