Terminology - Mutual Fund Investment: What is NAV?

Mutual Fund Investment: What is NAV? by FundsIndia.com, Mutual Fund Research Desk Ever wondered what all that jargon in fund factsheets or application forms or articles on investments mean? To make it easier to understand the world of investing, we are starting a weekly colum…

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Mutual Fund Investment: What is a credit rating?

Rating organisations like evaluate the credit worthiness of an issuer with respect to its ability to pay back debt over the specified period of time. The rating is given as an alphanumeric code that represents a graded structure or creditworthiness. T he Indian credit rating in…

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Abbreviations Used in Mutual Fund

List of Abbreviations Used in  Mutual Fund.. Terminology - Mutual Fund.. Abbreviation - Full Form AMC Asset Management Company AMFI Association of Mutual Funds in India ATM Automatic Teller Machine AUM Assets Under Management BRICS Brazil, Russia, India, China, South Africa CAGR Com…

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Terminology - Mutual Fund : Debt Mutual Funds

Terminology - Mutual Fund : Debt Mutual Funds..  Debt mutual funds specifically invest in debt securities, Example  government securities, hold less risk and promise a steady income.

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Mutual Fund Exit Load..!

by Mr. Srikanth Meenakshi, Founder and Director, FundsIndia.com Exit load is a charge levied by the mutual fund house at the time of redeeming a mutual fund investment. It is typically expressed as a percentage of the redemption amount depending on the number of days an inves…

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Terminology Closed -Ended Mutual Funds

Closed -Ended Mutual Fund Schemes by Mr. Niranjan Risbood, Director Manager Research, Morningstar India Closed - ended mutual fund schemes give the fund manager the confidence to invest, without the fear of redemptions in between. As a result, he can take a long-term call on…

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Terminology - Mutual Fund - Risk Factors

Mutual Fund General Risk Factors: Mutual Fund Investments are subject to market risks, read all scheme related documents carefully. Past performance may or may not be sustained in the future. All the equity schemes fall under the “High Risk” as per product label categorizati…

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Terminology - Mutual Fund - Arbitrage Mutual Fund ..

An arbitrage mutual fund is an open - ended equity scheme that aims to generate capital appreciation & income by predominantly investing in arbitrage opportunities in the cash & derivatives segment (Future and options – F & O) of the equity market & investin…

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What is Arbitrage Mutual Funds?

by Mr. Brijesh Damodaran, Zeus WealthWays LLP The last few weeks have seen a new buzz in the mutual fund (MF) space, with fund houses promoting arbitrage funds & investors lapping it up. These funds have always been in the investment basket, but never at the forefront as…

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Consumption Mutual Funds Outperforming..

Consumption mutual funds, which have been outperforming the broader indices over the last 5 years, have increased exposure to companies s beyond the fast-moving consumer goods, or / FMCG, sector. The portfolios of UTI Lifestyle, Birla Sun Life GenNext, Birla Sun Life Buy In…

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Multi Asset Mutual Funds

Terminology - Mutual Fund The traditional types of multi asset funds are balanced funds & monthly income funds, which invest only in 2 assets-equity and debt. The newer ones offer exposure to more assets. So, in India, to cash in on the rally in gold,  a few mutual fund h…

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Mutual Fund: Benefits of Dividend option..

The key benefit of investing via the mutual fund (MF) dividend option is that it can provide as a source of income which can help in planning expenses better. Additionally, there is the incoem tax efficiency of returns. The dividend option is beneficial for short-term debt f…

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Mutual Fund: Dividend Distribution Tax..

At the time of distributing a dividend, the mutual fund (MF) Asset Management Company (AMC) is required to pay a dividend distribution tax (DDT). Therefore, even though your AMC has declared a dividend of Rs. 10, you may receive a smaller amount owing to the deduction of DD…

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Terminology - Mutual Fund: Ex-date..

Mutual Fund: Ex-date.. The day after the record date is known as ex-date or / ex-dividend. On ex-date, the NAV (Net Asset Value) the scheme is adjusted according to the dividend declared. If the NAV on the record date i.e., May 14 is Rs. 16, the price will fall by Rs. 2 (ex…

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Mutual Fund: Record Date..

Record date is the date on which the list of mutual fund (MF) unit holders who are eligible to receive dividends is populated. The unit holders, whose names figure in the books on the record date, will be considered for dividend distribution. Dividend is declared on the face…

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Mutual Fund : Dividend & Growth Options..

Mutual fund (MF) investors always have the option to choose between Growth and Dividend Options (plans). The choice boils down to whether or /  not you want intermittent cash flows from your investments or / whether you want the cash to accumulate. The dividend option of an…

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