Ethical, unbiased, and research-backed advisers are like the financial doctors who counsel investors in making prudent investment decisions. They don many hats — as asset manager, financial planner, psychologist, and investment counsellors to service their client’s financial needs. Unfortunately, advisers encounter several hurdles and overcoming these challenges gets overwhelming to manage. Here are a couple…

Due to recent downgrading episodes of several corporates like IL&FS and DHFL, many liquid funds posted steep losses as they were having exposure to these companies. It made the investors aware that debt fund investment isn’t completely risk-free. While liquid funds were widely perceived to be a safe and better alternative to short-term deposits offered…

DSP Mutual Fund has launched an open-ended scheme, DSP Quant Fund (DSPQF), that will invest in equity, based on a quant model. What is a Quant fund? A quant fund is a thematic /sectoral type of an open-ended equity mutual fund, as it follows a specific approach of investing. Quant funds follow quantitative analysis to…

Last week, the Association of Mutual Funds of India (AMFI) released monthly figures to share insights on the development of the mutual fund industry. There has been a growth of 8.91% in AUM from Rs. 23.21 trillion in April 2018 to Rs. 25.28 trillion in April 2019. Graph 1: Average AUM of the Indian Mutual…

Responsible investment advisers always recommend mutual funds with a proven track record to investors/clients. And they hope that their suggested schemes will continue to outperform not only the benchmark indices but even the peers in the fund category. Investors too expect to maximise their returns in their journey of wealth creation when they invest in…

Franklin Templeton Mutual Fund investors have a reason to cheer. From May 09, 2019, Franklin Templeton Mutual Fund waived off the exit load charged in all open-ended schemes on switching from a Regular Plan to Direct Plan. The AMC has released an addendum in this regard. Is it bad news for Independent Financial Advisers /…

Kotak Mutual Fund launched an open-ended debt scheme, Kotak Floating Rate Fund (KFRF). The scheme will predominantly invest in floating rate instruments. As per reclassification, a floating rate fund is a category of debt scheme that invests a major portion of its corpus (about 60-100 per cent) in floating rate instruments and the rest in…

After the defaulting episodes of IL&FS and DHFL, many liquid funds posted steep losses as they were having exposure to these companies. It made the investors aware that debt fund investment isn’t completely risk-free. While liquid funds were widely perceived to be a safe and better alternative to short-term deposits offered by banks, their popularity…

What are the essentials of a winning portfolio? Does it pivot on scheme selection, star ratings of a fund, or accurate risk profiling? In fact the human bias influences all your financial decisions. And this is precisely what hinders your portfolio from trumping the markets. For e.g.: If you’re an investor who decides to invest…

The current mayhem in the debt market has affected almost all institutional investors. Post demonetisation, inflows in debt funds and liquid funds improved considerably. In October 2016, income funds and liquid funds collectively had an AUM of Rs 10.3 lakh crore which swelled to Rs 11.7 lakh crore within a year. Heavy inflows in debt…