Thursday, February 28, 2019

#wealthcreation #investorawareness


Wednesday, February 27, 2019

SEBIs Guard Rails- Right direction for Investors Life easier and safer

Investment limits Sebi prescribes for mutual funds

  •  In case of unrated debt instruments, a mutual fund cannot invest more than 10% of the portfolio in a single issuer and 25% in all such securities
  • In case of listed securities of the sponsor and their group companies, the investment cannot exceed 25% of the scheme’s portfolio


Did you know that there are guard rails that the Securities and Exchange Board of India (Sebi) has put in place to protect you from the risks of over-exposure to a particular security, sector or group when you buy a mutual fund?
While the securities and sectors in which a fund invests in and the extent of exposure is the choice of the fund manager and driven by the investment objective of the scheme, there are broad investment guidelines that need to be followed to ensure a minimum level of  diversification in the portfolio to manage the risks to the investor.
Post re-categorisation of schemes, there are clear definitions of what constitutes a large-, mid- and small-cap stock and the portion of the fund’s assets that should be invested in them depending on the type of equity scheme. Similarly, for debt schemes, there are clear definitions of the duration of the securities that will be included in each category. For hybrid funds, the regulations lay down the split between equity and debt.
Clear demarcation of different types of funds not only makes selection of funds easier depending upon the risk the investor is comfortable with, it also enables a more meaningful comparison of performance since you are now comparing schemes with similar portfolios. It eliminates situations of say a large-cap fund taking exposure to mid-cap stocks to give a boost to returns or a liquid or money market fund holding longer duration papers to benefit from a gain in value but also making the fund riskier.
At the next stage, there are caps on the exposure that a scheme can take to a particular security or sector or group. In case of equity funds, a scheme’s portfolio cannot hold more than 10% in a particular stock. In case the shares are unlisted, which are riskier because there is less monitoring from Sebi and the stock exchange, this limit is 5%.
In case of debt schemes, the portfolio cannot hold more than 10% in investment grade (BBB- and above) bonds of an issuer. This can be increased to 12% with the approval of the trustees. The limit does not apply to government bonds. Investment in the bonds of a particular sector, say financial services or power, cannot exceed 25% of the portfolio. Schemes can invest an additional 15% in AA rated bonds of housing finance companies. A scheme’s exposure to debt instruments of different companies belonging to the same group is limited to 20% of the assets and this can go up to 25% with the approval of the trustees. In case of unrated debt instruments, a mutual fund cannot invest more than 10% of the portfolio in a single issuer and 25% in all such securities. A mutual fund cannot take any exposure to privately placed and unlisted securities issued by the sponsor of the mutual fund or their group companies. In case of  listed securities of the sponsor and their group companies, the investment cannot exceed 25% of the scheme’s portfolio.
Remember, these restrictions are applicable at the time of making the investment and mutual funds are not required to bring down the exposure if it goes beyond the prescribed limits subsequently.
Reproduced, as narrated by Sunita Abraham, in livemint on above listed date, ie 26-2-19.
DISCLAIMER: None of the data or views are my personal in the above article, but thought useful to share.

#marketview #weaothcreation


#wealthcreation #assetclasses #cashflowcontrol


Tuesday, February 26, 2019

#wealthcreation #cashflowcontrol


Monday, February 25, 2019

#wealthcreation #financialqueries #sip


Sunday, February 24, 2019

#rivermarch2019 #rivermarch


#rivermarch #rivermarch2019 #mumbai


#wealthcreation #financiallifeplanning✍🏻


Saturday, February 23, 2019

Does your Investment Recommendation look something like this ? Generalised problem, general standardised solution. People follow this as the solution. Read at top of it -This instruction or disclaimer is lost- it is written -" For Immediate Solution only " #wealthcreation #customisedfinancialplan #couplewealth


