SWP in Mutual Funds

SWP is a feature that enable you plan a peaceful retired life drawing your monthly cheques; it can be structured to pay your ward's fees at pre-determined intervals!!

Read Business Manorama dated 14th May 2007

'Trigger' in Mutual Funds

The trigger facility in Mutual Funds help you to pre-determine when you want to get out of the market. Administered carefully, it can be a facilitator to augment wealth; A trigger can be hasty, if your exit date happened to be on a secularly increasing market trend. Same way a trigger may save you in a secularly falling market from breaking to bruises.

A good strategy for risk averse/beginners in the capital market.




What is 'Trigger' in Mutual Funds? Read in Business Manorama dated 7th March 2007

Systematic Investment Plan is a way of disciplined investment. At pre-determined intervals, you make fixed sum investments in to your preferred scheme. If you are riding a growing market, you make good profits. Ideal for risk averse investors who prefer very long term stay in the markets.




SIPs in Mutual Funds : read full original text Business Manorama dated 30th April 2007

Arbitrage Funds

Arbitrage Funds look for making a bit more than the debt Funds by taking positions in the Cash & Equity markets; With permission of debt derivatives, more opportunities will be created in this segment. They are high Risk class.

A derivative is a futures contract traded on the exchange. Essentially a contract is an agreement with another to exchange a specified asset(physical/financial)at a pre-determened price on a specified future date. Commodity derivatives are just getting ppularised in India. Futures in the modern form date back to June 2000. Entry of Mutual Fund Products came by later.
Benchmark Derivative Fund(Dec 2004)
Kotak Equity Arbitrgae Fund (Sep 2005)
J M Arbitrage Advantage Fund (Jun 2006)
UTI SPrEAD(Jun 2006)
SBI Arbitrage Opportunities Fund (Oct 2006)
Standard chartered Arbitrage fund( Nov 2006)
ICICI Pru Equity & Income Optimiser(Dec 2006)
Lotus India Arbitrage fund (Apr 2007)

Direct the Flow of Your Investments where it is needed

This is about a family whose Income/Expenses were examined along with their Assets and Liabilities to plan for the upcomong liabilities in their life. The wealth Management approach is not denying GOD; But uses the talents provided by the almighty to plan in a better manner translating one's life purpose into financial milestones. The services are available for a fee. Interested parties may contact the author.

Liquid/MMMFs

they have been prominently in news since budget 2007 due to imposing of DDT. how do they add value to you? Inspite of skyrocketing BSE Sensex, it is this class of funds that flourished, if one goes by size, in the Indian Context.

Benchmarking in Indian Mutual Funds

Benchmarking tells you against what market index you can compare the performance of your fund. CRISIL, ICICI Securities etc.. produces and maintains market indices for the debt market. in the equities market, we have popular indices like BSE Sensex, Nifty etc..
The major problem in the industry is the way each fund manager defines his benchmark and how he really manages the fund. When you hear about a balanced fund, you have a notion that it is 50:50 in equity and debt with plus or minus 10% on either side. But the author could see schemes with 80% equity allocation also claiming to be a balanced fund.

read the full text in Business Manorama dated 9th April 2007. It is from the family of Malayala Manorama and comes every Monday with the main daily