How mutual funds can address your liquidity goals…

When we talk of mutual fund investing goals, the typical parameters considered are risk, returns and tax benefit. However, mutual funds also satisfy another major goal of liquidity. Mutual fund units are extremely liquid and are required by SEBI regulations to offer you buy and sell transactions on a daily basis at the NAV. One of the big benefits is that mutual fund units, whether equity or debt funds, can be liquidated at short notice. Here are some of the ways that mutual funds can address your liquidity needs… Continue reading

How mutual funds help investors manage their risk better…

Apart from maximization of returns one of the key considerations of investing in a mutual fund is to minimize your risk. In technical parlance that is called optimization; that means you reduce your risk per unit. In other words, you try to minimize the risk for a given level of return or you try to maximize the return for a given level of risk. But how exactly do mutual funds help you manage your risks better? Continue reading

How and Why to continuously monitor your financial goals…

Once your financial goals are defined and set, they need to be monitored continuously. The monitoring of goals is essential for a variety of reasons. Firstly, your goal posts may have changed and hence you may need to tweak your goals as well as your financial plan to achieve the same. Secondly, changes in inflation and interest rates may change your path to your financial goals. Thirdly, goal outlays may change due to factors entirely beyond your control. For example, your dollar cost of foreign education may go up substantially if the rupee depreciates vis-a-vis the dollar. Last, but not the least, certain requirements may come up in between which you had not anticipated initially. This also needs to be provided for while monitoring your financial plan… Continue reading

How to define and set your financial goals…

The process of financial planning begins with identifying your goals. That is exactly where the confusion begins. Most people who want to plan their financial future are not really aware of the logic underlying the setting of financial goals. Here are 6 basic characteristics that will give you an idea of how financial goals need to be set. Continue reading

Tata Steel

How Tata Steel is rethinking its business model…

As the stock markets rallied sharply post the Union Budget gaining over 14% in one month, one stock that stood out was Tata Steel. One can understand the hype around commodities, a global re-rating of steel etc. In case of Tata Steel, it is recognition by the market that the company may be finally putting its follies of the last decade behind… Continue reading

%d bloggers like this: