The cash pile within smallcap mutual fund (MF) schemes has grown over the past few months amid a relentless rally in stocks in this space. While fund managers usually don't make cash calls, incessant inflows and valuation discomfort have forced their hand. At the end of January, the top 10 schemes had over Rs 12,160 crore in cash, compared to Rs 8,700 crore in August 2023.
rediffGURU Ulhas Joshi answers readers' mutual fund queries
The mutual fund (MF) industry had an action-packed 2023 as it tackled the scrapping of tax benefits for debt fund investors and surging flows into equity funds.
In a growth market, these funds should not form more than 10-15% of your portfolio. Invest with a horizon of at least 5 years
Only investors with a higher risk appetite should enter these funds.
Ulhas Joshi, Head -- Sales, Rank MF, a mutual fund investment platform, answers your queries.
The first quarter earnings season will dictate the trend in the equity markets in this holiday-shortened week amid absence of major macroeconomic drivers, say analysts. Besides, lacklustre global markets may increase volatility in the market, they added. Equity markets would remain closed on Wednesday for Bakri-Id.
'Investors should allocate about 5% to 10% to such funds.'
'She was either overconfident that nothing will happen to her or she underestimated the gravity of the allegations.'
Do not, however, enter expecting quick returns.
rediffGURU Ramalingam Kalirajan answers your personal finance queries.
Investment guru and mutual fund expert Ashok Kumar, answers all your MF related queries.
Regulator Irdai on Friday directed SBI Life Insurance Company to takeover the policy liabilities of around two lakh policies along with assets of Sahara India Life Insurance Co Ltd (SILIC) with immediate effect. The decision was taken at the meeting of the Insurance Regulatory and Development Authority of India (Irdai) in view of deteriorating financial health of the SILIC. "The Authority has identified SBI Life Insurance Company Limited (SBI Life), which is one of the largest life insurers in the country with satisfactory financials, as the acquirer insurer of the life insurance business of SlLIC.
The surge in volatility across the globe sparked by Russian invasion of Ukraine has led to an increase in prices of gold and silver - considered to be safe-haven investment bets. In the past month, silver funds have delivered returns of 7.34 per cent, while gold funds on an average have risen around 6 per cent. In comparison, the benchmark Nifty has declined 4 per cent. Fund managers say precious commodities act as a good hedge against inflation and phases of geopolitical uncertainty.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
An allocation to ESG theme funds can bring down the overall risk of an equity portfolio. Investors with long-term financial goals, such as retirement, should not ignore sustainable investing.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
S Naren of ICICI Prudential says long-term investors needn't worry.
Raising a child as a single mother in India can be challenging, especially when it comes to managing finances.
Mutual fund (MF) houses have started realigning their overseas product offerings after the Securities and Exchange Board of India (Sebi) advised them to stop subscriptions. PPFAS Asset Management has decided to suspend transactions in Parag Parikh Flexi Cap Fund with effect from February 2, 2022. Though new lump-sum and systematic investment plans (SIPs) will not be accepted, existing SIPs and systematic transfer plans (STPs) will continue.
Ask rediffGURU and PF and MF expert Janak Patel your mutual fund and personal finance-related questions.
'It is going to be a tough balance for the RBI to manage economic stability and ensure smooth government borrowing.'
Contrary to expectations, the new business premium (NBP) of life insurance companies dropped 12.62 per cent year-on-year (YoY) in March 2023 due to an over 30 per cent drop in Life Insurance Corporation (LIC) of India's premiums, albeit on a high base. Data released by the Life Insurance Council shows the industry racked up NBP of Rs 52,081 crore in March 2023, compared with Rs 59,608.83 crore in the year-ago period. NBP is the premium acquired from new policies in a year. It is the sum of the first-year premium and single premium, reflecting the total premium received from new businesses.
'Investors need to understand that these schemes may not do well in the market that is in a bull run, but quality stocks would protect the downside.'
Omkeshwar Singh, head, Rank MF, a mutual fund investment platform, answers your queries.
'Your decisions should not be driven by your view on the market, but by your objectives, risk appetite, and time horizon.'
Nikunj Saraf, Vice President Choice Wealth, answers your queries.
Private life insurers are expected to deliver decent growth in the first quarter of the 2023-24 financial year (Q1FY24) on the back of stronger group business performance and easing supply-side constraints on individual protection. Life Insurance Corporation (LIC), though, is likely to see a decline. Healthy 12 per cent year-on-year (YoY) retail annual premium equivalent (APE) growth for private players, coupled with 11 per cent year-on-year (YoY) decline in LIC, will pull retail APE growth to a mere 3 per cent YoY in June 2023.
In numerous instances, family members are unaware of an insurance policy's existence, let alone its details.
rediffGURU Sunil Lala answers your MF-related queries.
'Those satisfied with returns and not expecting further rally could be booking profits and also stopping SIPs.'
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your mutual fund queries.
Omkeshwar Singh, head, Rank MF, a mutual fund investment platform, answers your queries.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
Opinions vary, but fund managers remain bullish.
Investors can sell their entire equity and move to debt when stocks get expensive
While near-term performance is difficult to predict after a huge run-up, fund managers believe the PSU theme's prospects remain sound over the medium to long term.
These products are extremely transparent and are the lowest charged products in the insurance space. The policyholder has to only pay the fund management charge. Hence, from the cost side, ULIPs are very competitive.
