A 21-year-old M.Sc physics student recently told me his ambition is to gradually lift his family from a middle-class existence and build wealth over generations. We were discussing a career in physics, not money management or investing! When I shared this on social media, a few voices (as always) felt that building wealth across generations…
Continue reading →Many investors are worried about the “over-heated” small cap segment and wonder if they should exit — a discussion. At the time of writing, the last 1Y trailing return of small cap segments has ranged from 33% to 75%. Regular readers may know that freefincal has always opposed investing in small cap mutual funds. Due…
Continue reading →We publish a list of stocks with low volatility and momentum each month. We provide data for BSE 500 and BSE 100 stocks. There are now three different screener files available. (1) Stocks with low volatility and momentum from the BSE 100 large cap universe are available as a separate file (2) Stocks with low…
Continue reading →LIC’s Jeevan Akshay – VII (UIN – 512N337V05) is an Immediate Annuity plan. You can purchase a pension (annuity) by paying a lump sum. The annuity rates applicable from Feb 2024 are listed in this article. According to LIC’s online purchase portal, the rates are the same as last year. Additional resources Use this annuity…
Continue reading →SEBI-registered flat fee-only advisor Swapnil Kendhe discusses a way to manage your corpus after financial independence and early retirement. This is a sequel to his recently published article, The pitfalls of conventional retirement planning calculations. About the author: Swapnil is a SEBI Registered Investment Advisor and is one of the sought-after advisors on the freefincal fee-only financial planners’…
Continue reading →You might have often seen statements like, “Our analysis shows that, over the long term, the stock market shows poor returns for only two out of every ten periods tests. This means that the probability of losing money is quite small”. Such statements are wrong. You cannot, well, must not associate probabilities with stock market…
Continue reading →A reader says, ” I have a question on my portfolio, which I constructed based on various social media’s “finance DIY” content. Recently, I learned that (from various YouTube channel interviews) in India, multiple famous people are investing less than 60% of their money into equity and the rest in Debt, real estate, Gold, etc. After…
Continue reading →Including one or more passive income sources in our retirement plan is crucial. It not only enhances our income and minimizes the risk of investments in the capital market but also helps us stay active and nimble—a strategy for achieving it. Passive income refers to any income source that requires minimal maintenance of the actual…
Continue reading →This article compares my stock portfolio with an equivalent investment in a Nifty index fund and the Nifty 100 Low Volatility 30 TR index. We post this comparison each month. Before we begin, new readers need to appreciate the context of these investments. I started direct equity investing only after achieving a comfortable level of…
Continue reading →If you are wondering whether you should choose the new or old tax regime for FY 2023-2024 (AY 2024-2025), this free calculator will help you decide. The tax slabs were unchanged in the interim budget presented on 1st Feb 2024. Announcement: Let’s Get Rich With Pattu! has been selected as one of the Top 15…
Continue reading →Many investors believe their risk appetite falls under three categories: low, medium and risk. They also assume risk appetite refers to “how much risk we can handle”. Both these notions are incorrect. Unfortunately, risk appetites cannot be quantified. Although expensive questionnaires with objective questions like “What will you do if the stock market crashes by…
Continue reading →A reader asks, “Thanks to the invaluable learnings in Freefincal articles/talks, after the last 3-4 years of sustained effort (nearly all of it after missing the Covid times in the market), I am close to bringing my target distribution from a ~0%: ~100% to 60%: 40% (Equity: Debt). I have tried to do it as…
Continue reading →In response to our article – Parag Parikh Dynamic Asset Allocation Fund: Who should invest? – many readers are not clear about the taxation status of the fund. Some even claim that it will be taxed as per slab. In this article, we explain the fund’s taxation status. Note: Tax rules change often. The rules mentioned…
Continue reading →This is a debt mutual fund screener for portfolio selection, tracking, and learning. It also includes hybrid funds that invest in bonds. It will satisfy investors who wish to invest in money market funds, banking PSU funds, etc. The credit quality of the bonds in the portfolio and the bond maturity profile can be tracked….
Continue reading →Parag Parikh, Dynamic Asset Allocation Fund, is an open-ended dynamic asset allocation fund launching on Feb 20th. We discuss who can consider investing in the fund. According to the scheme flyer, “The fund will predominantly invest in debt instruments and endeavour to maintain equity allocation between 35% and 65%* (some of it will be hedged…
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