Mutual Fund Queries

Can I invest in mutual fund SIPs in lieu of recurring deposits

I want to invest for 15 to 18 months through SIP as a replacement to RD. What can be the best option and what can be the return. I'm expecting returns more than RD?

Oct 1, 2016 by Ishwar, Mumbai | Mutual Fund

If you want to invest through mutual fund SIPs in lieu of recurring deposits, then 15 to 18 months period is very less. Since 15-18 month period is a very short horizon, you can invest through SIPs in liquid funds... Read More

What is the meaning of large cap, mid cap and small cap companies

What is mean by large cap, mid cap & small cap company or mutual fund. What is mean by blue chip company or MF, please give your valuable thought?

Sep 29, 2016 by S R Jain, | Mutual Fund

Companies are categorized as large cap, mid cap and small cap, based on their relative market capitalizations. Market capitalization is simply the market value of the company, calculated by multiplying... Read More

Please let me know how to change the investment status of my son who is now an NRI

First of all thanks for the service you are providing for the public. My query is: My son is on PR at Canada from April, 2013. He was making SIP in equity MFs from 2010 to August 2015. He also has a saving bank a/c besides PPF a/c from 2008. He has a house of his own which is rented out for Rs. 13,000 PM. The rent is being deposited in his PPF a/c regularly. I had given money to him while going to Canada with the assurance that whenever his SIPs will mature after 5 years I will get the MF proceeds of approx 3L. He had given me the cheques. He had no other investment except above. Has he any tax liability? What is NRO/ NRE a/c. How it is converted from saving to NRO and what are its implications. If his saving a/c is converted to NRO can I get the amount through the cheque he had given to me or he has to close his a/c. Please enlightened so that tax, if any, be paid to Government. Further, I have a grandson who was born at Canada thus is a citizen of Canada, can I open a SIP in his name or deposit some lump sum amount against his name as a gift to him. Kindly guide on the issue?

Sep 28, 2016 by Vinay Vashisht, Chandigarh | Mutual Fund

Thanks for the kind words. Following is our answer to your queries... Read More

What should be the mix of funds for investment of 3 to 5 years

I am 59 and just retired. I wish to invest in MFs and can lock the money for 3-5 years. What is the mix of MF (large cap/mid cap/multi cap/hybrid/debt) and % in each category you would recommend? Can I invest directly W/O going through a distributor? How do I identify direct investment funds? The % return indicated are net of expenses?

Sep 28, 2016 by N V Ramani, Bangalore | Mutual Fund

Mutual fund investing should be done based on your risk taking appetite. Once you know your risk taking ability, you can select funds from appropriate categories. However, considering your age and that you are... Read More

Which ELSS Mutual Funds to invest

I am actively looking to invest in Mutual Fund in ELSS category. I already have some exposure to Reliance Tax Saver and Axis Long Term Equity Fund, can suggest me some mutual fund in ELSS category. Should I continue with these funds or should I go invest in some other fund to diversify my portfolio?

Sep 28, 2016 by Sachin Prakash, | Mutual Fund

You have invested in top performing ELSS Funds. Therefore, instead of investing in other ELSS funds, you should continue and add more in these funds only. We did a review of top performing ELSS Funds to... Read More

NFO Information

Are you planning to launch any new open ended equity funds please inform to us through my emails?

Sep 28, 2016 by Mahadevan Kartikeyan, | Mutual Fund

To get launch information about Mutual Fund NFOs in India, do watch this section in our website... Read More

Is my fund selection for long term investments fine

I am 32 years old and my current SIPs are Franklin India Prima Plus Fund - Growth, Mirae Asset Emerging BlueChip Fund - Regular Growth, PPFAS Long Term Value Fund - Growth, ICICI Prudential Dynamic Plan - Growth and IDFC Premier Equity Fund - Regular Plan - Growth. Total: Rs. 25,000 per month. All these are long term and I have been investing in them for quite some time. Can you please let me know if these are doing good or I need to make any changes?

Sep 27, 2016 by Neetu Panda, Bangalore, India | Mutual Fund

Glad to know that your mutual fund investments are for the long term. The only suggestion that we can give you is to review your mutual fund portfolio at least once every year. Please read this to know, why... Read More

Is my fund selection good for next 10 years

I would like to invest 25000 per month for next 10 years. Have short listed following funds. Kindly advise if any change required ICICI Prudential Focused Blue Chip Equity Fund(G) - 5,000 - 20%, Mirae Asset India Opportunities Fund - Reg(G) - 7,500 - 30%, HDFC Mid-Cap Opportunities Fund(G) - 5,000 - 20% and Birla Sun Life Dynamic Bond Fund - Retail(G) - 7,500 - 30%?

Sep 26, 2016 by Sandeep, Mumbai | Mutual Fund

You have selected good funds for your long term investment. You have chose, large cap, diversified and midcap funds from equity category. By investing 30% of the corpus in Birla Sun Life Dynamic Bond Fund... Read More

Is it advisable for a registered club to invest in liquid or balance funds instead of investing in FD

Is it advisable for a registered club to invest in liquid or balance funds instead of investing in FD. What will be the tax implications in both the cases?

Sep 26, 2016 by Chirag, Panaji | Mutual Fund

Please note that, mutual funds are subject to market risks and the risk varies by product categories. While liquid funds are very low risk investments, the same cannot be said about balanced funds (where more... Read More

Tax implications of Liquid Funds

I am a conservative investor and expectation from the Mutual Fund is just more than 10% CAGR. Keeping my Goal as 10% return with maximum security, I have invested an amount of Rs. 3 lacs in Liquid Fund and Rs. 2 lacs in Balanced fund. Every month an amount of Rs. 15,000 is getting transferred to my Savings account and the same amount is getting invested by SIP mode to two different funds ELSS and Balanced Fund (Different from the one where Rs. 2 lacs invested in lump sum). I would like to know the Income Tax or Capital Gains Tax implications for the amount kept and transferred from Liquid Fund. I will withdraw the entire amount of Lump sum Balanced fund at least after one year at an opportune moment,which will not have any tax burden I believe. The entire Balanced Fund will be transferred again to Liquid fund to continue the SIPs for 3 years. Please provide me the information I requested for?

Sep 26, 2016 by Partha Sarathi Bhattacharya, | Mutual Fund

I think the way you are investing in mutual funds is a bit complicated. You should have kept it simple. Currently, you have invested in liquid funds and then redeeming Rs. 15,000 to fund your two SIPs in balanced... Read More