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What are Bonds, NCDs? How to invest in NCDs in India

NCDs generates high returns. The Financial advisors push you to buy them. How to decide what to buy? Let’s see what are bonds or debentures and should we buy them?

What is NCD? 

NCD is a fixed income instrument. Apart from taking bank loans Corporates, NBFCs raise money through issuing debentures. It is a financial instrument issued by corporates to support their business needs. There are two type of debentures, convertible debentures and non-convertible debenture. Convertible debentures are unsecured bonds and can be converted into equities or stocks at a future date as specified by the issuer.

NCD is financial instrument used for taking loan from the financial market. It cannot be converted into equity shares of the issuer in a future date, hence it offers higher interest rate. The NCD offers atleast 1.5 – 2% higher interest than any fixed deposit by a reputed bank and company deposits. NCDs come in both secured and unsecure form, secured #NCDs are backed by assets. Unsecured NCDs entails higher risk.

Added Edge

1. What makes it more attractive is, in the falling interest regime, the bond prices may surge, hence the value of the funds.

2. No TDS deducted on the demat form of investment (physical form does)


Points for the new investors

1. Once you come to know about a new NCD offer, check with your stock broker for online application.

2. Like any other IPO, it has a NCD comes with opening and closing dates

3. NCD offers coupon rate. Coupon rate is the interest rate paid on a bond by its issuer for the term of the security. For example, if a NCD issue comes with a face value of Rs. 100 and coupon rate 10%, the interest earned will be Rs. 10 per annum. However, in the tenure if the NAV price falls or surge, it will have no impact on the interest pay out, it will continue as Rs. 10 per year throughout the tenure. Hence, coupon rate is fixed on the offer price and continue through maturity 

4. Check for the credit rating allotted by #ICRA, #CRISIL, #CARE (triple A rating Suggest good financial health of the issuer, double A may give higher coupon rate, triple A ensures safety of your capital)

5. NCDs are also traded on stock exchanges. Apart from the new offers, investors can also buy exiting NCDs through stock exchanges, however, one need to be double careful and seek guidance from financial planner.  

6. Interests are generally paid through direct credit, RTGS, ECS and NEFT mode. It may offer monthly/ quarterly/ annually/ cumulative options.

7. Tax – The investment is taxed at short term (less than a year) and long term capital gain (debt investment more than 3 years are taxed at 10%) depending on the holding period. The interest will be taxed as per the tax bracket of the investor.

8. This is as liquid as a bank fixed deposit. However, there is no penalty fee for pre-mature withdrawal of this investment

9. Additional Features – Some NCD public issues offer special rate of interest to Senior citizens or to shareholder.

Pros

1. It’s #liquidity is as good as any fixed deposit in bank, which has a specific tenure but can be withdrawn any time. However, FD may charge a penalty fee on interest accrued.. but incase of NCD, there is no penalty.

2. If it is compared with company fixed deposit, company deposits (a popular instrument in the senior citizen segment with 0.25- 0.50% extra interest)comes with various conditions for pre-mature withdrawal, for eg – lock-in periods, penalties etc.

3. NCDs come with Rating from #ICRA #CRISIL #IndiaRatings #CARE which gives a clarity to the investor on the risk involved, higher the rating, lower is the risk (AAA being the highest category, followed by AA, A, A-, BBB and so on)

4. Incase of bankruptcy,Secured NCD holders get preference over shareholders


Cons

1. Incase interest rate increase, the value of the NCD may fall, sometimes even below the Face Value. But this is only applicable for secondary market transactions

2. Though, the instrument can be traded on the exchanges, one may not find a buyer for NCDs if the trade volumes on bourses are low.

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Edelweiss Small Cap Fund – NFO Review (Jan 25,2019

Edelweiss Small Cap Fund – NFO Review

Indian Financial Market scenario – The stock market is at 10,864 at Nifty as o Jan 25th, generated  -2.5% return, the mid-cap index has shown a weaker performance with -13.5 in 1 year tenure. However, twist is Smallcap index has consistently beaten the nifty index since 2003. This is an election year. Investing in top mutual funds with SIP route would prove beneficial in the long run. 

Category analysis – As per news and market information, Nifty midcap index has generated over 20.30%, in 2 years category and 54.60% in 3 year period. Investing in midcap and small cap mutual funds through SIP has been a significant wealth generation vehicle over the years.

Midcap-small cap category is ideal for investors with high-risk appetite, believe in Mutual Fund investment through SIP. Best Mutual Fund invest in this fund in this category is through long term SIP. Top mutual funds in this category are SBI Small Cap Fund, DSP Small cap Mid cap and Reliance Small cap fund.

The fund house – Edelweiss Mutual Fund Ltd. is part of Edeweiss group, started about a decade ago, has six actively managed equity funds, four hybrid funds, seven debt funds, three ETFs and five fund of funds. Edelweiss MF Ranks at 21 as per the AUM Data available at AMFI site as on dec 2018. It is a mid-size mutual fund company with portfolio of 11,894 crore (asset under management) as per Dec 2018 data

Mutual FundEdelweiss Mutual Fund
Scheme NameEdelweiss Small Cap Fund
Objective of SchemeThe investment objective of the scheme is to generate long term capital appreciation from a portfolio that predominantly invests in equity and equity related securities of small cap companies. However, there is no assurance that the investment objective of the Scheme will be realized and the Scheme does not assure or guarantee any returns.
Scheme TypeOpen Ended
Scheme optionsGrowth and dividend
Scheme CategoryEquity Scheme – Small Cap Fund
New Fund Launch Date18-Jan-2019
New Fund Offer Closure Date01-Feb-2019
Indicate Load SeperatelyNo entry load, exit load – 1.00% <1year< NIL
Minimum Subscription Amount5000
For more information  Please Visit Website Onlinewww.edelweissmf.com (Buy mutual Fund online)

INVESTMENT OBJECTIVE   The investment objective of the scheme is to generate long term capital appreciation from a portfolio that predominantly invests in equity and equity related securities of small cap companies. However, there is no assurance that the investment objective of the Scheme will be realized and the Scheme does not assure or guarantee any returns. 

