All mutual funds, touts, financial planners, advisors etc. advocate a veneer method of investing in equity through ‘Systematic Investment Plan’ (SIP), where investors are encouraged to invest a fixed sum at regular frequency, usually every month as the best way to create long-term wealth. The key purpose of SIP is to maintain the strategy of […]
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Category: Mutual Funds
How to deal in Debt Mutual Funds with the recent changes?
Over the years, mutual fund houses and financial advisors have been actively promoting and advising on debt mutual schemes, as a better alternative to bank fixed deposits because these were offering double indexation benefit as to be taxed at a lower rate. Apart from benefiting from indexation, debt schemes are, often invested for short-term purposes, say, 1-2 […]
Direct Plans to invest in mutual funds could prove costly!
Many investors are fascinating to invest in mutual funds schemes under the option of ‘Direct Plan. Direct Plan under mutual fund schemes can be identified as having the suffix of ‘Direct’ word in their scheme name. The word ‘direct’ implies, under this option, dealing with the AMC directly without any intervention of mutual fund distributors […]
Lower or Higher NAV may mislead you!
Many people tend to think that the fund with low NAV (Net Asset Value) is much cheaper than the NAV of fund with higher NAV. There are plenty of reasons to have misconception that a fund with higher value will give fewer units, it has already been appreciated as compared to a fund with lower […]
The Right approach to Ride the Bull Run
Over the last three months, the stock market has been touching new highs regularly. Such an astonishing bull run is now bringing cheers in those investors who had been stopped checking on their equity fund portfolio many years ago. While logging on now there would be waiting a big surprise for them that the recent […]
Want better post-tax yield? Go for Fixed Maturity Plans (FMPs)
While investing in bank fixed deposits, it is very much sure that you have fed up with your post-tax interest income as the income tax eats up such a large chunk of your interest income. Because, interest received from FDs is subject to tax at the investor’s marginal rate of tax, which can range from […]
Rebalancing – a passive way of Timing the Market!
Most investors take decisions based on market levels. If the markets are very high, they will wonder what to do and wait for some corrections. If markets are down, they still wonder what to do and still wait for another correction. They are so confused with the whole exercise of timing the market and it’s […]
MANAGING a Portfolio of Mutual Fund is the key
Assuming you had created a diversified slate of mutual fund holdings by putting the money in 5-star large-cap equity fund in the first place, with or without the assistance of a professional. You were not supposed to monitor your mutual fund investment regularly as you have been investing for long term, like a normal investor. […]