Simplifying equity mutual funds

"How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case." — Robert G. Allen The quote highlights the importance of investing in market instruments i.e. Equity. Equity represents ownership in a firm. This ownership is given in the form of units known as shares. Thus as [...]

SOVEREIGN GOLD BOND

SGBs are issued by the RBI on behalf of the Government of India where you can own gold in ‘e-certificate’ format.  Their value is denominated in multiples of grams of gold. SGBs have witnessed a significant increase in investors, with it being considered a substitute for physical gold. So,…

KISAN VIKAS PATRA(KVP)

KVP is a small savings certificate scheme with an objective to encourage long-term financial discipline in people. It has 3 types of certificates: Single Holder (issued to an adult for self or on behalf of a minor), Joint ‘A’ type (issued to 2 individuals, payable jointly or survivor) and…

NATIONAL PENSION SCHEME

The National Pension Scheme is a voluntary retirement savings scheme initiative by the Central Government  and a solution to provide adequate retirement income to all. It is open to employees from the public, private and even the unorganised sectors except those from the armed forces. There are 2 primary…

NATIONAL SAVINGS CERTIFICATE

National Savings Certificate (NSC) is a low risk fixed income investment scheme that can be bought from the nearest post office.The scheme is a Government of India initiative and encourages subscribers – mainly small to mid-income investors – to invest while saving on income tax. Features: Scheme generates a…

REAL ESTATE INVESTMENT TRUSTS

REIT is a company that owns, operates, or finances real estate to generate income and thus are like Mutual Funds which invest in real estate. A REIT buys properties to operate them as part of its investment portfolio. There are currently only 3 REITs available for investment in India…

Floating Rate Savings Bonds (FRSB)

Floating rate bonds are bonds paying periodic interest rates (every 6 months) that depend on a benchmark interest rate. FRSB are debt instruments issued by the Government Of India with the maturity of 7 years and the interest rate will keep changing from time to time  during the tenure…

All About Debt Funds

A debt fund invests most of its corpus in fixed-income generating instruments such as bonds, government securities, treasury bills, certificates of deposit, commercial papers, banker's acceptance, etc. These come with a fixed maturity period which can be as short as 1 day or as long as 7 years. 6 reasons to invest in debt funds [...]