The Indian stock markets have recorded an all time high with the Sensex touching the 62,245.43 mark in October 2021 for the first time ever since its inception. At the same time, Nifty 50 have hit the fresh all time high of 18,000! As you can clearly see, the Indian stock markets have more than doubled since the unfortunate crash in March 2020 on the back of low-interest rate regime and liquidity. As the stock markets enjoy the status of all-time high, there are several potential questions that ..
Many of you might be not familiar with this information that you can actually invest in abroad companies through mutual funds. In this article, we will discuss the channels through which you can invest in international mutual funds, their benefits and their taxability. Different Channels through which you can invest in international funds The following are the most popular channels to invest in international funds- 1. Fund of funds (FOF) Through this channel, the investor w..
A sub-type of mutual fund which is relatively less explored is the liquid mutual fund. In this article, I will explain the meaning of liquid mutual funds, their suitability and their advantages. Liquid mutual funds are a type of debt fund. Liquid mutual funds are mutual funds that invest in securities that have a maturity period of up to 91 days. In this type of mutual fund, assets invested are not tied up for a long time as liquid funds do not have a lock-in period. Investors can get their w..
Generally, we have seen that people are not much aware of the stock market, how it works, which stock to invest in and how to minimize your chances of losses. So here comes into play - the mutual funds. In stock market investment you take your own decisions while in mutual funds you hire a professional body who will take decisions for you. In simple words, we can say that in the case of mutual funds, the mutual fund professional or manager will take decisions on your money that is invested in..
Securities and Exchange Board of India (SEBI) vide notification / Circular No. SEBI/HO/IMD/DF3/CIR/P/2021/014 issued and publishes dated 29th January, 2021, has published "Circular on Revision of Monthly Cumulative Report" in exercise of the powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992, read with Regulation 77 of the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996. The Circular was addressed to: All Mutu..
Should you invest in Mutual Fund policies or Direct Stocks? Mutual Funds refer to a pool of money by many investors which is in turn invested in stocks, short-term debts, bonds etc. Direct Stocks refer to when the investment is done by individuals directly on stocks or IPOs of a company based on their knowledge. In this article, we will be discussing the difference between investing in Mutual Funds and Direct Stocks, together with understanding the better option between the two. Requiremen..
Hope you already know that Dividend received from company is taxable from financial year 2020-21. Hence exemption u/s 10(34) is not applicable from FY 2020-21 as Dividend Distribution Tax u/s 115O is abolished. But there are less clarifications regarding Mutual Fund Dividend Exemption under section 10(35). Is it till available or not? Let's read and understand with official links: What is Dividend? Dividend means the distribution of rewards from a portion of the company's earning a..
194K. Any person responsible for paying to a resident any income in respect of- units of a Mutual Fund specified under clause (23D) of section 10 ; or units from the Administrator of the specified undertaking; or units from the specified company, shall, at the time of credit of such income to the account of the payee or at the time of payment thereof by any mode, whichever is earlier, deduct income-tax thereon at the rate of ten percent: Provided that the provisions of this sec..
Section 194K - TDS on Income from Mutual Funds The section 194K of Income-tax Act, 1961 was omitted from the act in the year 2016 to provide advantages to shareholders and increase liquidity in their hands. However, to maintain the same advantage a new tax regime has been re-introduced in the year 2020. Table of Content: 1 Comparing Old Tax Regime v/s New Tax Regime 2 What is the rate of TDS u/s 194K 3 Who’s responsible to deduct..
Ever since the Covid-19 was declared as a pandemic in early March 2020, equity markets and bond markets all over the world as well as in India have collapsed. Foreign investors sold equities and debt securities in the Indian markets. The massive sell-off in the debt markets led to a crash in prices and rise in yields. India's financial sector is under intense strain, grappling with a liquidity crisis. In such unprecedented times, Franklin Templeton Mutual Fund ('FT India') is anot..
This write up is the sequel to my previous article on Mutual Fund, if you have not read it yet, you can check it out at Mutual Fund - The Beginning. In this write-up, I am going to touch upon various terminologies/jargon used in mutual industry (i.e NAV, Sharpe Ratio, Beta, Standard Deviation, Factsheet, etc.), different alternatives to invest in mutual fund (i.e Direct and Regular) and finally, I will share information on how to select a mutual fund scheme, which is divided into two steps 1..
Hello Readers, Trust you are all are safe, amid COVID 19. COVID 19 has rendered our economy in a very bad position, the stock market has fallen like anything. To capitalize this fall, I was going through various investment opportunities. What I realized is there are a plethora of instruments available in the market. One which particularly fascinated me was the Mutual Fund. I have done a lot of research on it and came across nitty-gritty of the mutual fund. So I decided to share my resea..