Liquid funds are perceived to be the safest in the debt mutual funds category. These funds invest in debt and money market instruments with a maturity of up to 91 days. The primary objective of a Liquid Fund is to provide optimal returns with a low level of risk and high liquidity through judicious investments…
Mid-cap Funds outperformed Large-cap Funds in 2021. However, as you may know, past performance is not an indicator of future returns. Given that there are several headwinds in play, equity market volatility is expected to intensify in 2022. Mid-cap Funds will be more vulnerable compared to Large-cap Funds if the market corrects from the current…
The New Year 2022 has begun on a strong note for the equity market; the S&P BSE Sensex has risen over 1,500 points and currently trading near the 60,000 level. But as we head further into 2022, we are likely to see several economic and financial transitions that could impact the growth of equity market…
Value funds have staged a comeback after a deep lull between 2018 and early 2020. The category has clocked superior performance in the last one and a half years and has outpaced the Large-cap Funds, Large & Midcap Funds, and Flexi-cap Funds category. In 2021, the top performing Value Fund generated absolute returns of 66.2%…
The year 2021 was full of milestones for the Indian equity market and equity mutual funds. Domestic equity indices across market cap range such as the S&P BSE Sensex, Nifty 50, Nifty Midcap 150, Nifty Smallcap 250, and Nifty 500 scaled record highs during the year and turned out to be the top performers among global peers. The…
Large-cap Funds underperformed Mid-cap Funds and Small-cap Funds in 2020 and 2021. However, the attractiveness of mid-caps and small-cap stocks compared to large-cap stocks may decline in 2022. Owing to the uncertainty arising from the future course of the pandemic and expectations of a hike in interest rates, the equity market could witness higher volatility in the coming…
Debt mutual fund returns turned unattractive in 2021 as RBI held interest rates at a multi-year low to support economic growth amid the pandemic. Barring a few exceptions, a majority of debt mutual fund schemes clocked returns comparable to the repo rate. Since 2019, RBI has cut interest rates by 250 basis points as the economy was gripped by a…
In a regulatory filing, RBL Bank has announced that its Board has accepted the request of MD and CEO Mr Vishwavir Ahuja to proceed on medical leave with immediate effect. Mr Rajeev Ahuja (existing Executive Director of the bank) has been appointed as the interim MD and CEO of the bank. Meanwhile, the RBI has…
In June 2020, I had mentioned in my article that L&T is looking to sell its mutual fund business. Earlier reports suggested that Private Equity firm Blackstone was a top contender to buy L&T mutual fund. It is now clear that HSBC Asset Management (India) Pvt. Ltd will acquire L&T Investment Management Ltd. , which is the investment manager of L&T…
The deadline to invest in tax-saving instruments for financial year 2021-22 is just three months away. You can explore and choose from various tax-saving investment options such as Equity Linked Saving Scheme (ELSS), Public Provident Fund (PPF), National Pension Scheme (NPS), etc. If you are looking to invest in a pure equity avenue for tax…
