A reader wants to know, “Sir, I am about to retire (at age 55) and am looking for a pension. I essentially see two choices: Either buy an annuity plan from an insurer or buy a bond from the RBI portal (thanks to your article) – How I used RBI Retail Direct to buy govt….
Continue reading →In this article, we discuss the results of a tactical entry and exit strategy from gilt mutual funds and find out if it is more rewarding. Readers unfamiliar with gilt funds may consult our previous work: (1) FAQ on gilt mutual funds: essentials investors should know. (2) Gilt mutual funds will not protect your money! Recognize…
Continue reading →A reader writes, “I work only for money and have not identified my passion yet. I am not sure if I can identify it. I would also blame my character as I seek change quite too often. If I plan to achieve FIRE (financial independence and early retirement) by the age of 45, I don’t…
Continue reading →The freefincal Equity Mutual Fund Performance Screener (May 2022) 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 with a higher return than a benchmark at a lower risk. Inside, you get discounted links to our two courses:…
Continue reading →In this article, we explain how you can quickly and easily benchmark your equity mutual fund portfolio consisting of several mutual funds against an index fund (or ETF). Once you follow the steps below, you can check the performance of your portfolio against the index at any time. We shall be using the Freefincal MF…
Continue reading →At this point in time, what we know for sure in the Axis mutual front running case is minuscule compared to what we do not know. Social media is abuzz with all kinds of speculations/allegations about the suspended fund managers – what they did and how much wealth they amassed. Let us try to gather…
Continue reading →Several readers have asked us what their debt fund strategy should be in the wake of the interest rate hike by RBI. In this edition of FAQ, we discuss what debt mutual fund investors should do. Our coverage of the rate hike also includes: Explained: Why did RBI increase the REPO rate? How will it…
Continue reading →In a move that surprised everyone, the RBI hiked the repo rate from 4% to 4.4%. This means newer short-term bonds will have a higher interest rate. The market will expect longer-term bonds also to be more rewarding. The demand for all existing bonds will fall and so will the price. Since an investor would…
Continue reading →With consumer inflation close to 7 %, the reserve bank increased the rate at which it lends to banks from 4% to 4.4%. Why was this done and what are the implications for us? A simple explanation. When inflation increases it typically means, the demand for goods is higher than the supply. For absolute newbies,…
Continue reading →In this article, we look at how LIC’s immediate annuity plan Jeevan Akshay’s annuity rates have over the last 20 years. This study was triggered while preparing a retirement planning illustration based on laddered annuities. Annuity rates tend to follow interest rates and inflation movements over the long term*. The first version of Jeevan Akshay…
Continue reading →Each month, we publish a list of stocks with low volatility and momentum. 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 →In this article, we list the annuity rates of LIC’s Jeevan Akshay VII (Plan No. 857, UIN : 512N337V02) launched in Feb 2022. While preparing a retirement planning illustration based on laddered annuities we wanted to find the latest Jeevan Akshay VII annuity rates. Unfortunately, neither the sales brochure nor the policy document mentions this!…
Continue reading →In this edition of “FAQ”, we shall discuss some common questions about Super Top-up Health Insurance policies. Previous editions in this series include: FAQ on index investing FAQ on Mutual Fund Systematic Withdrawal Plans (SWPs) FAQ: Target Maturity Debt Mutual Funds FAQ: How inflation affects our ability to manage money FAQ on gilt mutual funds:…
Continue reading →From this month onwards, I have started to invest in Parag Parikh Conservative Hybrid Fund. A look at some of the fund’s profile and the reasoning behind my decision. The fund is on the verge of completing one year (launched May 26th 2021) and after observing its portfolio for some months we included it in…
Continue reading →This is a list of the worst-performing equity mutual funds over every possible five, four, and three periods between 1st Jan 2013 (introduction date of direct plans) to April 8th 2022. Some caveats before we begin: (1) The definition of a “worst mutual fund” is as arbitrary as the definition of a “best mutual fund”….
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