If one is investing Rs 1,000 through monthly SIP in a fund that charges an exit load of 1% for holding period less than one year and now wants to withdraw towards end of two years, then investments made in the first 12 months
Is there any way where I can invest in mutual funds now for 30 years and get pension later? – Shekhar Kumar No, for a regular pension, you would have to purchase an annuity from any of the insurance companies. Do I have to
SIPs are best for investments in volatile markets. Hold your investments for at least seven years to eliminate risk of capital erosion. Longer the investment horizon, higher the probability of making money.
Funds within each category have a similar investment mandate which determine their risk and return characteristics. Small/ mid cap funds are suited for a horizon of at least 7-10 years, whereas large cap funds are suited for
The main benefit of SIP is rupee cost averaging, an investment technique applied to regular fixed instalments. As the amount is fixed and regular, more units are bought when the market price of shares is low and lesser units
Equity index funds invest in stocks by typically replicating a benchmark equity index such as the S&P BSE Sensex, Nifty, etc. They buy all the stocks which are in the benchmark index in the same proportion or weight.
Under Systematic Transfer Plan (STP), an investor gives consent to the mutual fund house to transfer certain amount/ units from one scheme to another, of the same mutual fund house at regular time intervals.
The Union Budget 2018 introduced a tax of 10% on both long term capital gains (LTCG) and dividend distributed by equity-oriented mutual funds. Debt funds already attracted dividend distribution tax of 28.84%, while LTCG attra
Equity mutual funds are suitable for long-term capital growth (6-7 years or more). Over longer time periods, equity funds have historically delivered higher returns as compared to other assets like fixed deposits, public prov
FMPs are suitable for investors who want to invest in low risk debt instruments and require liquidity after a pre-determined period of time. On maturity of the fund, AMCs typically offer an option to either exit the investmen
The asset allocation or the mix of various assets including equity, debt, gold, etc., held in a portfolio is considered one of the key determinants of its performance. A suitable asset allocation is based on one’s investmen
Given the strong performance of the equity markets over the last couple of years and the resulting rise in valuations, prospective returns seem to be slighter lower than previous years. In such a scenario, it might be advisab