Prajna Capital - An Investment Guide

Best SIP Funds to Invest Online   The aim of the HDFC Mid-Cap Opportunities Fund is to generate long-term capital appreciation from a portfolio that is substantially constituted of equity and equity related securities of mid- and small-cap companies. A remarkably consistent performer in a very whimsical category, this fund has stayed put at a four star rating for the last seven years. Usually parking about 55 to 65 per cent in mid-cap companies, the fund has tended to invest about 30 per cent in large-caps, with a residual position in small-caps. Broadly it has been underweight on small-cap stocks relative to the peers in this category. The fund follows a growth at a reasonable price strategy. While the HDFC Mid-Cap Opportunities Fund three-year return, at 17.9 per cent, is one percentage point ahead of the category and its benchmark returns, the five year returns are 6 percentage points higher than the benchmark returns and beat its peers' returns by about 3 percentage points. Wh...

Best SIP Funds to Invest Online   HOW SBI Magnum Global Fund PERFORMED?   With a 10-year return of 14.67%, the fund has lagged behind the category (15.18%), but outperformed the benchmark index (11.39%).   Growth of Rs 10,000 vis-à-vis category and benchmark   WHERE DOES THE FUND INVEST? Should You Buy SBI Magnum Global Fund?   This fund will soon shed its mid-cap positioning and transform into a multinational company- fund, in compliance with the regulator's fund recategorisation exercise. This means it will invest at least 80% of its corpus in companies with global ownership or ones that get more than 50% of revenues from abroad, apart from stocks listed abroad.   The mid-cap bias will now give way to a multi-cap approach, covering MNCs of all sizes. The fund's portfolio is, therefore, likely to take on a very different hue in the coming months.   However, a big churn in its portfolio is not likely, as it already boasts 60% exposure to MNC stocks. As it will become a thematic...

After scorching performance charts for many years, this fund has seen a blip in its return profile recently, even as it attracted huge inflows during this period. The fund manager continues with the same proven approach focusing on quality stocks with scalable business models and has strictly avoided beta-driven plays--picking stocks that move higher, in either direction, in relation to the market--which have been preferred by the market of late. He continues to run a concentrated portfolio, even with a larger corpus. The only change in the portfolio is the higher tilt towards large caps, taking cognizance of higher valuations in mid-caps. Investors should avoid exiting the fund on its recent performance and monitor its performance over the next 6-12 months. Invest Rs 1,50,000 and Save Tax upto Rs 46,350 under Section 80C. Get Great Returns by Investing in Best Performing ELSS Funds Top 10 Tax Saver Mutual Funds for 2018 Best 10 ELSS Mutual Funds to invest in India for 2018 1. DSP Blac...

Best SIP Funds to Invest Online   The proposal to tax long-term capital gains from equity funds has miffed investors. Their returns will now be lower than anticipated.   This could change the way people prefer to invest their savings. For instance, equity-linked savings schemes (ELSS) could lose the tax-free status that made them among the favoured options for investors looking to save tax.   Also, given that equity funds will not be allowed indexation benefit, the tax disparity between equity and debt schemes has narrowed, making debt funds and FMPs more attractive now.   ELSS can still yield higher post-tax returns Even after 10% tax, ELSS funds retain high wealth generating ability.   Continue Investing in ELSS The tax on LTCG will make tax-saving options such as the Public Provident Fund (PPF) and Ulips more tax-efficient than ELSS funds. These will continue to be tax free while the gains from ELSS funds will be taxed at 10%. But experts say investors should not shun ELSS becaus...

Best SIP Funds to Invest Online   Tax deducted at source (TDS) is a major worry for fixed and recurring deposit investors. Currently, banks deduct TDS if the total interest earned is more than Rs 10,000 in a year. The only way to avoid it is to submit the Form 15G or 15H on time. Form 15H is for senior citizens and 15G for those below 60. Since banks consider the total interest payable in a year and not total interest paid in a year for computing TDS, the deduction is made at the beginning of the financial year. So, it is best to hurry and submit the relevant forms in the first week of April itself. However, you need to be careful. People who have taxable income are not eligible to file 15G and 15H forms. If you file it illegally, the IT Department can take action against you   The government has provided a big relief to senior citizens in its latest Budget, raising tax free interest from Rs 10,000 to Rs 50,000. So, senior citizens earning interest up to Rs 50,000 can submit Form 15...

Best SIP Funds to Invest Online   HOW HAS Reliance Vision Fund PERFORMED?   With a 10-year return of 10.33%, the fund has outperformed both the category (10.01%) and the benchmark index (8.6%).   Growth of Rs 10,000 vis-a-vis category and benchmark   Should you buy Reliance Vision Fund?   Although classified as a large-cap offering, it is being positioned as a large- and mid-cap oriented fund. Its long-serving fund manager prefers growth businesses with an emphasis on quality. He runs a compact portfolio and is comfortable taking large positions in select stocks and sectors where he has strong conviction. Currently, the fund has large overweight positions in auto and engineering stocks and has also bet heavily on select MNCs.   Reliance Vision Fund distinct and aggressive approach often results in bouts of sharp over- and under-performance relative to index and peers. It enjoyed a strong run last year, but has been lagging behind this year. Investors may see improved returns once the f...

Best SIP Funds to Invest Online   Buying a piece of property , whether residential or commercial, is definitely a lifetime investment for all of us. It is one of the most crucial decisions of our life as this might involve taking a good amount of loan, followed by monthly installments, etc. Therefore, it is important to check a few things before investing in any property. Following are some of mandatory things to check while buying a property in current times: 1. See it to believe it: An essential step for a buyer, when the property is under construction or when it is a ready-to-move-in apartment, is to get the clear idea of the property. When the property is under construction, it's better to make regular site visits to check the status of your construction and quality of materials being used for the construction purpose. When the property is a ready-to-move in, visiting the site gives the clear vision of the property: it's neighbouring area, facilities the developer is provi...

Earn more on your idle bank balance Here's how you can earn double the returns you get in a savings bank account without compromising on liquidity The charm of a savings bank account lies in the flexibility it offers to call your money at will. But it comes at a cost as the money idling in your bank account earns a meager 4%. So is there a way out? Is it possible to earn superior returns as well as get instant liquidity? As the chart above shows, you can effectively double the return on your money, simply by keeping it in ultra short term funds rather than savings bank accounts. This can make a huge difference to how much you earn on your idle money. For instance, a   Rs   3 lakh corpus can earn   Rs 75,000 more in ultra short term funds than in your savings bank account in 5 years' time. This Strategy doesn't come at the cost of liquidity. You can earn higher returns whilst keeping your money available at short notice. Here's how There are many reasons why you need som...