Recently, factor-based investing has gained popularity among retail investors, commonly known factors are Enhanced Value, Momentum, Quality, Low Volatility etc., adding these factors to your portfolio can help improve risk-adjusted returns. Value Investing is a factor-based strategy that was developed in the 1920s by Benjamin Graham, and over the years, some of the most successful investors, like Warren Buffet, have…

Large Cap Funds are those that invest a minimum of 80% of their assets in equity and equity-related instruments of large-sized companies. Large-sized companies enjoy stable growth, competitive advantage, brand equity, and are backed by quality management team. Since Large Cap Funds invest in companies that have a strong balance sheet and enjoy customer loyalty,…

Long duration funds are a type of debt mutual funds that invest in corporate bonds and government securities (G-secs) that have a long-term maturity period. A fixed-income investment avenue with a potential to generate Income over long term for debt investors. According to SEBI norms, medium to long term funds have a mandate to invest…

Mutual Funds are a popular investment vehicle. But with a plethora of mutual fund schemes to choose from, it becomes a daunting task for investors to select the best schemes and create a winning portfolio. Very often investors look at the NAV of mutual funds to choose the best equity schemes. However, in my view, it is…

Investors, usually, look at mutual fund investments for a balanced allocation between two major asset classes, equity and debt, to generate risk-adjusted returns, mitigate the effects of volatility and limit credit risk. An adequate mix of assets such as equity and debt can assist your portfolio to survive across various market cycles. It becomes a…

There are a variety of factors that affect the returns on equity investments. This includes both macro and micro factors. In order to assess the impact of macroeconomic factors on the economy and, subsequently, the market, market participants would consider information such as current and future economic growth, inflation, interest rates, etc. The rate of…

Due to the volatile nature of the equity market, it is advisable to have exposure across market caps so you can benefit from the diversification. Large and Mid-Cap Funds are a separate set of multi-cap strategy that offers investors an opportunity to diversify their investment across stocks of large and mid-sized companies. Large-cap stocks are known to…

The Indian equity market has become highly volatile since the Russian invasion of Ukraine drove up the price of crude oil internationally. The RBI raised interest rates to combat the rising rate of retail inflation. Under such extreme market conditions, should you invest in mid-cap and small-cap funds? Due to the current market conditions, mid-cap…

A few days after Mr Prashant Jain quit HDFC Mutual Fund following a 19-year stint, the fund house has announced the names of new fund managers who will be handling the schemes previously managed by the veteran. Mr Prashant Jain managed three schemes at HDFC Mutual Fund, namely – HDFC Balanced Advantage Fund, HDFC Flexi…

The Securities and Exchange Board of India (SEBI) recently released a consultation paper in which it has proposed covering dealings in mutual fund units under the SEBI (Prohibition of Insider Trading) Regulations, 2015 (PIT Regulations). Currently, the PIT norms govern dealings in securities (stocks and bonds) of a listed or proposed to be listed company by any person…