Volatility in April continued from where it signed off in March. The specter of rising interest rates and climbing oil prices dealt a double whammy to the stock markets.
'We may see this momentum going into 2025 and may keep up with the demand, given the strong pipeline.'
It was another good month for investors as equity markets surged northwards and touched record highs. The BSE Sensex posted a gain of 14.73% during the month to close at 19,838 points; the S&P CNX Nifty appreciated by 17.53% to settle at 5,901 points. The CNX Midcap rose by 8.49%, before settling at 7,450 points. However, these numbers conceal the intense volatility that was experienced during the month.
The month of September proved to be the most lucrative one in the calendar year so far, as equity markets set and breached record highs at alarming regularity. The BSE Sensex posted a gain of 12.87 per cent during the month and closed at 17,291 points; the S&P CNX Nifty appreciated by 12.48 per cent and ended at 5,021 points. The CNX Midcap rose by 13.62 per cent, before settling at 6,867 points.
With so many equity funds available, how does one go about selecting the right one? Here are some simple tips...
'...a mix of asset classes.' 'Include equities for growth (across market caps), debt for stability and liquidity, gold as a hedge against macro and currency risk, and global assets for geographical and economic diversification.'
Investors should view the increase in the LTCG tax rate in conjunction with the increase in capital gains exemption from Rs 1 lakh to Rs 1.25 lakh, which will provide some relief.
Investors keen on mid and smallcap stocks but wary of volatility should consider multicap equity schemes over standalone midcap or smallcap schemes.
Which fund companies' equity funds clocked the best median performance over a five-year period? Here's the answer!
Largecap companies are generally less vulnerable to economic slowdowns than their mid- and smallcap counterparts.
The ratio of MF assets under management to total bank deposits has more than doubled in 10 years.
HSBC Tax Saver Equity Fund too offers deduction under Sec. 80C
The rising market poses a dilemma for investors on whether to continue buying, reduce equity holding, or exit equities altogether.
Bihar is now among the top 10 states in terms of investor base, surging past better-off states like Delhi, Haryana, and Punjab.
New investors or those with lower-than-planned exposure should add US-oriented funds through SIPs.
There is little time left for investors to finalise their tax-saving investments. As far as the risk-taking investor is concerned, its about time he tied up his investments in tax-saving funds.
This exercise allows investors to realign their portfolios with changing market conditions and evolving personal objectives.
'Except for extremely conservative investors, others can consider allocating 10 to 20 per cent of their portfolio to small caps.'
rediffGURU Ulhas Joshi answers readers' mutual fund queries
'Success isn't about a single brilliant idea; it's about the relentless execution, the ability to withstand the storms, and the unwavering belief in your mission, even when no one else sees it,' Madhu Lunawat, founder, The Wealth Company.
The equity market's recent downturn appears unlikely to slow the brisk pace of mutual fund (MF) scheme launches, at least in the coming weeks. Last month, fund houses introduced 21 new equity schemes, with another five launches already lined up for November. The number of filing with markets regulator, Securities and Exchange Board of India (Sebi), suggests this momentum will continue with asset management companies (AMCs) seeking approval for 21 more equity schemes in October.
'The day that the market realises that they've overspent (on AI) and there's a sudden collapse in the capex, then India can start outperforming again.'
A key trigger for the increased retail participation in equities has been the lockdown triggered by Covid-19 that saw investors channelising their savings to capital markets in search of better return on their investments and the need to increase their disposable income.
Inflows into sector and thematic (S&T) funds fell sharply from around 5,711.6 crore in February 2025 to about 170.1 crore in March 2025 - a decline of 97 per cent. With many such funds underperforming, investors need to assess whether to remain invested or exit.
'Those trying to use these funds for quick gains should avoid them due to risk of being late to the party.'
From Rs 73k to over Rs 1.2L between January-December 2025 -- is buying gold in 2026 still sensible?
ELSS investments require a long-term commitment of at least seven years.
Returns of liquid funds are meant only for the short term and don't help investors create wealth over the long term, as equity funds do.
While most investors brush off NFOs like spam, some of them offer solid opportunities, especially when you know what to look for. So let's clear the confusion around NFOs and figure out when they're worth your money, and when they're not.
'Stopping now would defeat the core purpose of an SIP, which is to average out the purchase cost over market cycles.'
'Such stocks may be useful for aggressive portfolios, but should not be part of the core holdings.'
Ask rediffGURU and PF expert Nitin Narkhede your mutual fund and personal finance-related questions.
After reaping rich returns with their stock investments in 2012, mutual funds have begun the new year on a high note with plans to pay dividends to their investors in equity funds.
Foreign portfolio investors' (FPI) ownership in NSE-listed companies has declined to 16.9 per cent at the end of September, lowest in 15 years, the largest stock bourse said on Thursday. The domestic mutual funds' ownership climbed to 10.9 per cent in the ninth straight quarter of increase, data shared by NSE said, adding that this is on the back of strong flows into systematic investment plans (SIP).
With the introduction of 10 per cent tax both on long-term capital gains and on dividend, choose funds based on investment horizon and risk appetite, not on tax advantage, experts tell Sanjay Kumar Singh.
Standard Chartered Mutual Fund on Wednesday launched a close-ended Enterprise Equity Fund that\nwould invest 10 per cent of its corpus in public offerings.
'Indian investors have always been debt-heavy but with growing financial awareness they are getting comfortable with equities.'
It is a three year close-ended equity scheme that propagates long-term investing
