best large cap for sip & lumpsum 2020
best large cap fund
Large Cap in portfolio is very important. I have given some of fund house Large Cap with Beta, Standard Deviation and Sharpe Ratio.
If you can the below table you will find that Axis Blue chip is very good. as Sharpe ratio of Axis is very good.
Usually, any Sharpe ratio greater than 1.0 is considered acceptable to good by investors. A ratio higher than 2.0 is rated as very good. A ratio of 3.0 or higher is considered excellent.
Large Cap Mutual Funds
When you are investing for create wealth then you have to first create your portfolio and that portfolio should be according to your requirements.
My personal recommendation is maximum investment in Large Cap. I have given one idea about how to create and how much should be in where ?
One best Idea to Create Aggressive Portfolio of SiP not less than 7-10 Yrs.
Large Cap – 60%
Mid Cap- 25%
Small Cap- 15%
Because money safety and your happiness is more important for your future.
Conservative Portfolio
Debt – 80%
Equity- 20%
Debt- Bond 30%
Debt- Short Duration 30%
Debt- UST 20%
Equity- Large Cap 20%
Moderate Portfolio
Debt – 70%
Equity- 30%
Debt- Bond 25%
Debt- Short Duration 30%
Debt- UST 15%
Equity- Large Cap 25%
Equity- Mid Cap 5%
Balanced Portfolio
Debt – 50%
Equity- 50%
Debt- Bond 20%
Debt- Short Duration 25%
Debt- UST 5%
Equity- Large Cap 30%
Equity- Mid Cap 15%
Equity- Small Cap 5%
Dynamic Portfolio
Debt – 25%
Equity- 75%
Debt- Bond 10%
Debt- Short Duration 12.5%
Debt- UST 2.5%
Equity- Large Cap 50%
Equity- Mid Cap 15%
Equity- Small Cap 10%
for more about creating portfolio, you may right to [email protected], visit to my youtube channel AGInvestment, Join telegram https://t.me/mfpathshala, whatsapp @ 9891423442
best systematic plan SIP for start
Mutual Fund
In last 5 years, I have seen attraction and choice of all young generation in Mutual Funds. Create wealth SIP – Systematic Investment Planning is very popular now a days. I also appreciated this decision but Are you really wants to create wealth from Mutual Funds ? then Systematic investment plans (SIPs) have emerged as a popular vehicle for investing savings in equities. Among the diversified, actively-managed equity mutual fund schemes, the ones that delivered the best returns were focused on growth and quality.
Behaviors of Investor’s
It’s true Equity investment is one of best investment and start investing from SIP is one of best vehicle. But according to all research we found that all SIP’s get terminated and cancelled in maximum 5 years. This is very dangerous situation for young generation.
SIP /Equity can only give returns in long term and if you are looking for short term then please don’t use Equity Funds. Also if you want to exit in short term from Equity Funds-SIP then my personal recommendation is NOT START SIP‘s. To know SIP VALUE please visit SIP Calculator then only can you find the different between SIP tenure benefits.
Recommended Fund for Start up
You can choose any one from below and start instant after clicking on fund name. but please make sure your SIP investment horizon not less than 10 years to get better retuns.
> Aditya Birla Sunlife Frontline Equity Fund
> Axis Bluechip Fund
> Canara Rebeco Emerging Equity Fund
> DSP Top 100 Equity Regular Fund-Growth
> Franklin India Bluechip Fund-Growth
If you need any help suggestion to create Portfolio, please right us at [email protected], whatsapp @ 9891423442, Telegram @ htts://t.me/mfpathshala
what to do with -Franklin Ultra Short Term Bond Fund
Ultra Short Duration debt funds invest in bonds maturing in 3 to 6 months’ time. They aim to earn slightly better returns than what you can get from a bank account or a short duration fixed deposit. The risk of incurring a loss in these funds is negligible.
Franklin or Any AMC who is investing in Bond fund, they are very much aware about Paper of Company. After all calculations of Risk etc they added particular company bond in his portfolio for get better returns.
What happened with this fund –
In all these AMC Franklin, UTI, Nippon, Aditya Birla etc has taken bond Paper of Vodafone Idea Limited (VIL) according to his decision and calculation of Risk.