Asset allocation pattern

Investments Indicative Allocation 

Equity related securities of Small Cap companies* 65% to 100% Medium to High 

Equity and Equity related securities of other companies 0% to 35% Medium to high 

Debt and money market instruments^ 0% to 35% Low 

Where will the scheme invest?

Subject to the Regulations, the corpus of the Scheme will mainly be invested in any (but not exclusively) of the following securities: 

Investment in Equity securities: The Scheme will invest in Equity and Equity related instruments inclusive of convertible debentures, equity warrants, convertible preference shares, equity derivatives etc.

Derivatives: The Scheme may invest in Derivative Instruments subject to SEBI guidelines. Derivative products are specialized instruments that require investment techniques and risk analysis different from those associated with stocks and bonds. The Scheme may invest in the following Equity Derivative Instruments like: Futures and Options

Foreign Securities 

Debt Securities – Government Securities, Commercial papers, certificate of deposits, T-bills, fixed deposits etc.

Also, Investments in the Schemes of Mutual Fund

Fund manager details 

Name and ageEducationExperience
Mr. Harshad Patwardhan, 47 yearsB.Tech. (IIT), MBA(IIM) and a CFAqualificationMr. Harshad Patwardhan, is a B.Tech. (IIT), MBA (IIM) and a CFA by qualification. Mr. Patwardhan has an overall work experience of over 23 years in the investment management function and has joined Edelweiss AMC as Chief Investment Officer  ‐  Equity and a key personnel. Prior to joining Edelweiss AMC, he was associated with JPMorgan Asset Management India Private Limited since June 2006 as CIO‐ Equities. Prior to that Mr. Patwardhan worked for two years with Deutsche Equities India Private Limited as a senior research Fund Manager: 1. Edelweiss Large & Mid Cap Fund 2. Edelweiss Tax Advantage Fund 3. Edelweiss Multi‐Cap Fund 4. Edelweiss Mid Cap Fund 5. Edelweiss Long Term Equity Fund (Tax Savings) Edelweiss Small Cap Fund 35 analyst and has had extensive experience with several foreign brokerage houses covering a variety of sectors.  

Should You Invest? – This is best mutual fund category for inestors with high risk appetite and for a long term goal, SIP in this mutual fund category can earn investors high return over a 8-10 years period. Investor can have some exposure in this category, the fund manager is well experienced, the mid-cap fund managed by him has generated handsome return over 5 years, he has been in the fund management tea of other 5 mutual fund schemes. Other mutual fund companies like SBI Mutual Fund, DSP Mutual Fund and Reliance mutual fund have Best Mutual Fund to invest in SIP in this category. 

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Aditya Birla Sun Life Dual Advantage Fund – Series 2 NFO Review. Should you invest?

Aditya Birla Sun Life Dual Advantage Fund – Series 2 NFO Review. Should you invest?

Name of the scheme: Aditya Birla Sun Life Dual Advantage Fund – Series 2

This is an election year, a year expected to be filled with volatility in the markets and Mutual Fund companies have geared up with offerings to suit the investment behaviour of investors. To engage conservative retail investors, the fund offers high exposure in fixed income category, yet aiming to give some higher return with stock investment upto 30%, top mutual fund companies have come up with hybrid funds in many forms. 

Aditya Birla Sunlife’s New Fund offering is one such case in point.  Aditya Birla Sun Life Dual Advantage Fund – Series 2 is a closed ended Hybrid fund is highly tilted to the fixed income category. 

Mutual FundAditya Birla Sun Life
Scheme NameAditya Birla Sun Life Dual Advantage Fund – Series 2
Objective of SchemeThe primary investment objective of the Scheme is to generate income by investing in a portfolio of fixed income securities maturing on or before the maturity of the Scheme. The secondary objective is to generate capital appreciation by investing a portion of the Scheme corpus in equity and equityrelated instruments.The Scheme does not guarantee/indicate any returns. There can be no assurance that the schemes’ objectives will be achieved.
Scheme TypeHybrid fund
Scheme CategoryClosed Ended fund
Liquidity The Scheme will have a duration/tenure of 1180 days from and including the date of allotment. The NAV of the Scheme will be announced on every business day. No redemption or repurchase will be permitted prior to maturity of the Scheme. The Scheme will be listed on NSE / BSE and/or any other recognized stock exchanges as may be decided by AMC from time to timeand the Unit holders who wish to redeem units may do so through Stock Exchanges at prevailing listed price on such Stock Exchange.
New Fund Launch Date17th January 2019
New Fund Offer Closure Date1st January 2019
Indicate Load SeparatelyNo exit load , no entry load
Minimum Subscription AmountRs. 1,000/- and multiple of Rs. 10/-there after
BenchmrkCRISIL Hybrid 75+25 – Conservative Index

