Re: Advice
by swaminathan on May 03, 2010 04:50 PM
I think it is better to go with MF tax but it is better to consult with the author of this article in the emai id given ramalingam_007@rediffmail.com. He seems to be an expert in this.
Re: Advice
by swaminathan on May 03, 2010 04:53 PM
I think MF tax is a best way. But it is better to have a word with the author of this article whose mai id is given below the article
I would like to suggest an alternative to passive mutual fund investing:- (A) Avoid SIP of fixed date. Keep aside a small sum every month to invest in diversified or ELSS funds.Invest by net transfer when markets around lower band. (B) Wait for about 15-20% appreciation. Take out the profit and shift profit to MIP Plans(I prefer HDFC and Reliance MIP) (c) Do this regularly and see that you will achieve very high returns. Maintain this strategy to create your retirement corpus rather than pension plans of ULIPS. I have done this for last five years and obtained over 40 % compounded yearly. Lastly, Have patience. You will be rewarded. Regards
Re: just an advice
by swaminathan on May 03, 2010 04:57 PM
Though this looks like a good advice on paper. It is not going to work out. You may come out with a practicle example of taking into a diverisfied fund and a combination of eq fund and mip funds. You will understand the substantial difference in returns.
Re: just an advice
by Guest Guest on Mar 19, 2010 04:32 PM
Hi
Thanks for a Good Advise. Can you name a few funds Diversified / ELSS. I have been investing in MF's in a similar pattern - however made mistake in selection of funds. Thanks again
Re: Re: just an advice
by swaminathan on May 03, 2010 04:59 PM
Good funds. I think templeton india growth, hdfc growth, reliance regular savings equity, birla midcap are all good funds. you may contact the author of this article to have a second opinion.
Instead of allowing a mutual fund manager to play with our money in the market, it is better that we play the game ourselves. Even if we lose, we learn what not to do with a stock. In future you can also become a specialist. Stand in your own leg
Re: Play yourself in market
by swaminathan on May 03, 2010 05:04 PM
A doctor is an expert in his field of medicine. Similarly we all have our own field like engineering, banking, software, business management. If we concentrate on our own strength instead of concentrating on the stock market we make more money. It is better to outsource it to professional fund managers and financial planners. If you are sick, will you go to adoctor or you strart learning medicine by trial and error.
Instead of allowing a mutual fund manager to play with our money in the market, it is better that we play the game ourselves. Even if we lose, we learn what not to do with a stock. In future you can also become a specialist. Stand in your own leg
Re: Play yourself in market
by swaminathan on May 03, 2010 05:04 PM
A doctor is an expert in his field of medicine. Similarly we all have our own field like engineering, banking, software, business management. If we concentrate on our own strength instead of concentrating on the stock market we make more money. It is better to outsource it to professional fund managers and financial planners. If you are sick, will you go to adoctor or you strart learning medicine by trial and error.
Instead of allowing a mutual fund manager to play with our money in the market, it is better that we play the game ourselves. Even if we lose, we learn what not to do with a stock. In future you can also become a specialist. Stand in your own leg
Re: Play yourself in market
by swaminathan on May 03, 2010 05:04 PM
A doctor is an expert in his field of medicine. Similarly we all have our own field like engineering, banking, software, business management. If we concentrate on our own strength instead of concentrating on the stock market we make more money. It is better to outsource it to professional fund managers and financial planners. If you are sick, will you go to adoctor or you strart learning medicine by trial and error.
Re: IT IS STUPID TO THINK
by Devendra Shah on Mar 22, 2010 09:38 AM
I feel this guy has burnt his fingers by investing in wrong funds. FD's are really bad since the interest income is taxed. ELSS are the worst type of investment. You need to invest in reputed funds and take out profits with clear targets from time to time.
Re: IT IS STUPID TO THINK
by prashant sharma on Mar 19, 2010 01:06 PM
hmmm this guy is perfect example of why india has remained a developing 3rd world country for so long.
Re: IT IS STUPID TO THINK
by Swapan Chatterjee on Mar 19, 2010 01:22 PM
i fully agree. ULIPs are the worst. Their agents give false picture and take your money. After three years you find has devalued considerably.
Re: Re: IT IS STUPID TO THINK
by swaminathan on May 03, 2010 05:07 PM
Ulips are different. They suck out lot of charges upfront. But mfs are really good investment options. If some one could have invested Rs.10000 in franlin bluchip on 1993 the present value is more than 4.3 lacs. So rethink.
I Invested heavily about 2-3years back in almost high performance Funds of 3 leading Fund houses, I yet to recover my invested money & I donot think I hv to wait minimum another 2years to get my invested money back.
Re: donot Invest your money for MF
by swaminathan on May 03, 2010 05:09 PM
I dont understand what do you mean by high performance funds. A fund gives better returns meand, they are not high performance funds. They need to give consistent retuns along with better risk adjusted returns. You need to contact good investment advisor like the author of this article to revamp your portfolio.
As everyone know MFs largely depends upon the stock market. So, you have to very carefully decide when to buy the MFs, The timing is very important as it is in stocks. Like if someone bought any MF one year back it is giving 100% result but if someone bought 2 yrs back like me and Mr. Narayan (below message), just no profit and infact some MFs are in loss. So, beware, it's your hard earned money, just do not fall prey to big advt.
Re: Mutual fund return
by sridevi on May 04, 2010 04:14 PM
Timing the market is practically not possible. But one need to choose a longetr timeframe like 5 yrs then they can get better returns irrespective of the market fall.
I purchased Reliance Natural Mutual Fund IFO for Rs.10/- two years back, but still price is same. Mutual fund is not good. No Bonus, no divident etc. etc. I think I lost my money investing in mutual fund
Re: MUTUAL FUND IS NOT GOOD
by raghvendra singh on Mar 19, 2010 11:04 AM
There are so many types of MFs controlled by same Fund (eg Birla, UTI,Reliance, ICICI etc). All do not give results you want because each invests in different types of investment on your behalf. You have to know about and decide what you want, how much safety, or risk; higher safety lesser gains!
Re: MUTUAL FUND IS NOT GOOD
by ramalingam k on Mar 19, 2010 11:41 AM
The idea behind investing in a mutual fund is to oursource the fund management activity to a professional fund manager. By investing in a secotral fund you are limiting the fund manager to invest in a particular sector. Even if the fund manager knows that the particular sector will not do well in the near future, he is forced to invest in that sector only. Also you take rsponsibility to shift your investments from a non performing sector fund to a performing sector.
Whereas in a diversified fund the fund manager gives higher allocation to the sector which he feels will do better in the near future and he reduces the exposure in the sector which he feel willl not perform in the near future. So it is better to outsoucrce all these decision making to the fund manager. Why should you take decision and pay management fees to the fund house. So focus on the diversified funds.
