What is STP? How Can It Help You in Investing?
STP (Systematic Transfer Plan) is an investment strategy where a fixed amount or profits are periodically transferred from one mutual fund scheme to another within the same fund house. There are three types of STP: Fixed STP: A predetermined, fixed amount is regularly transferred from one mutual fund to another, as set by the investor. […]
What Risks Come with SIP Investments? Can You Lose Money with SIP?
A Systematic Investment Plan (SIP) is a method of regularly investing a fixed amount in mutual funds. It allows you to start with small amounts, even as low as ₹500 per month. SIPs help average the investment cost over time, reducing the impact of market fluctuations. This approach benefits from the power of compounding and […]
What Are International or Global Funds?
International and Global Funds offer investors opportunities to diversify beyond domestic markets. International Funds invest in assets like stocks or bonds outside India, allowing exposure to global markets. There are over 71 such funds in India, but they are not yet widely popular. Global Funds, on the other hand, invest worldwide, including in the investor’s […]
What Are Children’s and Retirement Funds? Should You Consider Investing in Them to Achieve Your Goals?
Children’s Funds offer financial solutions to fund a child’s future education and other needs. SEBI specifically designed these schemes in 2017 to help investors achieve two primary life goals. The authorities introduced a new categorization and rationalization of mutual funds. It included a new category of solution-oriented mutual fund schemes. Children’s Funds provide financial solutions for […]
What Are Real Estate Mutual Funds?
Real Estate Mutual Funds (REMFs) offer investors the opportunity to invest in real estate assets such as properties, stocks of real estate companies, Infrastructure Investment Trusts (InvITs) and Real Estate Investment Trusts (REITs). Professionals manage these funds and offer an easy way to gain exposure to the real estate market without directly owning properties. However, […]
Should I Invest in International Funds?
Investing in international funds allows you to expand beyond your home country. It offers opportunities to grow your money in global markets. However, it also comes with its own set of opportunities and risks. Advantages of International Funds: Currency Benefits: By investing in foreign currencies, you can benefit if those currencies rise against your home […]
What is the Difference Between Capital Protection Funds and Conservative Hybrid Funds?
Here’s a comparison between Capital Protection Funds (CPFs) and Conservative Hybrid Funds: Feature Capital Protection Funds (CPFs) Conservative Hybrid Funds Investment Objective Focus on preserving capital with modest returns. It aims to provide steady returns by investing in a mix of debt and equity. Asset Allocation The majority is in low-risk debt securities (bonds, government […]
What are the different types of international funds you can invest in in India?
International funds are equity funds that invest in stocks of companies listed outside of India. These funds help you invest in some of the biggest companies in the world. Investing in international funds from India offers exposure to global markets and diversification. Here are additional types of International Funds available in the Indian market: Region-Specific […]
What Are Capital Protection Funds and How Do They Work?
Capital Protection Funds (CPFs) are investment funds designed to protect your initial investment while offering modest returns. Unlike traditional mutual funds focusing on capital growth, CPFs aim to preserve your capital by investing most of the money in low-risk options like government and highly-rated corporate bonds. A small portion of the fund, typically 10-20%, is […]
What Are FMPs (Fixed Maturity Plans)?
FMPs (Fixed Maturity Plans) are debt mutual funds that invest in fixed-income instruments like bonds, government securities, and money market instruments. These funds have a fixed investment horizon, meaning they are designed to mature on a specific date, usually ranging from a few months to a few years. Key Features of FMPs: Fixed Maturity: FMPs […]