Intended portfolio allocation (Debt – 70-95%, Equity – 5-30%)

InstrumentsCredit Rating
A1 AAA AA A Not Applicable
Certificate of Deposits (CDs)0-5%– –––
Commercial Papers (CPs) 0-5%–
Non-Convertible Debentures (NCDs)–30%-35% 25%-30% 15%-20% –
Government Securities––––0-5%
Treasury Bills/ CBLO/ Reverse Repos/ Liquid Schemes––––0-5%
Equity and Equity related securities––––5%-30%


Source – Amfi

What is a Mutual Fund NFO – A new fund offer occurs when a fund is launched, allowing the firm to raise capital for purchasing securities. Mutual funds are one of the most common new fund offerings marketed by an investment company. The initial purchasing offer for a new fund varies by the fund’s structuring.

Investment vehicle analysis – It is a debt tilted hybrid scheme, having upto 30% equity exposure.  

INVESTMENT STRATEGY 

Fixed Income Strategy: Investments in fixed income / debt investments would be made only in securities which will mature on or before the date of the maturity of the Scheme. Scheme will invest in the fixed income / debt securities with a view to hold them till the maturity. The scheme has the flexibility to invest in the entire range of debt instruments. The actual percentage of investment in various fixed income securities will be decided after Scheme Information Document considering various factors like the prevailing interest rate and inflation scenario, performance of corporate sector, general liquidity and other considerations. 

Equity Strategy: The corpus of the equity component of the scheme will be primarily invested in diversified equity and equity related securities of the companies that have a potential to appreciate in the long run to achieve the market linked appreciation (upside) and premium of exchange traded options. The Scheme will primarily focus on companies that have demonstrated characteristics such as market leadership, strong financials and quality management. The quality or strength or management would be a key focus area

Fund manager details 

Debt Fund manager

Name an ageEducational QualificationExperience
Mr. Mohit Sharma, Age – 38 yearsPGDCM – IIM Calcutta; B Tech – IIT MadrasHe has around 13 years of experience of which 10years are in financial markets. He joined Aditya Birla Sun Life AMC Ltd on October 2015. Prior to joining Aditya Birla Sun Life AMC Ltd, he ran his own healthcare- tech business (June 2012 – May 2015). He has also worked as an Interest Rates Trader in Standard Chartered Bank (May 2007 – June 2011) and ICICI Bank Ltd (June 2006 – April 2007). He started his career in the Equity Research in Irevna Ltd (June 2005 – June 2006).

Equity Fund manager

Name an ageEducational QualificationExperience
Mr. Vineet Maloo 36 yrs B.Com.C.A. Has around 14 years of experience in Financial servicesPrior to joining ABSLAMC He had been providing analytical support to the Chief Financial Officer of Hindalco Industries Limited, prior to which he has worked with Aditya Birla Management Corporation Ltd. & M/s. D. K. Chhajer & Co., Chartered Accountants

RISK FACTORS ASSOCIATED WITH CLOSE ENDED SCHEMES: 

∙ A close ended scheme endeavours to achieve the capital appreciation only at the scheduled maturity of the scheme. However, there is no assurance that the said objective will be achieved at the scheduled maturity of the Scheme and there is a risk that the capital invested may not be fully realisable upon maturity of the Scheme. 

∙ Moreover, given the uncertain nature of equity markets, the AMC may be required to liquidate the equity portfolio and the proceeds may be kept in cash and invested largely in cash equivalents/money market instruments towards the Maturity/Final Redemption date and to that extent these investments made may not be in line with the asset allocation pattern. 

∙ Investors who wish to exit/redeem before the scheduled maturity date may do so through the stock exchange mode. For the Units listed on the exchange, it is possible that the market price at which the Units are traded may be at a discount to the NAV of such Units. Hence, Unit Holders who sell their Units in a Scheme prior to maturity may not get the NAV returns.

To invest or not – This is a retail focused fund, with a protection with high rated bonds and minimum exposure in equity. The minimum investment amount is Rs. One thousand. However, this is a closed ended fund, it means, the investors can only invest during the NFO period and exit on maturity. Investors neither can invest during the tenure nor withdraw (except demat format, one can trade depending on the liquidity). It leaves investors with no option to invest incase of a market fall or withdraw incase it has given extra ordinary return. Though the investment is for fixed tenure, it doesn’t have guaranteed return You may check https://www.amfiindia.com/new-fund-offer for FMP instruments. This is a clear NO for small and new investors. An savvy mutual fund investor can look at investing upto 10% of their cash/ fixed income portfolio in these kind of investments.

There are many balanced funds like ICICI Prudential Balanced Advantage Fund, Tata Balanced Fund etc. Incase anyone wants to block money for a period, Fixed Maturity plans with complete debt investment  may fetch bit higher return compared to fixed deposits.

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IIFL NCD issue Jan 2019, should you buy or avoid?

IIFL NCD issue Jan 2019, should  you buy or avoid?

India Infoline has launched NCD issue Jan 2019. Should retail investors buy? Bond issues targeting an assorted investors includng retail investor has been a common theme in the last year. After a series of debenture issues in 2018, now India Infoline finance has come up with an issue of Rs. 2000 crore this year.

What is Bond or NCD?

