I get this kind of question a lot: There is a 30-40% overlap in the portfolios of my mutual funds. Is this okay, or should I change my funds? How much of a portfolio overlap is OK, and how much is not? A discussion. The reasoning presented here is similar to the one discussed before: Can…
Continue reading →I am writing this after learning of two incidents where credit card payments for emergencies resulted in more expenses (interest payment). What is discussed is quite basic and should sound trivial for experienced money managers. You could then share the article with someone younger. Let start by appeasing children from the reward point gang that…
Continue reading →With the Sovereign Gold Bonds, 2021-22 (Series IV) open for purchase from July 12-16, 2021, a reader asks, “how much return can I get from these bonds”? The only honest answer one can offer is, we do not know. Gold is too risky an asset class to make a prediction. Here is why we have…
Continue reading →This is a passive fund screener based on tracking error and return difference wrt benchmarks. The screener will help a user evaluate how efficiently an index fund has tracked its underlying benchmark. It will also help a understand how tracking a midcap index or the Nifty 100, 500 is quite different from tracking the Sensex…
Continue reading →DSP Value Fund is an open-ended equity scheme following a value investment strategy. That is, it will try to buy “equity and equity-related or fixed income securities which are currently undervalued”. The fund was launched on Dec 10th 2020. So it only about seven months old and has an AUM of Rs. 476.23 crores as…
Continue reading →This is a list of free data sources that can be used for DIY investing and analysis. It is the culmination of years of searching – the fun and frustration of hunting for reliable information online far exceed that of using a readymade list, but it might hasten better analysis. So here we go. This…
Continue reading →Let us discuss a question from a reader who prefers anonymity: “Is it ok to invest in 50% index funds (passive funds) and 50% active funds for the equity portfolio in my retirement portfolio?” The answer depends on what the motives behind such an allocation are. This discussion applies to any mix of active funds…
Continue reading →Sunder asks, “We all know that equity returns in the last financial year or last annual year were excellent. Does this mean we should mentally prepare ourselves for poor or even negative returns this year?” The 97% returns mentioned in the title refer to the NIfty 50 TRI movement from 23rd March 2020 to 23rd…
Continue reading →This is my monthly retirement stock portfolio analysis compared with an equivalent investment in a Nifty index fund. Before we begin, investors need to appreciate the context of these investments. I started direct equity investing only after achieving a comfortable level of financial independence and ensuring my son’s future portfolio is in a good place….
Continue reading →The freefincal Equity Mutual Fund Performance Screener (July 2021) is now available. Use it to screen for consistently performing equity mutual funds. You can screen based on fund category & benchmark and spot mutual funds that have a higher return than a benchmark at a lower risk. Inside, you get ~ 40% discounted links to…
Continue reading →A reader asks, “Dear Pattu Sir, as pointed out by you several times, active large cap funds have struggled to beat the Nifty/Sensex over the last few years. Although things are a little better after the market recovery in the last few months, will this be the norm in the future too? Does this mean…
Continue reading →We all know the reason for investing in ample amounts of equity for long-term goals. It is to beat inflation. Or, in other words, to get a return higher than what typical fixed income products offer – a good measure of realistic inflation in India for day to day expenses (services tend to have higher…
Continue reading →This article reviews PGIM India Midcap Opportunities Fund, yet another fund to see an AUM boom over the last few months, along with Quant Active Fund and Quant Small Cap Fund. Readers may recall our recent report that PGIM India Midcap Opportunities Fund’s AUM grew by 1212% between March 31st 2020 and May 31st 2021,…
Continue reading →Navi Nifty 50 Index Fund is an open-ended fund tracking the Nifty 50. Its initial total expense ratio for the direct plan is expected to be 0.06%. This article discusses if it makes sense to invest in this new fund offer based on its low fees alone. The NFO period is between July 3rd 2021, to 12th July…
Continue reading →Here is a list of stocks with low volatility and momentum for July 2021 from the Nifty 100. You can also get the historical data from March 2019 to July 2021. We filter Nifty 100 for (1) positive 1-year return, (2) positive six-month return, (3) price > 200-day moving average, (4) 50% of daily positive…
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