MNC mutual funds invest a major portion of their portfolio in multinational corporations (MNCs). Since MNCs typically run efficient businesses, they are good picks in an individuals stock portfolio. However, does it make sense to invest in a mutual fund that predominantly in MNC stocks? Let us find out. There are three mutual funds with…
Continue reading →When people say, “over the long term equity will provide good returns”, they often forget or do not want to consider (if they are sales guy) how monthly or annual return sequences combine to result in the final annualized return (CAGR). Sometimes the sequence of returns can be good, sometimes bad. In this article, via…
Continue reading →In this guest post, SEBI registered investment advisor Avinash Luthria who is part of my list of advisors and fee-only India discusses six simple and elegant approaches to managing money. Avinash previously was a Private Equity & Venture Capital investor. His articles have appeared at Business Standard, Mint and The Ken. I respect Avinash’s realistic views on investment risk and reward. His…
Continue reading →This is a review of HDFC Small Cap Fund. Currently rated 5 stars by Value Research (hence the interest among readers to know more), the fund fell the least since Jan 2018 when the small cap index went south. However, there is more to the fund than that meets the eye. I write this article…
Continue reading →Many mutual fund SIP buyers and sellers incorrectly believe that SIP is a disciplined form of investing that reduces market risk because it averages the cost of purchase. In part 2 of “this is how a real market crash “feels” like“, let us travel with a SIP started ten years apart and see for ourselves…
Continue reading →Do Lok Sabha Elections Influence Stock Market Returns? Does the market revive when a strong government assumes office? In June 2016, I had written an article titled, What drives the stock market: GDP? Earnings? Politics? RBI? I reproduce an extract from this article below due to the obvious topical relevance. ————–Begin Extract————– Political Cycles as a market…
Continue reading →This a review and user guide of IPPB App or the India Post Payments Bank Mobile Banking App. How to set it up, features, benefits and limitations authored by Pratik Jain. India Post has long remained an offline bastion of the small saver. However, it has failed to keep up with internet penetration in the…
Continue reading →Don’t be fooled by those who stand to profit from your investments! SIP is NOT systematic investing! Starting a mutual fund SIP and continuing it through market ups and down has nothing to do with systematic investing. Buying mutual fund units on the same of day of each month is automation. It has nothing to…
Continue reading →This is a performance review of Canara Robeco Emerging Equities Fund. We compare fund returns and risk with benchmark and large and mid cap peers. Started in March 2005 as a mid cap fund, it changed to a large and mid cap fund in May 2018. Value Research continues to rate it as it probably…
Continue reading →A PMS or a portfolio management service is a personalised wealth management service where there is no pooling of assets like a mutual fund. A PMS has a minimum investment of Rs. 25 lakh and unlike mutual funds, each buy and sell transaction by the fund manager is taxable in the hands of the investor….
Continue reading →So many people make the mistake of assuming that just because an ETF has a lower expense ratio than an index fund, it will result in higher returns (excluding demat account fee and brokerage), There is no evidence to this. The return from an index fund or an ETF depends on several factors. In this…
Continue reading →Happy holi! In this guest post, Pratik Jain discusses the issues and problems a typical young investor fresh out of college faces. You may remember Pratik from his previous post on How to do Online KYC via ETMoney to start investing in Mutual Funds. I am so thrilled that young people less than 25 take an…
Continue reading →Here is a ready reckoner FAQ on the basics Real Estate Investment Trusts (REIT’s) and Infrastructure Investment Trusts (InvITs) in the form of an FAQ. This covers key information for the layman and is meant to serve as a basic introduction. With Embassy office Park REIT IPO, there is a renewed interest in these instruments. However,…
Continue reading →Here is why you should not invest Rs. 50,000 to get additional tax saving in NPS under section 80CCD(1B) in 2019. The following tax deductions are applicable to the National Pension Scheme. (1) An individual can invest a maximum of Rs. 1.5 Lakhs in Tier 1 for tax deduction under Section 80CCD(1) which is part of…
Continue reading →ETMoney is an app which lets you invest into Mutual Fund Direct Plans without any commission or fees (as on date). To start investing in Mutual Funds you need to complete one time central KYC process as per SEBI guidelines. This KYC is valid across all platforms so even if you don’t want to invest…
Continue reading →