About the Company – IIFL Holdings Limited – Incorporated in 1995, Listed on NSE and BSE in 2005. IIFL has pan-India presence as well as subsidiaries in major global financial centres. IIFL is three key group companies, India Infoline Finance, IIFL Wealth and IIFL Securities.

IIFL Wealth – Family office, AIFs, advisory and distribution services 

IIFL Securities – Retail and institutional broking, investment banking 

IIFL Wealth – Family office, AIFs, advisory and distribution services 

IIFL Securities – Retail and institutional broking, investment banking 

IIFL Finance deals with Home finance, LAP, Gold loan, Commercial Vehicle, SME and Micro Finance loans. India Infoline Finance Limited (IIFL Finance) was incorporated in 2004 under the flagship of IIFL Holdings Limited and presently offers small-ticket loan products to retail borrowers, delivered through a pan India branch network of 1,755# branches and digital channels. Now it has a two ddistinct subsidisry a micro finance company and a home fiancé company.

Object of the issue – For the purpose of onward lending, financing and for repayment/prepayment of interest and principal of existing borrowings – At least 75% of the Net Proceeds of the Issue. The money also will be used for General Corporate Purposes – up to 25% of the Net Proceeds of the Issue. An investor with a demat account can apply for the issue. Issue opens on 22nd Jan, and closes on 20th Feb, however, the allotment is on first cum first served basis. NCD unit priced at 1,000, on can apply for minimum 10 units.  Issuer aims a raising funds of Rs 2000 cr

Nature of bonds – Secured and Unsecured NCDs

Credit Ratings “AA/Stable” by CRISIL and ICRA,”AA+/Stable” by Brickwork

The company offered both secured and unsecured debenture in this issue. The secured fixed income instrument offers a tenure of 36-60 months, with coupon rate varying from 9.5 – 10.2% interest. Category 1 – Corporates, category II – Non-institutional investors, III – HNIs, Category IV – Retail investors. Retail investors can subscribe upto 30% of the issue.

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Mymoneystreets take – Indiainfoline is an established name in broking, NBFC, Mutual Fund and as investment firm, it is also and established distributor of financial products. The current issue of the company is offering atleast 2% higher return compare to bank fixed deposit. With AA rating, investors can look at invest in the secured debentures. Unsecured debentures carries higher risk and higher return.   Investor can look at 30% of fixed income allocation in NCD portfolio to give it an edge and diversification.

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Top 5 tax saving mutual fund schemes (ELSS) for 2019

We approach 2018-19 financial year end, search for the best tax saving instrument under 80C ends at tax saving #ELSS mutual fund schemes. By far the best investment tool with double tax benefit, in investment and accumulation, return in is taxed at 10% above 1 lakh profit.

With the lowest lock-in period of 3 years and maximum exposure to the capital market, it is a wealth creator for young professionals or anyone who wishes to focus on long-term wealth creation through equity market. For the beginners, ELSS is an actively managed equity fund by experienced fund managers with an equally equipped equity research team. Over last 5 years, ELSS category has given over 15% annualised return on an average which is way higher than any other tax saving tools. Hence, it is my favourite tax saving instrument.

Top 10 reasons to invest in ELSS schemes –

  1.  Minimum investment for a monthly investment is Rs. 500
  2.  No obligation of repeat investment in the same fund every year
  3.  No maturity/redemption obligation on completion of 3 years (unless specified by the   fund/scheme), can withdraw anytime once the lock-in period is over
  4.  It can be held as long as the investor wants, giving it a chance to build long-term wealth
  5.  The fund is managed by able fund management teams
  6.  Low fee structure and expenses, about 2-2.5% yearly
  7.  No long term capital gain tax
  8.  Investor has an option to choose between dividend or growth fund
  9.  The dividend earned on these funds are taxed at 10%
  10.  SIP method of investing would help in cost averaging

Some point of concerns –
As it is a pure equity investment, it carries market risks, highly volatile. The SIP mode of investment signifies each purchase will have a separate lock-in period of 3 years. However, it is still recommended as a wealth creator tool. 

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Top 7 #Taxsaver #ELSS schemes for 2019

ELSS SchemesAUM in croreReturns for 3 YearsReturns for 5 yearsRatings
#DSP-BR Tax Saver Fund142025.520.85star
#Reliance Tax Saver557929.221.33star
#Axis Long Term Equity Fund995624.121.63 star
#Birla SL Tax Relief 96230824.119.84star
#Franklin India Tax Shield219622.917.93 star

I have listed 7 top ELSS scheme based on 5 parameters–

1. Funds with over 7 years existence

2. AUM over Rs. 1000 crore

3. Fund house

4. Return analysis over 5 years

6. SIP Return of 5 years

5. Rating consistency by CRISIL/ Value Research

#DSP-BR Tax Saver Fund

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This fund is out an out consistent over last 10 years. It has consistently beaten the index over 1 year, 3 year, 5 years return. This fund has out ranked most other funds in ELSS category in the period. Investment details – The fund aims to generate medium to long-term return on majority investment in equity and equity related instruments.The fund has over 20% exposure in banking and finance sector however invested mostly in private sector banks, so less chance of getting affected by NPA. It has some quality cyclic stocks.

#Reliance Tax Saver Fund

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ELSS fund with over 10 years existence, AUM over 5.5 thousand crore comes from a good pedigree. Rated 3 stars by CRISIL, the fund has beaten indices over 3 years and  5-year trailing returns. In the 1 and 2 year category, has been below the indices in many cases. It is a good investment with high-risk appetite. It has also given the highest return in the SIP for 10 years category. Investment details – This is a mid-cap, small-cap heavy fund, aims to generate wealth over long term. Fund manager looks for value buy of stocks with bottom-up stocks picking approach. The portfolio is well-diversified and spread across sectors. 

