Mutual Funds

 (iStock)
(iStock)

How concentrated is your mutual fund scheme?

  • Diversified funds can hold a concentration of their larger holdings and a much more diversified portfolio among the smaller holdings
  • Here is a list of funds with the highest concentration of top 10 holdings

Shares of Emami Ltd Monday ended at  ₹355.05 apiece, a fall of 1.61 per cent on the BSE over the previous close.  (Pradeep Gaur/Mint)
Shares of Emami Ltd Monday ended at 355.05 apiece, a fall of 1.61 per cent on the BSE over the previous close. (Pradeep Gaur/Mint)

SBI Mutual Fund, 2 others buy shares worth 1,322 crore in Emami

  • Among the sellers, promoter Goenka sold 40 lakh shares worth 142 crore amounting to 0.88% stake in the firm
  • According to the latest shareholding data available with the BSE, promoter Goenka held 1.67% stake in the company

Govt gets 10,000 crore from additional offering of Bharat-22 ETF

  • The additional 'on-tap' offering was opened for a single day with a base issue size of 3,500 crore
  • Govt has mopped up approximately 46,000 crore by way of disinvestment

Paytm Money is also looking to offer shares of listed companies directly to customers (Mint)
Paytm Money is also looking to offer shares of listed companies directly to customers (Mint)

Paytm Money integrates with Paytm Payments Bank for mutual fund transactions

  • Paytm Money will allow 42 million customers of Paytm Payments Bank to invest in mutual funds via netbanking or its app
  • Paytm Payments Bank customers will now be able to make their account as the primary bank account on Paytm Money for mutual fund transactions

2-3 years before retirement goal, secure your profits in debt funds

  • When reallocating your accumulated assets to debt funds, consult an advisor to do it effectively
  • The key is to stay disciplined with your investments during the tenure and periodical course correction with reviews as needed

 (iStock)
(iStock)

Top mutual fund schemes to invest in - Mint 30

  • Pick up 5-8 schemes to build a good portfolio
  • Refer to past returns as a starting point but take into account other factors as well

The dwindling in assets is the most among any mutual fund company in India during the period, data compiled by Bloomberg show (iStock)
The dwindling in assets is the most among any mutual fund company in India during the period, data compiled by Bloomberg show (iStock)

Two mutual funds see assets drop by half amid exit from risk

  • DHFL Pramerica saw its assets plummet from 2,000 crore in August to 360 crore in January
  • Indiabulls Asset’s institutional business recovered in January, with money in cash funds doubling from November

Photo: iStock
Photo: iStock

What top mutual funds bought and sold last month

  • HDFC Mutual Fund held 1.2 trillion rupees in equities, with financials accounting for about 32% of stock assets
  •  ICICI Prudential Mutual Fund held equity assets of Rs. 1.2 trillion, with financials making up 26% of assets

Photo: iStock
Photo: iStock

ETFs better than actively managed funds? 

  • ETFs are mainly for those investors who do not know much about managing funds, said analyst
  • The most popular ETFs in India are equity and gold ETFs,” said analyst

Retail mutual fund investments stayed firm in January amid a drop in overall mutual fund inflows. (Mint )
Retail mutual fund investments stayed firm in January amid a drop in overall mutual fund inflows. (Mint )

Mutual funds out of favour as inflows hit 24-month low

  • Mutual fund inflows fall 6.7% to 6,158 crore in January from 6,606 crore in the previous month
  • Redemption in mutual fund equity schemes stood at 11,397 crore in January from 11,234 crore in December

Should investors see the credit policy as signaling a period of lower rates going forward?
Should investors see the credit policy as signaling a period of lower rates going forward?

Short-term debt funds find themselves in a sweet spot

  • Investors in mutual fund products such as low- and short-duration funds are in a sweet spot since these funds are likely to benefit the most from the rate cut
  • Mutual fund investors should stay with funds with shorter horizons such as low- and short-duration funds

Alibaba and Manchester United set off a debate among regulators and policy makers in Asia, eventually resulting in changes that now allow DVRs, so that companies can be listed in both Hong Kong and Singapore. (Bloomberg)
Alibaba and Manchester United set off a debate among regulators and policy makers in Asia, eventually resulting in changes that now allow DVRs, so that companies can be listed in both Hong Kong and Singapore. (Bloomberg)

DVRs go against minority shareholders

  • DVRs hinder ability of board of directors to exercise their rights as fiduciaries 
  • We already have provision for DVRs, though very few companies have used these structures so far

Given the uncertainties around the issue, investors in open-ended schemes should consider exiting (Reuters)
Given the uncertainties around the issue, investors in open-ended schemes should consider exiting (Reuters)

Lenders’ lifeline for Essel may hurt MF investors

  • Sebi is said to have stepped in to nix a safety net stitched together by lenders to the Essel group
  • Investments in debt securities of companies that are generating cash flow may not be at risk from this event

Ensure diversity in investment style when choosing MFs

  • While putting together a portfolio, it is not enough to picks funds from different categories
  • One must ensure diversity of investment styles among the funds chosen

 (Photo: Bloomberg)
(Photo: Bloomberg)

Digitally invested assets under management may grow 80% in 2019: Deloitte

  • Digitally invested AUM for individual investments in mutual funds will cross 1 lakh crore by 2021 
  • Overall retail AUM is expected to grow around 37%

Nimesh Shah, MD and CEO, ICICI Prudential Asset Management Co. Ltd, and chairperson, Amfi.
Nimesh Shah, MD and CEO, ICICI Prudential Asset Management Co. Ltd, and chairperson, Amfi.

Amfi’s MF campaign may turn focus on debt funds: Nimesh Shah

  • The culture of investing in debt funds is yet to take root as retail investors are yet to understand the power of investing in debt instruments, says Nimesh Shah
  • Any fixed income investment is exposed to three key risks-- credit risk, interest rate risk and liquidity risk, says Shah

Mutual funds hold a lot of debt securities issued by Essel Group. 
Mutual funds hold a lot of debt securities issued by Essel Group. 

Still reeling from IL&FS, NBFCs now face Essel risk

  • Essel’s founder Subhash Chandra said that it has increased debt levels and a diminished ability to service borrowings
  • Defaults at IL&FS have roiled the credit market and made it harder for other non-bank lenders to access funds

Photo: Mint
Photo: Mint

Do Indian investors see value in index funds yet?

  • Index funds and ETFs comprise passive investments and their popularity has grown worldwide
  • 2018 seems to have been a landmark year where active funds failed to beat Nifty

 (Mint)
(Mint)

What are short-term debt funds and who should buy them?

  •  Short-term debt funds belong to the category of funds that hold debt, money market securities with a duration of one to three years
  • Short-term debt funds are best suited for investors looking to earn more than just interest income and are okay with some interim volatility in the NAV

 (iStock)
(iStock)

Debt funds downgrade: No reason to panic yet

  • The return from the affected funds may be hit for now, but the overall rating of these funds indicate high level of confidence in the quality of portfolios
  • New investors should wait and watch how the situation plays out before considering fresh investments into the schemes