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Risks Involved in Investing in Equities

As mentioned, Risk is the uncertainty involved in the expected returns. Risk associated with Equities are much higher compared to Debt instruments. So are the returns. This follows the universal principle, “Higher the Risk, Higher the Return”. Market Risk The biggest risk associated with Equities is Market Risk. Equity instruments are volatile and prone to

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Risks Involved in Investing in Debt

Risk refers to uncertainty in returns. Debt instruments are considered less riskier than Equities because there is a lesser uncertainty in the returns one can expect from Debt Instruments. Never the less, following are the major risks are involved in investing in Debt Securities. Interest-Rate Risk Fixed income securities such as bonds, debentures and money

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Types of Mutual Funds

There are over 1,400 Mutual Fund schemes in India across 40 Mutual Funds. The total number of options under all the schemes is over 5,000! Given such a large number of options, the investor is spoilt for choices. An understanding of the classifications of the various categories of schemes will help sort clear the confusion

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Mutual Funds: Pros and Cons

Over a period of time Mutual funds have become a very popular investment vehicle in India. The reasons for the popularity of mutual funds among investors are many:  Professional Management Qualified Professionals manage the Mutual Funds and attempt to maximise the returns and minimise the risk within the stated objectives of the Mutual Fund Scheme. 

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Mutual Funds Jargons Simplified

Asset Management Company(AMC) is the business face of the mutual fund as it manages all the affairs of the fund. Investment professionals employed by the AMC determine which securities to buy and sell in the fund’s portfolio, consistent with the fund’s investment objectives and policies. In addition to managing the fund’s portfolio, the AMC often

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