#Axis Long Term Equity Fund

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With an AUM over 9,900 crores as of 20th Jan 2017, it leads the ELSS scheme in the top position. It has lagged in last 1 year in comparison to its peers and indices, but over 3 years, 5 years returns it is in the top 5 ranks. 

Investment details – The scheme aims to generate regular long-term capital growth from a diversified portfolio of equity and related securities. It invests in companies with strong growth and sustainable business model. It has equity exposure up to 95%, given some trailing returns in the short-term but expected to even out over long term. It is still a good choice. It avoids buying companies which have excessive business uncertainty on account of cyclical, regulatory, political risks.

#Birla Sunlife TaxRelief 96   

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A fund with good pedigree has a defined track history over20 years has a AUM of 2.3 thousand crore belong to good fund pedigree. In last 1year, it is trailing the index. While in 2, 3, 5 years returns, it has beaten indices return with significant margin. It has generated over 100% return over years. Investment details– It is a multicap fund with well-diversified portfolio. However, fund has a cyclical stock bias, which has its own effect on return cycles. Well diversified in its approach, the top 5 holdings only account for 26% of the portfolio.

#Franklin India Tax Shield

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A fund with a track record over 7 years has been at par with index returns for 1 year and for over 2,3 and 5 years it has performed well above indices. This fund tends to be less volatile compared to its peers. Investment details– The process of the fund house is robust. This fund is known for having conservative approach, bottom-up style of stock picking and having growth style of investing. The fund with a large-cap bias which accounts for almost 60% of the portfolio has a 25% exposure in mid-cap, small-cap category.  Well diversified in portfolio construction, the top 5 holdings accounts for only 26% of the portfolio. 

Don’t break your head over minute investment return details, it is a game of sector allocation, Mkt-cap of companies and economic cycles. Choose a fund with a basic research and your investment style as criteria. #ELSS is nothing but an equity mutual fund and over long-term it is expected to give good returns, which also provide #tax benefits under income tax act, section 80C. However, it is advised to consult a professional financial planner before investing.

Dynamic asset allocation funds

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Top 10 personal finance blogs globally and why I love them

So happy to say 3 top personal finance blogs are from India.  Indian blogs Bemoneyaware, Jago Investors and Basu Nivesh in the top the list! not being partial at all!

There are several blogs I follow globally, many of them I like just because they maintain a consistency on the subject they cover. Mostly very niche, within the personal Finance, they chose a topic – example – budgeting, loans, spending, investments or insurance. Based on their content, alexa and Moz ranking I have curated  a list of 10 personal finance blog you must have a look. The blogger in the personal finance list belongs to Asia, Europe, Canada, US even India.

1.       The Penny Hoarder – In 2017, Inc. 5000 ranked The Penny Hoarder as the No. 1 fastest-growing private media company in the U.S. for the second consecutive year, and #25 on the overall list of the fastest-growing private companies in America. With over 12-17 million reader per month and 1.2 million subscriber, they are in top of their game. The Founder and CEO of the blog, Kyle Taylor is an entrepreneur, philanthropist, and the founder & CEO of The Penny Hoarder. The blog cover huge array of topics from freebies, discount deals. The blog makes money interesting, catchy and funny.

     This blog enjoys an amazing ranking of 3,686 in the United States and global ranking of         14,637

2.       Bemoneyaware Being an Indian, its giving me great pleasure to list this blog on the top. The author, Kirti is a mother of 2 kids and a software professional. Having faced difficulty in the financial processes, in field of investing and other mundane transactions, she decided to start this blog, and this is one of the highest  ranking blog in India as well as globally.

     #The top Indian personal finance blog currently enjoys a Indian Rank of 5275 and a                  global rank of 68,800

3.       Jago Investor – An Indian finance blog, founded by Manish Chauhan and Nandish Desai in 2008) with the aim to educate more and more investors and improve their financial life by imparting financial education among them. They have been writing about personal finance and have been conducting various workshops in different indian cities. They have also authored various personal finance books. They work with clients across India from various cities and have a 10 member team across Pune and Ahmedabad.

The team has written 1000+ articles, 7 books amongst many other achievements.  
    #The top personal finance blog enjoy an Indian ranking of 12750 and global ranking of             163,000 in Alexa

4.  Get Rich Slowly – J.D. Roth. I founded Get Rich Slowly in 2006, published Your Money: The Missing Manual in 2010, created the year-long “Get Rich Slowly” course in 2014, and for four years contributed the monthly “Your Money” column to Entrepreneur magazine. In 2009, for reasons both personal and financial, I sold Get Rich Slowly — but stuck around as manager, editor, and primary writer until 2012. Then I “retired”. (Sort of.) In October 2017, he bought Get Rich Slowly back. The Canby, Oregon born founder has been featured On Forbes.

       #Listed on the top 10 #personal finance #blog, currently enjoys US Ranking – 21,200               and global ranking of 80,000.