Approach to Investments #wealthcreation #investorawareness


Friday, February 22, 2019

Here is a sample feeder for investors who wonder were does Debt Mutual Fund manager,Invest ? This is one example where they bid and invest. This is less than one year investment avenue for not only Mutual Funds, but also Pension Funds (for less than a yr.), INSURANCE cos., Etc. #rbi #debtmutualfund #mutualfundsahihain #wealthcreation


#wealthcreation #benchmark


Thursday, February 21, 2019

#nightisgreat #timetorepair #sweetdreams


#basicinvestorquery #investorawareness #wealthcreation #profitquestion


#wealthcreation #familyfinancialplanning


Wednesday, February 20, 2019

#wealthcreation #couplewealth


Tuesday, February 19, 2019

#wealthcreation #investorawareness #wealtherosion


Monday, February 18, 2019

#wealthcreation #moneylearnings #chiodhoodwithmoney #moneyparenting


Sunday, February 17, 2019

#basicquestion


Donate here, not at wrong or external websites #donate #soldierofindia http://bit.ly/2nT8Lfr


#BMC #mumbai #rivermarch #savemumbaicity @gopal_jhaveri @avinash.kubal @shanta.naidu @tejas4428 and all experts involved in environment and city's betterment, WHAT's your take or view ? Is it up for discussion at group level with all experts inn.


#wealthcreation #wealthreview


Saturday, February 16, 2019

#wealthcreation


Friday, February 15, 2019

#wealthcreation #realwealth #financiallifeplanning


Thursday, February 14, 2019

#happyvalentinesday❤️


#mahatmagandhi #satyagraha


#giftoflife #couplewealth #valantinesdaygift #happyvalentinesday❤️ #wealthcreation


Wednesday, February 13, 2019

This is Painful Have a look at a Sample report from on of my recently acquired client How would you create wealth with this kind of portolio and ignorance? Oh Lord, Empower me to reach out to people to save there wealth errossion #awareinvestor #wealthcreation #ignoranceiskilling #financiallifeplanning #retailequityinvestor #wealtherosion


#couplewealth #wealthcreation #celebratingforlife❤️❤️


Tuesday, February 12, 2019

#wealthcreation #niftyoptions #bestinvestment #financiallifeplanning


#wealthcreation #financiallifeplanning #couplegoals #happyvalentinesday


Monday, February 11, 2019

#wealthcreators #wealthcreation #bni


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#wealthcreation #wealthforpurpose #couple #valantinesdaygift


Sunday, February 10, 2019

#wealthcreation #couplefinances #financiallifeplanning #valantinesday


Saturday, February 09, 2019

#freedomfrommoneyslavery #wealthcreation


LIVE TO DIE WHAT A MESSAGE #stevejobs #livetodie https://youtu.be/UF8uR6Z6KLc Click on link above to know more about how to LIVE TO DIE


#thankyouGOD


Friday, February 08, 2019

#addictedtooil #changefuelchangeworld #stoppollution


#wealthcreation #lifeclarity #financiallifeplanning


Thursday, February 07, 2019

#realestateupdate #wealthcreation #assetclass #realestate #financiallifeplanning


#wealthcreation #wealthymind #changewithtimes #financiallifeplanning


Wednesday, February 06, 2019

#wealthcreation #daytochoose #longorshirt #financiallifeplanning


Tuesday, February 05, 2019

Thanks to Mr Ajoy Mehta..... finally BMC recognised Mumbai Rivers...... Thanks to all Mumbaikars for supporting River March movement.... many good things to come for our Dream city #rivermarch #savemumbairivers #savewater💧 #mumbai #greenmumbai #swatchmumbai


#wealthdifferently #wealthcreation #financiallifeplanning break from routine


Monday, February 04, 2019

#wealthcreation #wealthforlife #wealthyhabits #financiallifeplanning


#timesoftogetherness #wealthcreation #wealthforlife


Sunday, February 03, 2019

#wealthcreation #financiallifeplanning #investorawareness


Saturday, February 02, 2019

#wealthcreation #assetclass #p2p #financiallifeplanning