The Union Budget 2021-22 has made it easier for sovereign wealth funds and pension funds to invest in Indian infrastructure projects, but some of the new rules may need more clarity, experts said. The proposed regime requiring investments through holding companies may have adverse tax implications for such funds and may create an arbitrage between the new and old projects, they said. Besides, the ownership structure of holding companies through which investments are to be made requires further clarification, they added.
While the proposed new tax regime is optional for taxpayers, the finance minister has said the government eventually wants to do away with all exemptions with a lower tax-rate simplified structure.
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Several exchanges are facing a cash crunch with committed investment not coming from venture capital funds and trading activity seeing a sharp decline, reports Rajesh Bhayani.
With real estate -- NRIs's favourite investment vehicle in the past -- unlikely to do well in the near future, there is a strong case for NRIs to shift to equity and debt mutual funds, says Prateek Mehta.
The spike in volatility may not have impacted equity inflows, but it has weighed on new investors coming via the systematic investment plan (SIP) route. In May, 1.97 million new SIPs got registered - nearly 15 per cent lower than the previous five-month average of 2.3 million - reveals the data provided by the Association of Mutual Funds in India. Since June 2021, new SIP registrations have been upwards of 2 million each calendar month. The new SIP tally in May was the lowest in 12 months.
In the last few months, the 10-year G-Sec has been gyrating sharply and has crossed the 9-per cent-yield mark four times.
Some of the money pulled out of mutual funds and the secondary market is coming back via public issues.
The main purpose of the meeting is to assess their views on reforms that are required to attract long-term capital into the country.
With this, total inflows have reached Rs 3.98 lakh crore in the first 11 months of the current fiscal (2016-17). In comparison, Rs 2.07 lakh crore was invested in various mutual fund products during April-February period of 2015-16.
The new rule follows the recommendations of the Association of Mutual Funds in India's Working Group on Standardisation of Key Operational Areas, a circular by Sebi said in Mumbai on Tuesday evening.
India's mutual fund industry, led by market leaders Reliance Mutual Fund, ICICI Prudential and UTI MF, has witnessed a fall of over Rs 58,000 crore (Rs 580 billion) in its assets during March.Despite the fall, Reliance MF continued to be the most valued fund house in the country with Assets Under Management (AUM) of Rs 90,937.94 crore (Rs 909.37 billion) at the end of March.
Investors have pumped in nearly Rs 54,000 crore into various mutual fund schemes in January, with liquid, income and equity funds attracting the most of the inflows.
Treat silver as part of the procyclical or growth assets in your portfolio, advises Sanjay Kumar Singh.
Gold is an excellent asset class for diversification and should be included in all long-term portfolios.
This will allow investors the freedom of choice based on the services they get from a distributor.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
In 2013-14, as many as 45 people each earned more than Rs 1 crore (Rs 10 million) commission as a mutual fund (MF) distributor. This is up from 33 in 2012-13 and 22 in 2011-12.
Due to tax associations with the fiscal-ending, April is a month of SIP renewal. So, the April numbers will be important and may perhaps, mark a change in retail attitude.
Equity fund managers' other favourites are software stocks followed by pharma, finance and consumer non-durables
The Mutual Fund Identification Number (MIN), mandatory for investments above Rs 50,000 in mutual funds, is likely to stay, even though the month-old confusion over it continues.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
An additional factor spurring the FMP launches is MFs' desire to retain investors as many such offerings are set to mature over the next two months.
'The idea is to invest where there is opportunity.'
Instead of only focusing on the tenure for which the best interest rate is available, investors should also focus on their own investment horizon.
T'I am not going to buy small- or mid-cap stocks at very high valuations if it doesn't make sense for the investors.'
Taxpayers are filing their income tax returns (ITRs) early for the Assessment Year 2024-25 (FY25). By April 29, over 592,000 returns were filed, with over 538,000 verified and 367,000 processed. Early filing allows revisions without penalties.
With India's market capitalisation surpassing the $3-trillion mark, stocks across the board are adding heft. The upper limit for qualifying as a mid-cap stock -under the Securities and Exchange Board of India's (Sebi's) definition for mutual fund reclassification - has hit an all-time high of $5.4 billion. In 2013, amid the taper tantrum sell-off, it had dropped to just $1 billion, shows an analysis done by ICICI Securities.
The bulk of an investor's portfolio should be in shorter-duration funds of up to one year portfolio duration.
In 2022, gold emerged as the top performer among all conventional asset classes with over 14 per cent returns mainly owing to the depreciation of the rupee.
While stocks are at cheap valuations, the volatility can be unnerving.
'Strong regulations are crucial for the orderly development of the market.'
Retail participation in mutual funds from beyond the top 15 cities in the country has increased remarkably in the past 18 months.
Understanding tax residency rules and maintaining proper documentation is imperative to ensure smooth tax compliance.
Jimmy Patel, MD & CEO, Quantum Mutual Fund, suggests some valuable financial gifts for your children.
Nasreen, who served as the director of the Indian Cultural Centre at the high commission of India in Male, Republic of Maldives, from 2019 to 2023, shared insights into the growing influence of China and Pakistan in countering India's soft power.