5.  Basu Nivesh – This is Indian Finance blog is authored by Basavaraj Tonagatti. In his blog, he mentioned that the blog originated from the idea of educating people on personal finance. Apart from being a successful blogger with a big follower list, he is one of the few celebrated Fee Only advisers. (SEBI registered advisor). The blog is 8 year old and doing a great job on creating financial awareness amongst Indians. 
     This Indian personal Finance blog enjoys Indian ranking of 5,942 and a global ranking          of 78,500

6.       FrugalWoods– Liz, better known as Mrs. Frugalwoods, writes about a wide range of topics, including her experiences as a young  parent, her adventures as a novice homesteader, and the financial decisions that made our life possible. Her philosophy is that managing money wisely enables one to pursue unusual aspirations and opens up a world of options for how to live one’s life. She covers a wide range of category including biking, home improvement, health and beauty, holiday and special. Her blogs are engaging and makes me click every hyperlink.

      The blog has a US ranking of 44,000 and Global ranking of 1,96,000

7.       Oblivious Investor  – This one essentially is an investment blog. The author Mike Piper is a CPA and the author of several personal finance books. The point of this blog is to show that investing doesn’t have to be complicated. He dedicates this blog to spreading the idea that investment success is based upon following a few principles: Diversifying portfolio, minimizing cost and avoiding media noise.

      The blog enjoys a US ranking of 50,833 and Global ranking of 2,38,800

8.       Afford Anything – The beauty of the blog lies in its name- Afford anything. Accrding to the blogger –  Afford Anything is a movement rooted in one idea: You can afford anything, but not everything — and that’s true not only for your money, but also your time, focus, energy and attention.
The author Paula Pant has an elaborate CV to flaunt. Besides being the founder of  the award winning  website AffordAnything.com and a writer she is a speaker specializing in money, business and real estate investing.She has been featured more than four dozen major publications, including Forbes, Fortune, Money.com, AOL DailyFinance, Marketplace Money and many more.
She’s contributed to dozens of major websites, including U.S. News, AARP Bulletin, MSN Money, Bankrate, Hotpads, Trulia, Huffington Post etc.  She is the Budgeting and Personal Finance Expert for About.com.

     The blog enjoys US ranking (on Alexa) 42,725 and global ranking of 1,61, 600

9.     My Money Blog – The blog is run by Jonathan, based in United State and I’ve been sharing about money since 2004. He is a self-directed investor, financial freedom enthusiast, and calls himself a perpetual learner.  He is running the blog for 13 years.

      Enjoys a US ranking of 30,674 and a global ranking of 131,485

10.   Budgets Are Sexy – It is a 10 year old blog. Blogger blogs with the name J. Money. The blog covers savings, money management and tips. Budgeting is an important part in the blog.

      The #Top personal finance blog enjoys a US ranking of  27,895 and global alexa ranking        at 129,700

   As you are a special reader who have read the whole blog post, you deserve more. Here you go with one more blogpost which I really like for the money management lessons. 
    
       Squawkfox  – The Author Kerry is a  Financial Journalist and author of of 397 Ways to Save Money. She is a world renouned blogger, and known for her fun approach to personal finance writing reaches an audience of millions around the globe each year and inspires readers to become financially independent. Based out of Torronto, she is a personal finance columnist, TEDx speaker, a money expert on CBC’s On The Money, and a contributor to the Globe and Mail. She has appeared on lifestyle shows The Marilyn Denis Show, Canada AM, and CTV’s Your Morning.

      US Ranking of 89,000 and global ranking of 316,500

Hope you make use of the information from the blogs listed here. I also read many more interesting international blogs which are very interesting, may not have as many followers and views as above blogs. Those personal finance blogs There are many more useful personal finance blogs, let me know if you want to know more about them.
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Mutual Fund NFO – Indiabulls Equity Hybrid Fund details and review

New Fund offer by Indiabulls, let us have a look at the details of the offer.
Mutual Fund
Indiabulls Mutual Fund
Scheme Name
Indiabulls Equity Hybrid Fund
Objective of Scheme
The Scheme seeks to generate periodic return and long-term capital appreciation from a judicious mix of equity and debt instruments. However, there can be no assurance that the investment objective of the Scheme will be achieved. The Scheme does not assure or guarantee any returns.
Scheme Type
Open Ended
Scheme Category
Hybrid Scheme – Aggressive Hybrid Fund
New Fund Launch Date
22-Nov-2018
New Fund Earliest Closure Date
06-Dec-2018
New Fund Offer Closure Date
06-Dec-2018
Indicate Load Separately
Entry Load: Not Applicable Exit Load: •
Minimum Subscription Amount
Rs. 500 and in multiples of Re. 1 thereafter