Frankln exposures was 4.4% in Ultra Short Term Bond fund. Now Supreme Court has reject the case of VIL. so Franklin has immediate marked down to Zero the Debt Security of VIL. Due to this NAV on 16th Jan 2020 has down.
According to me its very good decision from Franklin for Retail Investors. Scenario, if Franklin not take this action, then all Institutional investor book profit in his portfolio on higher NAV and Retails investors get penalized. Now this is win-win situation for all.
What to do now ?
HOLD 3 months
Franklin has now marked Zero that Does not means they have sold Paper. Bond Paper of Franklin maturity is in July 2020 and Sep 2021. Also VIL has not given any statement that they are not going to pay back of money of Bond Paper, means still value of paper is continue till maturity.
Now 23rd January is last date given by Supreme Court to pay amount of Licence fee, Spectrum charges, if by any chance VIL declare Bankrupt then the current NAV is continue, Else there is no any tension.
In all Cases, I can say that Gov will not going to loose VIL etc but pressure to be on head of VIL to pay such amounts.
This is not happening with Franklin or other AMC is first time, you must heard ABSL Dynamic Bond Fund, ABSL Credit Risk fund. Nippon India Equity Saving Fund etc recently has created Segregated folio.
Franklin has marked Zero but ABSL, Nippon has created segregated folio both are same case. Suppose any one hold investment in above fund and due to any reason, holder quite before maturity of paper and after maturity of paper company get his amount back with maturity value. In that case company refund the complete value to investor Bank Account.
Therefor I will recommend to not exit from this Fund and continue till 3 months more, Franklin has taken this step and cease daily investment upto Rs.200000 only to win-win situation for our retails investor.
To gain maximum Franklin taken pain maximum, As in his folio there are lot of paper is AA- rating. Pls visit www.agindiaonline.com to get all details of paper or you may reach us at my telegram – https://t.me/mfpathshala, reached on whatsapp at 9891423442
Ultra Short Term Fund is better than FD -Fixed Deposit
Ultra Short Term Fund :
Ultra Short Duration Funds are debt funds that lend to companies for a period of 3 to 6 months.
>Ideal for anyone looking to keep aside money for a couple of weeks to a few months
>Near Zero risk of loss if someone invests for at least 3 months.
> These Schemes tend to give similar or slightly higher returns than Bank Fixed Deposits of equal or comparable investment tenure
> Due to high liquidity, ease of use and higher returns,
I’ve listed few mutual funds here, to help you get started. The list has been prepared based on the parent company and the past performance of the fund. The debt funds have no exit load fees (that means you can withdraw money from these funds any time, without any “minimum duration” requirement).
Debt -Ultra Short Term Fund
Recommended for emergency funds or parking money for any duration etc. Returns are better than FD and offers higher liquidity.
| Fund Name | Annual Returns (5y) | Fund Class | Exit Load |
|---|---|---|---|
| Franklin India Ultra Short Bond Fund (G) | 9.9% | Ultra Short Term Debt | 0.00% |
| Reliance Money Manager Fund (G) | 8.9% | Ultra Short Term Debt | 0.00% |
You can visit my you tube https://youtu.be/DmpFcKuHRDM for more about this fund. Also request to subscribe for more such videos.
You can invest direct from my website – www.agindiaonline.com after free Sign-up and i assure you that you will get my 100% support all the time to create wealth safe and more than Bank. Any suggestion you may whatsapp @ 9891423442 or telegram to https://t.me/mfpathshala
Do I need Demat Account to invest in Mutual Funds ?
Mutual Funds Investment Don’t reqired DEMAT Account
Mutual fund companies do not require investors to use a dematerialization (DEMAT) account to buy mutual funds. A DEMAT account allows investors to electronically purchase and redeem securities, mutual funds, and other investments.
Why You Should Avoid Having A Demat Account For MF Investment?
- There is a yearly cost associated with the maintenance of the demat account, which adds up for a long-term investor.
- There is an upfront commission of 1% to 1.5% on funds that one buys through a demat account as it only allows you to invest in regular mutual fund schemes.
- There is a trail commission of up to 1.5% on the funds you hold in a demat account. This is charged every year for the entire duration of your investment. It adds up to lakhs of rupees in the long run, depending on the amount and duration of the investment.
- You can add only one nominee to your demat account. If you want to distribute your holding midst various family members, you cannot do it with the help of a demat account.
