Despite the strong second wave of COVID-19 over the past 2-3 months, Indian markets have not only been resilient, but have also been scaling new highs. The Year-to-Date (YTD) returns of the leading indices have been attractive in the calendar year 2021 so far. Compared to a 13% YTD absolute returns clocked by the Nifty-50…
Innovation is not just about the technological advancements and improved healthcare, it can be seen across various sectors globally that create opportunities for investors to enhance their capital growth. The global economies are performing well amidst the COVID-19 pandemic as compared to the Indian economy, which is impacted due to the second wave of the…
Contra Funds are a subset of value style funds. These funds take a contrarian view on stocks and sectors going through a temporary tough phase. The performance of stocks/sectors during this phase leads to distortions in their valuations. Contra Funds aim to capitalise on these distortions by investing in such sectors and stocks that are…
Debt schemes can be categorised as low duration funds, short duration funds, medium duration funds, long duration funds, etc. based on their maturities. The medium duration funds, as the name suggests, hold a maturity lower than short duration funds and higher than long duration funds. According to the SEBI mandate, medium duration funds will invest…
In April this year, SEBI introduced a new ‘skin in the game’ rule to align the interest of the ‘Key employees’ of Asset Management Companies (AMCs) with the unitholders of the mutual fund schemes. As per the circular, a part of the compensation, i.e. a minimum 20% of the salary/ perks/ bonus/ non-cash compensation of…
In November 2020, the Securities Exchange Board Of India (SEBI) introduced a new mutual fund category called “Flexicap Funds”. These funds are actively managed by fund manager who dynamically allocate assets across market capitalization. To maintain stability and liquidity in the portfolio the fund invests in large cap stocks along with meaningful exposure to mid-cap…
The capital market regulator, in its board meeting held in Mumbai recently, by amending the “SEBI (Infrastructure Investment Trusts) Regulations, 2014” and “SEBI (Real Estate Investment Trusts) Regulations, 2014” opened up REITs and InvITs investing to a large section of investors. This comes at a time when retail inflation (measured by the Consumer Price Index)…
Aggressive Hybrid Funds invest predominantly in equities and equity-related instruments along with meaningful exposure in debt securities (to reduce volatility). This approach provides you with the benefit of the upside potential of equity investment at a lower risk as compared to pure equity funds. Aggressive hybrid funds could prove to be a worthy long term…
The interest rate fluctuations are linked to bond prices and it affects the performance of the debt schemes. The debt mutual fund category past few years was going through challenging times, due to downgrades, defaults, Franklin Templeton fiasco and uncertainties of the money market. However, the debt segment has stabilized now,and is drawing investors’ attention. If you…
Recently, market regulator SEBI barred Franklin Templeton Mutual Fund (FTMF) from launching any new debt mutual fund schemes for a period of two years. It had also imposed a penalty of Rs 5 crore on the fund house and directed it to refund the unitholders an amount of Rs 512 crore collected as investment management and advisory…