Source – Amfi 
What is a Mutual Fund NFO – A new fund offer occurs when a fund is launched, allowing the firm to raise capital for purchasing securities. Mutual funds are one of the most common new fund offerings marketed by an investment company. The initial purchasing offer for a new fund varies by the fund’s structuring.
Important part of the SID Scheme Information Document
Type of scheme – An open ended hybrid scheme investing predominantly in equity and equity related instruments. Hybrid Fund would have an equity allocation of 65% – 80% & debt allocation of 20% – 35%. The scheme aims at providing dual benefit of Wealth generation through investment in equities and lower volatility through investment in debt.
Investment Objective –  To generate periodic returns and long term capital appreciation from a judicious mix of equity and debt instruments. However, there can be no assurance that the investment objective of the Scheme will be achieved. The Scheme does not assure or guarantee any returns.The scheme will offer both direct and regular opton
Where will the scheme invest?
·         In the equity segment, fund intends to invest in Automobile, Banking, Financial Services, Metals and Energy. In the defensive side, it intends to invest in FMCG, IT and Pharma.
·         In the debt segment it intends to buy AA and above rated debt papers. The portfolio allocation likely to be 20-35%
Who will manage the fund?
The fund management includes the following team members-
Fund Manager
Brief Experience
Sumit Bhatnagar
Head Equity (For Equity Segment)
Age – 40 years
Qualification – MBA (Univ. of Toronto), CFA (USA)
Mr. Sumit has 15 years of experience in Banking
& Capital Markets. Prior to joining Indiabulls, he
has worked with SEBI for close to 4.5 years in
Investment Management Department. He has also worked in Banking Industry in retail and
corporate assets. Sumit has been with Indiabulls
since February 2009.
Vikesh Gandhi
Age – 41 years
Qualification – M.Com, University of Mumbai, MBA (Finance
& Accounting), University of
Hartford, USA
Mr. Veekesh Gandhi has more than 10 years of
experience in the field of finance. He was earlier
associated with DSP Merrill Lynch Ltd, SSKI
Securities and Motilal Oswal Securities, wherein
he was responsible for tracking the BFSI sector
and research on investment ideas.
Malay Shah
Age – 39 years
Qualification – B.Com, MMS Finaance
Mr. Malay Shah has 15 years of experience in the
field of finance. He has exposure to Debt –
Dealing and Fund Management. Prior to joining
Indiabulls Mutual Fund, he was working in the
capacity of Head – Fixed Income with Peerless
Funds Management Co. Ltd, managing all the
debt Schemes.
Mymoneystreets Take –
Indiabulls Mutual Funds, is one of the fast-growing young Mutual Fund company with an AUM of about 10 thousand crore. Indiabulls Mutual Fund was launched in the year 2008. Indiabulls Mutual Fund has 4 existing equity funds and 7 debt-oriented funds in the kitty. The fund is suitable for investors with moderate to high-risk appetite with an investment outlook of 5-8 years horizon, highly recommend the SIP mode for the investment.
This category has many funds who are doing well. It is just one more addition. However, Fund managers well equipped to get good value to the investors. The view on investing this fund is neutral.

Read the SID carefully before investing, if you are a new investor, take suggestions from a financial advisor.

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NFO – Review – DSP Blackrock Healthcare Fund closing on 26th November

Mutual Fund NFO Details – DSP Blackrock Healthcare Fund 

Mutual Fund
DSP Mutual Fund
Scheme Name
DSP Healthcare Fund
Objective of Scheme
The primary investment objective of the scheme is to seek to generate consistent returns by predominantly investing in equity and equity related securities of pharmaceutical and healthcare companies. However, there can be no assurance that the investment objective of the scheme will be realized.
Scheme Type
Open Ended
Scheme Category
Equity Scheme – Sectoral/ Thematic
New Fund Launch Date
12-Nov-2018
New Fund Earliest Closure Date
26-Nov-2018
New Fund Offer Closure Date
26-Nov-2018
Indicate Load Separately
Entry Load: Not Applicable, Exit Load (as a % of Applicable NAV) Holding period from the date of allotment:<= 12 months – 1%, > 12 months – Nil. Note: No exit load shall be levied in case of switch of investment from Regular Plan to Direct Plan and vice versa.
Minimum Subscription Amount
Rs. 500/– and any amount thereafter.
For Further Details Please Visit
Website
www.dspim.com

Source – Amfi 

What is a Mutual Fund NFO – A new fund offer occurs when a fund is launched, allowing the firm to raise capital for purchasing securities. Mutual funds are one of the most common new fund offerings marketed by an investment company. The initial purchasing offer for a new fund varies by the fund’s structuring.

Did you choose your car insurance or just bought it? 

Important part of the SID Scheme Information Document


Type of scheme – An open ended equity scheme investing in healthcare and pharmaceutical sector

Investment Objective – The primary investment objective of the scheme is to seek to generate consistent returns by predominantly investing in equity and equity related securities of pharmaceutical and healthcare companies. However, there can be no assurance that the investment objective of the scheme will be realized.

Where will the scheme invest?
–          It will invest in Equity and equity related securities, government bonds, NCDs, short term deposits, InvITs, REITs
–          a sector specific Scheme, shall focus on investing in pharmaceutical, healthcare and associated companies as mentioned earlier, keeping ‘S&P BSE Healthcare Index’ comprising of 64 stocks.

Who will manage the fund?

