If you invested three years ago, you should shift to short-term bond funds. Many investors focus on timing their investments. If the investment is not goal based, then the timing…
Browsing CategoryContributed Articles
Which Hybrid Mutual Funds Should You Choose?
To compare between balanced funds and equity savings funds, as long as you have an adequate investment horizon and risk appetite, balanced funds may be the better choice. The India…
Asset Allocation: Looking To Book Profits In Equity Now? Here’s Why You Should Shift To Short Term Bond Funds
It has been proven that portfolio allocation leads to long-term optimum results on investments. Awareness among investors is gradually increasing on the imperative of allocation. It has been proven that…
Rating Agency Default Study: What Is In It For Investors?
Till date, no long term instrument rated AAA by CRISIL has ever defaulted. For instruments rated AA, the average 3-year default rate is less than 1 percent, which means if…
Fixed Income: RBI Policy Review Coming, Invest In Liquid Funds Just Before April 6
Invest in liquid funds just before April 6 as these are least volatile. Shift to ultra short-term funds later as per your investment needs. For tracking your investments, you need…
RBI Monetary Policy Committee: Need For Better Communication
In India, the initiation of the committee process was expected to make policy rate decisions more scientific, more debated and bias-free. Before the formation of the Monetary Policy Committee (MPC),…
Why You Should Prefer Recommending Open End Debt Funds Over FMPs
Go for FMPs only if your client does not want volatility; else you should recommend open end debt funds. With the financial year nearing its end, many fund houses have…
Bond Investments Through Secondary Market Can Offer You A Better Deal
For retail investors intending to purchase bonds in lot size of say few lakh rupees, when there is no primary issue available or the primary issue is not matching up…
Go For Balanced Funds Or Risk-Adjusted Returns
Balanced Funds have equity allocation ranging 65% to 70% We tend to evaluate performance of funds by returns only, which is what is relevant for the investor. For analytical purposes,…
Should You Recommend Credit-Play Corporate Bond Funds To Clients?
IFAs can look at recommending a limited exposure, say 15% to 20% of the fixed income allocation of the portfolio to credit opportunity funds of well managed AMCs. The return…
Mutual Funds: How To Take Advantage Of ‘March Phenomenon’
In the money market, which is the market for very short maturity instruments, interest rates move up due to higher demand for money. The peaking of interest rates happen typically…
Credit Rating Agencies: Credibility And Accountability
There is a conflict of interest, globally, in the rating process as they are paid by the issuer and consumed by the investor. There are many headlines that pass by…