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The analogy between establishing a Mutual Funds portfolio and building a house is popular. To put it another way, every piece of content, plan, and strategy must work together to create something meaningful. The value you obtain from your Mutual Funds investment is determined by a number of factors, and knowing these aspects may help you get the most out of your investment. It's critical to put together a well-thought-out portfolio to guarantee you get returns during both good and bad market periods. The advantages of a well-diversified Mutual Funds portfolio Mutual Funds are investing techniques that allow you to pool your money with that of other investors to purchase a portfolio of Bonds, Stocks, and other assets that would be difficult to replicate on your own. A portfolio is a term used to describe this strategic approach. The decision to invest in Mutual Funds to achieve your financial objectives is the first step in your investing journey. Let's have a look at a few of the advantages of having a well-thought-out Mutual Fund portfolio. Conveniences The most obvious advantage of having a well-designed Mutual Funds portfolio is this. It relieves you of the burden of managing several assets in both equity and debt while giving you with the best possible returns. Because your fund will be actively managed by financial experts, they will always strive to meet your pre-determined strategy goal. Diversification of your portfolio The money collected in Mutual Funds is spread over various investment vehicles, creating a diversification component. This lessens the impact that a single or group of securities can have on your portfolio. As a result, a diversified portfolio helps you to manage risk by investing in a number of asset classes in accordance with your financial objectives. Accounting of Taxes The portfolio's assets or securities may pay interest or dividends on occasion. This aids in the generation of revenue that should be distributed to investors on a regular basis. As a result, investors who own Mutual Fund shares at the time of the distribution must pay taxes on the money. Income from mutual funds that invest in municipal bonds, on the other hand, is usually free from state and federal taxes. You must be careful not to over-diversify or become overly cautious while arranging your investment. This might cause you to miss out on amazing possibilities while also resulting in poor returns. To be effective, your portfolio should be tailored to your financial objectives and risk tolerance.

Investors in mutual funds frequently compare their funds' performance to that of other fund companies' similar schemes. In the case of NPS, however, the majority of investors do not do so. Previously, indexing rules caused NPS schemes to provide comparable results. However, as indexing constraints have been gradually removed, fund managers have begun to produce a wider range of returns. As a result, the performance of NPS funds must be reviewed on a regular basis. There is currently sufficient historical data to analyse and compare the performance of your NPS funds to that of other fund managers. You can simply see if you need to replace your NPS fund management based on this comparison. How often should you check on the performance of your NPS funds? According to experts, little underperformance in your NPS fund each year might compound to massive underperformance over time These assessments, like other investing alternatives, might be based on specific occurrences. While you do not need to respond to every piece of news, you should assess whether any major changes have occurred, such as a change in fund management, a change in fund management style, and so on. As of right now, this isn't a major concern because such instances are quite uncommon in NPS. How to Conduct a Review of your NPS funs? Because NPS is based on NAV and is subject to market forces, its review process may resemble that of mutual funds. First, check to determine whether your fund manager is underperforming the competition. This comparison should be based on a relatively lengthy time, such as 1-3 years, rather than short term returns of 1-3 months. The goal of this exercise is to help you determine whether or not you should examine your NPS manager. Please keep in mind that what we're advocating is only a review, not a change, as a result of one year of poor performance. When you realise your fund manager is underperforming, the next step is to investigate why and if you believe you lack the skills to conduct such a review, you should seek the assistance of an investment professional. You cannot select separate managers for each asset type The primary advantage of NPS is that switching from one fund manager to another does not result in tax incidence. Because of the open design of NPS, moving between fund managers will be tax neutral. However, NPS imposes a limitation in this regard: you cannot have separate fund managers for different asset classes. Examine asset allocation as well Asset allocation reviews, like yearly fund manager reviews, are required on a regular basis. How often should this be done? However, NPS imposes constraints on this, allowing you to switch between schemes just twice a year. Experts recommend switching between schemes twice a year since asset allocation is crucial throughout the accumulation period

Industries, especially information and technology, are currently experiencing significant attrition as organisations look for new personnel to work on new initiatives. In the race to fill vacancies, hiring employers are even purchasing new employees' notice periods. If you are one of these workers who is departing your current job without giving the appropriate notice time as stated in your offer letter, be prepared to pay 18% GST on the whole notice money (amount paid to your company for not serving the notice period). The Central Board of Indirect Taxes and Customs' Authority of Advance Ruling (AAR) recently made a decision in the case of Bharat Oman Refineries, a subsidiary of state-owned Bharat Petroleum. In this case, GST will be charged on different employees' recoveries, and it will be based on the amount of money that they get back. In addition, companies pay the phone bills of their employees. They also pay for group insurance for their employees, and they pay salaries in part or in full notice period. Since the company is "providing a service" to an employee when it pays them notice pay so GST should be charged on that service. A tax is charged on any activity that is seen as a service, whether it is done directly or if it is thought to be done. Some of the tax experts think that the Authority of Advance Ruling (AAR) doesn't show the right way that the law works.

