Sarbajeet K Sen

Over the past year, consumption funds yielded returns of 28.6 per cent, lower than PSU (46.4 per cent), pharma (42 per cent), infrastructure (39.1 per cent), and technology (37.8 per cent)

LDFs carry significant interest rate risks. Rapid rate increases could result in MTM losses

Investors should approach ETFs as long-term investments and avoid frequent trading

These funds invest in money market instruments maturing in less than 91 days, including treasury bills, commercial papers issued by corporates, and certificates of deposits issued by banks

Altogether, 26 funds focused on pharma and healthcare collectively manage Rs 30,306 crore. Some of them offer exposure to global pharma stocks

MNC funds invest in companies where foreign promoters have more than 50% shareholding

Globally, regulators, rating agencies, and institutional investors have led the charge in promoting ESG investing

Opt for passive funds to reduce fund manager risk and capitalise on their lower costs

Investors with a longer time frame will be better off investing in longer-tenured FDs

Their risk-return profiles can vary widely. Equity-focused schemes may perform better in a bull market, while debt-oriented ones may offer greater stability during volatile periods

Flexi-cap funds invest across market caps without fixed allocation limits

These schemes invest at least 80 per cent in shares of technology companies. As of August 31, 2024, 26 technology sector schemes managed assets worth Rs 45,637 crore.

The FoF fund manager picks multiple schemes, depending on the FoF's mandate

"Companies that pay high dividends typically have strong cash flows and tend to be more stable," Atul Shinghal, Founder and CEO of Scripbox, says

Since banking and financial services is a large listed space, it has 55 passively and actively managed funds. The most recent addition is Bandhan Nifty Bank Index Fund

Multi-cap schemes allocate at least 25 per cent each to large, mid, and small-cap stocks, with the remaining 25 per cent invested at the fund manager's discretion

The Reserve Bank of India (RBI), too, left the benchmark repo rate unchanged at 6.5 per cent and kept the policy stance unchanged on Thursday

The international market has also seen a dip in gold prices, with a 4.5% correction from recent peaks due to a potential slowdown in seasonal demand

They remain attractive for investors having higher risk appetite and longer horizon

The Budget has proposed to cut the rate of TDS to 2% from 5% earlier for rents paid in excess of Rs 50,000 by an individual or an HUF, for a month or part thereof