As a non-resident, you may want to take exposure to Indian equity markets. Picking up stocks on their own is not everybody’s cup of team. Such non-resident investors may take exposure to equity markets through equity mutual funds. In this post, I will discuss answer basic queries that an NRI investor may have about mutual fund investments in India. I will also discuss the … [Read more...] about How can NRIs invest in mutual funds in India?
Mutual Fund Direct plans have been around for over 5 years now. Under direct plans of mutual fund schemes, you invest directly with the mutual fund house. There is no intermediary or distributor involved. Hence, you save on intermediary costs. This reflects in better returns as compared to regular plans of MF schemes. Under regular (or distributor) plans, you invest through a … [Read more...] about Performance Comparison: Direct plans vs. Regular plans of Mutual Funds
The awareness about direct mutual funds (or direct plans of mutual fund schemes) is increasing. And why not? You stand to earn higher returns for no additional risk. It is foolish to invest in regular plans if you are a do-it-yourself investor. You are compromising on returns for no hint of advice. Even for those who need assistance, it may be a good choice to work with a … [Read more...] about Best Mutual Fund Direct Plan Platforms in India (How to invest in Direct Mutual Funds online?)
Every few months, we see Non-convertible debenture (NCD) issues from various companies. As on date (September 7, 2019), the NCD issues from Tata Housing, Aadhar Housing Finance and IndiaBulls Commercial Credit are live. Should you invest in such NCDs? Well, in this post, I will not review any particular issue of NCD. I will focus the benefits and risks involved in investing … [Read more...] about Should you invest in Non-Convertible Debentures (NCDs)?
Introduction on tax on the long-term capital gain (LTCG) on the sale of equity funds/shares is a clear pain point for the equity investors. If you rebalance your portfolio at regular intervals (which you should) or have been planning to switch your regular plan investments to direct plan, you will have to incur some cost now. Earlier (before the introduction of the tax on … [Read more...] about How Tax loss Harvesting can help you save Capital Gains Tax?
Whenever I deride an insurance and investment combo plan, I get many queries about how to invest for your kids’ education. When you are planning for kids’ education, your biggest concerns are: Where to invest i.e. choosing the right product to accumulate funds for their education If something happens to you, your planned savings for the kid’s education must not … [Read more...] about How (not) to invest for Children’s education?
Long Term Capital gains on sale on debt mutual fund units are taxed at 20% after indexation. That is primarily the reason why many investors choose to invest money in debt mutual funds if the investment horizon is more than 3 years. I am talking about money that you don’t want to invest in volatile assets such as equity. While this is mostly correct, this may not always hold … [Read more...] about How a low growth in CII can affect your post-tax returns and investment choices?
SEBI mandated rationalization and categorization of mutual fund schemes in October 2017. With this rule, all the existing mutual fund schemes had to fit in one of the categories specified by SEBI. There was an additional rule of only one fund per category per AMC. This resulted in many existing MF schemes getting merged in a new scheme. From an investor’s perspective, this is … [Read more...] about How to calculate capital gains and returns? (After MF scheme mergers due to SEBI Categorization)
SEBI had initiated categorization and rationalization of mutual fund schemes vide its circular dated October 6, 2017. SEBI specified a few fund categories and mandated each fund house could have just one fund in each category. The aim was to reduce the number of funds and make life easier for investors by reducing confusion around scheme names. For more on SEBI categorization … [Read more...] about Different Types of Debt Mutual Funds (SEBI Categorization Rules)
There is a BIG difference between financial planning for retirement (accumulation phase) and financial planning during retirement (decumulation phase). Let’s look at what I mean. In this post, I will limit the discussion to investments. Financial Planning for Retirement (Accumulation Phase) During this phase, you are trying to accumulating funds for retirement. Quite … [Read more...] about Financial Planning For Retirement vs. Financial Planning During Retirement