Prior to the Reserve Bank of India's (RBI) bi-monthly monetary policy meeting, Several private sector banks such as HDFC Bank and ICICI Bank changed their fixed deposit interest rates. On December 1, 2021, HDFC boosted its interest rates on Domestic / NRO / NRE Fixed Deposits of less than Rs. 2 Cr, whereas on December 4, 2021, ICICI Bank amended its interest rates on Domestic / NRO / NRE deposits. In this post, we'll compare the current fixed deposit interest rates of ICICI Bank, Yes Bank, and HDFC Bank to those of the State Bank of India (SBI). HDFC Bank FD Interest Rates- HDFC Bank altered its interest rates on domestic / NRO / NRE fixed deposits of less than Rs. 2 crore on December 1, 2021. The general public will now get a maximum interest rate of 5.50 percent on their savings, while senior people will receive a maximum interest rate of 6.25 percent, thanks to the most recent change. HDFC Bank's most recent interest rates on domestic, NRO, and NRE deposits of less than Rs. 2 crore are listed below. Yes Bank FD Interest Rates: Yes Bank, one of India's leading private-sector lenders, revised its fixed deposit interest rates on November 3rd, 2021. On resident fixed deposits of less than Rs. 2 crore, Yes Bank is now offering an interest rate of up to 6.25 percent to the general public and 7.00 percent to senior persons. The most current fixed deposit interest rates from the bank are listed below. ICICI Bank FD Interest Rates: With effect from December 4, 2021, ICICI Bank has changed its fixed deposit interest rates, and as a result of the most recent change, the bank now provides an interest rate of up to 5.60 percent to the general public and 6.30 percent to senior citizens. The interest rates on domestic, NRO, and NRE deposits of less than Rs. 2 crore that the bank has altered are mentioned below. State Bank of India FD Interest Rates: The country's largest lender, revised its fixed deposit interest rates at the start of this year, and the new rates will take effect on January 8, 2021. SBI's most recent interest rates on retail domestic term deposits (under Rs. 2 crore) are listed below.

Only refinance if the potential savings in the long term appear to be considerable. The Reserve Bank of India (RBI) has dropped the repo rate by 0.5 percent in recent quarters, which has been followed by rate decreases by banks and lenders. Borrowers have benefited from cheaper home loan rates as a result of this. Suresh  has a Rs. 3 crore home loan that he took out at an interest rate of 11.20 percent. His loan is for a period of 20 years. He wants to refinance his Home Loan for the remaining term at a rate of 10.50 percent to take advantage of the declining interest rate cycle after making payments for seven years. Will this be a good choice? Is a Balance Transfer the best option for him? Many current borrowers might consider moving their Home Loan to a different lender to take advantage of the cheaper rates and EMIs. Refinancing may be quite helpful if done correctly. However, Suresh must do a comprehensive cost-benefit analysis before proceeding. It's critical to time the loan refinancing so that the amount of money saved on interest is maximised. Suresh would benefit from transferring because he has just completed seven years of his loan term. As his EMI is largely made up of the interest component, this indicates a considerable chunk of his principle is still owed. The interest component will decrease with time, but the principal component will increase. Instead of deciding to move based just on the interest rate disparity, Suresh must evaluate all expenditures (including pre-payment charges and the new loan's processing fee) as well as the inconveniences of repetitive paperwork that comes with Balance Transfer when calculating the possible savings. It goes without saying that refinancing is a good idea only when the long-term savings are substantial. What You Should Know? Credit risk funds are a type of Debt Mutual Fund that invests at least 65 percent of its assets in securities with a credit grade of less than AA. These funds have the potential to earn substantial returns since they take on more credit risk by investing in lower-rated, higher-interest-paying paper. When a security's rating rises, it offers the benefit of capital gains. Downgrades, on the other hand, might result in a capital loss. These funds also have a higher liquidity risk and a higher risk of default due to the nature of the underlying investments. It's a good investment for someone with a medium to long time horizon and a high risk tolerance. .

People are busy shopping lavishly, planning trips , Organizing parties to celebrate New Year with enormous delight and grandeur . What if you put half of your money into money-saving devices in order to have a more solid and secure future? By looking into the greatest investment options in India, you can ensure that your family is financially secure through difficult times and make more earnings to keep them happy and calm for the rest of their life. Why is it more wise to invest rather than shop? While most individuals choose to acquire gold jewellery, clothes, furniture etc. they may earn larger returns by investing in financial products. As a result, if you plan to invest assets in financial products over the holiday season, you might expect to see faster returns. While we appreciate that individuals like spending money on festivities, putting money in financial products such as Mutual Funds may be a great way to make significant gains. What makes mutual funds the greatest option for investing this holiday season? Mutual Funds are frequently misunderstood by investors as a complicated investing product. In actuality, it is one of the most straightforward and successful investments available, with several benefits like expert Money Management, diversification, economies of scale, liquidity, and transparency, to mention a few. Mutual Funds are a collection of assets that include a variety of securities such as debt, equity, and money market instruments to create a comprehensive investment portfolio. Some of the benefits of investing in mutual funds during this holiday season are listed below: Diversification in Mutual Funds: Diversification is one of the most appealing aspects of investing in mutual funds. It is a method of increasing the value of a particular investment across a variety of asset classes. Diversification aids investors in constructing a diversified portfolio that invests in a variety of industries based on their risk tolerance. Management Expertise: Many investors lack the time or financial resources to do research and purchase individual investment stocks. Professional management can help in this situation. Several individuals put their money into mutual funds because of the professional knowledge they give. A Fund Manager is responsible for regularly managing fund investments and coordinating the portfolio to meet the fund's objectives. One of the most essential advantages of a Mutual Fund is the skilled management. Improved liquidity: To fulfil your financial needs, you may easily exchange Mutual Funds. The proceeds are deposited in your bank account within a few days of liquidation, allowing for faster disbursement.