Investors often face the dilemma of which types of mutual funds to invest in for their long-term financial goals. Long-term goals can include financial objectives that need to be achieved over the next 5-10 years or beyond, such as retirement, children’s education/wedding, buying a house, etc. Since the tenure of investment is long, it is…

The Securities and Exchange Board of India (SEBI) is mulling the introduction of a performance-linked expense ratio for mutual funds. It has set up a working group to review the proposal. The expense ratio, or the total expense ratio (TER), is the fee mutual funds charge for managing various scheme-related expenses such as registrar and…

A large number of actively managed Large Cap Mutual Funds have underperformed their benchmark indices in the last few years. Meanwhile, Nifty Index Funds, i.e. the funds tracking the Nifty 50 index, have fared better. [Read: How Has the Year 2022 Been for Active Funds and Index Funds] In the last 5 years, Nifty Index Funds generated average returns of 11.7%…

​Welcome to PersonalFN’s weekly analysis on diversified equity mutual funds. In this issue, we have analysed HDFC Top 100 Fund, highlighting its performance, peer comparison, investment strategy, fundamentals, portfolio, and suitability. HDFC Top 100 Fund is a high conviction-driven Large Cap Mutual Fund that has emerged from a long bout of underperformance to gain back…

Medium and long-term debt mutual funds generated muted returns in FY 2022-23 as the RBI undertook multiple rate hike actions during this period to tame inflation and support economic growth. Meanwhile, short term debt mutual funds such as Liquid Funds and Ultra Short Duration Funds fared better. This is because when interest rates rise, the prices of bonds fall. The…

The Finance Bill 2023 amended the debt mutual fund taxation rule by removing the indexation benefit in case of long term capital gains on these funds. This rule applies to all mutual fund schemes, including Gold Funds and International Funds, that invest less than 35% of their assets in domestic equities. As a result, if…

If you are an investor with a high risk appetite and are looking to multiply wealth at a greater pace, then Small Cap Funds are a good fit for your portfolio. The trailing P/E of the Nifty Smallcap 250 index is currently at around 17x — down from the COVID-19 peak — while the MSCI…

The global economy has been facing a lot of uncertainty, with concerns about a potential recession looming large, the Russia-Ukraine war, geopolitical tensions, pandemic, climate events, and persistently troublesome inflation. Consequently, the Indian equity market and equity mutual fund returns have witnessed high volatility off late. While the Indian economy has shown resilience and remains a bright spot among…

Large Cap Mutual Funds invest in market leaders across diverse industries that have the ability to generate stable returns even during phases of weak economic growth. So, as a mutual fund investor, Large Cap Mutual Funds are a must in your portfolio. During uncertain and highly volatile market conditions, Large Cap Funds tend to offer stability and witness…

Equity Mutual Funds have witnessed exponential growth and popularity in the past decade due to the convenience of investment and the growth opportunities that they offer. For those of you who are new to the world of investment, there will be several questions that cross your mind – Questions ranging from something basic like what is…