- Mutual fund companies do not require investors to use a dematerialization (DEMAT) account to buy mutual funds.
- A DEMAT account allows investors to electronically purchase and redeem securities, mutual funds, and other investments.
- Instead of using a DEMAT account, investors can choose to buy or redeem mutual funds directly from the mutual fund company.
- Instead of Demat use MFU ( Mutual Fund Utility ) for all Online transaction.
- DEMAT accounts offer investors several advantages, including increased security of financial transactions, increased speed in processing trades, and the elimination of unnecessary paperwork.
One can buy and sell any mutual fund scheme directly through an asset management company (AMC), a bank, personal financial advisor, or various third-party portals. The only things mandatory for MF investment are:
- Bank account (preferably with online banking facility, but not required)
- KYC compliance
As mentioned above, a demat account is not necessary for a mutual fund investment, yet some people like to use it to manage all their investments from one place. Normally, people use the same demat account for their mutual fund investments that they have been using for investing in dematerialised equity shares.
Other Ways To Invest In Mutual Funds
Demat account is not the only way to invest in mutual funds. You can do it via your bank, a personal advisor, or through a third-party online portal like www.agindiaonline.com. You can use any of the following channels to invest your money in a mutual fund scheme.
Bank
You can walk into your local bank and meet your relationship manager to begin mutual fund investment including SIP.
Through CAMS
You can also visit a local CAMS office to start your mutual fund investment. Alternatively, you can visit myCAMS website or download myCAMS app to begin investing in various mutual fund schemes – both in direct and regular options.
Offline Through AMC’s Branch Office
In many cities, major fund houses have their branch offices. You can visit an AMC’s branch office in your locality and invest in one of its schemes. You will need to visit each AMC’s office individually should you wish to choose funds from different fund houses.
Online From AMC’s Website
Another way to invest in mutual funds is to visit each fund house’s website, register there, link the bank account with the portal, and begin investing.
For more details . You may call / whatsapp/ Msg to 9891423442 for wealth Manager Support or visit www.agindiaonline.com for instant start of SIP/Lumpsum etc.
quick investment in mutual funds, very easy from mutual fund utility- MFU, eCAN open in 10 minutes
eCAN- MFUtility hai to Sahi hai
GST -MF distributors relieved as govt defers reverse charge mechanism to Sept 2019
GST Council– Providing a big relief to small mutual fund distributors, the GST council, headed by Finance Minister Arun Jaitley, has deferred the implementation of reverse charge mechanism (RCM) by another one year to September 2019.
Reverse charge is a mechanism where the recipient of the goods and/or services is liable to pay GST instead of the supplier. This is an anti-tax-evasion measure to ensure that transactions by unregistered people don’t escape tax. So, in a normal transaction, the supplier of goods or service charges the tax and pays to the government, but in this case, the responsibility reverses and falls on the buyer.
Also, the purpose of this charge is to increase tax compliance and tax revenues. Earlier, the government was unable to collect service tax from various unorganised sectors like goods transport. Compliances and tax collections will, therefore, be increased through reverse charge mechanism.
This move will benefit mutual fund distributors that have earnings of less than Rs 20 lakh a year, particularly for distributors who do not have a GST registration number or have surrendered their GST registration number.
This move will benefit mutual fund distributors that have earnings of less than Rs 20 lakh a year, particularly for distributors who do not have a GST registration number or have surrendered their GST registration number.
Out of total 46,000 MF distributors in India, only 6 percent earn above Rs 20 lakh a year.
Registered distributors are liable to pay GST on their services to the asset management companies for which they can claim input tax credit. As most of them work from small offices with computers as their only equipment, the likelihood of significant input supplies to avail credit is low.
For unregistered agents, the fund house receiving the service will pay 18 percent tax on their behalf. If RCM came into effect the fund houses would have deducted it from their commission.
“This is beneficial to small distributors who work from small offices and earn less than Rs 20 lakh per year,” said a Mumbai-based distributor.
For distributors that have already done GST registration, fund houses will continue to follow forward charge mechanism, wherein MFs will pay the gross commission to them, while these distributors will continue to avail the benefits of input credit.
The RCM was to kick in from July but got deferred by three months to September this year and now further to September 2019. The distributors’ body had recommended that the government should grant an exemption to small distributors who earn less than Rs 20 Lakh annually.