The fund management includes the following team members-
Fund Manager
Brief Experience
Other schemes
Aditya Khemka
Age – 37 years
Qualification – B.Com, M Sc Finance, MBA from MDI (Gurgaon)
Over 11 Years of experience. October 2015 to present: Assistant Vice President – DSPIM. From February 2014 – October 2015: Pharma Analyst – Ambit Capital Private Limited.
From November 2013 to February 2014: Pharma Analyst – Antique Stock Broking From
April 2008 to November 2013: Pharma Analyst – Nomura Structured Financial Services
Nil
Vinit Sambre
Age – 43 years
Qualification – B.Com, FCA
Over 19 Years of experience from January 2010 to present: Vice President – DSPIM. From July 2007 – December 2009: Assistant Vice President – DSPIM. From November 2005 to June 2007: Assistant Vice President – Global Private Client with DSP Merrill Lynch
Co-Fund Manager – DSP Small Cap Fund and DSP Mid Cap Fund
Jay Kothari (Dedicat ed Fund Manager for overseas investments)
Age – 37 years
Qualification – Bachelor in Management Studies (BMS) Mumbai University MBA (Finance) – Mumbai University
Over 14 years of experience as detailed under: From 2010 to present – Vice President in Equity Investments and a Product Strategist at DSPIM From 2005 to 2010 – Mumbai Banking Sales Head at DSPIM From 2002 to 2003 – Priority Banking division at Standar
Fund Manager for DSP World Agriculture Fund, DSP World Mining Fund, DSP World Energy Fund and DSP World Gold Fund Co-Fund Manager for DSP Focus Fund, DSP US Flexible* Equity Fund, DSP Equity Savings Fund, DSP India T.I.G.E.R. Fund (The Infrastructure Growth and Economic Reforms Fund), DSP Regular Savings Fund, DSP Equity Opportunities Fund, DSP Global Allocation Fund, DSP Natural Resources and New Energy Fund, DSP Midcap Fund, DSP Small Cap Fund, DSP Top 100 Equity Fund.

Mymoneystreets Take –

DSP has a proven track record in India. Their funds DSP Tax Saver, DSP Midcap small cap is known best for the prudent fund management approach. However, Blackrock has sold their stake in DSP this year and we need to keep a watch on the performance. However, they have a decent asset size, moderately aggressive approach in the fund management. Additionally, Pharma sector in last 2 years has seen a bumpy ride and company with quality balance sheet and operational efficiency trading at an attractive PE. The stocks are trading 20-30% lower than their yearly high
Word of caution – This is a thematic fund, sector concentration is very high. Investors who already has existing exposure in diversified equity such as Large-cap/ Mid-cap – small cap funds and balanced funds can look for an extra exposure. Other than market related risks, the sector funds are cyclical in nature and gives a volatile return, ideal for 3- 7 years exposure and in SIP format.  Also, diversification is a key to good healthy portfolio.

Take on Fund manager

The fund is managed by first time fund manager Aditya Khemka, supported by Vinit Sambre with 20 years of experience, also fund-manager for the star fund – DSP Small cap fund.  The third manager has a big portfolio of many funds as well as dedicated fund manager for overseas investments.

Read the SID carefully before investing.
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7 business ideas with low or no investments India

India has evolved, and come far way from a mindest to secure a govt job or atleast at a service of Tata , Birla or State Bank of India. Oh I absolutely love the baby boomer generation, because of their steady income and savings habit, they are today financially secure, they are encouraging and supportive of the next generation to starting up their own ruther than pestering them to look for a suitable job.
The millennial are more and more liking the idea of starting their own business. The idea of starting up a new business is awesome. It is not easy to think of  breaking away from traditional family business or giving up a day job, especially starting a new business involve research, investment, human capital and lot of courage. However, in this post I would like to list down some no or low cost business ideas, which can ofcourse be scaled-up with investment and deploying resources. Mind you, still need to have courage to start up, research for your positioning and consistent efforts to scale-up
1. Content creation, blogging and vlogging – This is a huge and evolving industry, thanks to the ever growing internet usage and media consumption. Even twitter and Instagram can earn you money. If you like writing – short stories to economics, you can get freelance assignments of content writing. There are many agencies in the market. You can start your own once you are little comfortable with the idea. You can even have a blog of your own. To begin with you can have a blogger or wordpress account for free. You may even start writing before opting for a hosting service and a domain name.  If you are you-tuber, bingo, the world is your oyster. A good video which can fetch thousands of view, can fetch a good advertisement money as well as paid/ sponsored content. Being a Youtuber and blogger are serious career. You can also use it as extension of your profile if you dont even want to monetise it.
                                        
                                                      photo – steemit.com
2. Private tutorial – You dont need to teach in a school for this. This will essentially be driven by your interest in a particular subject or a overall training skills. You can have a day job of an engineer, Accountant or a sales manager for that matter. You can use with word of mouth, leaflet distribution and few youtube video classes for initial promotion
3. Translation and transcription services – 
The growing marketing and information distribution needs are opening up this arena. The marketers and communication professionals wants to go hyper local, in local as well as international market. Talking to the target audience in their language keeping their ethinicity and culture has become a priority. In this scenario, the translators have a huge potential for business, and If you are a multi lingual, especially with foreign languages like Japanese, Mandarin, you are in for a kill. Just spreading the word in the right places.
4. Financial adviser/ planner  – you dont need to be finance MBA or a chartered accountant. But, you need to clear a few tests to become SEBI approved financial planner. Additionally, you need to have inclination to have the passion for profession. It is not just selling the product or making instant money, if you like the idea of money management, you can give it a try. It entails lot of deliberation and counselling. It is a business of trust, it has a huge potential in India, if you have the intent.
5. Public relation consultancy – true. Yet it is a mainstream profession. Before jumping into any conclusion, it is a very specialised service and you need to have some exposure to the sector with education/ internship and job in corp comm/ PR Consultancies for experience as well as the networking ability. 
bollywoodshaadis.com
6. Mehendi or Tattoo artist – you can simply begin this by basic networking with friends and family. It doesnt require significant investments to start. You may consider high end tattoo machine, listing your services in premium websites, having a portfolio once you have started off and comfortable in your zone. 
7. Art and craft classes – Are you a painter? And have never took the step to make it your profession? Are you passionate about DIY crafts? Most of your free time spent in checking youtube for suggestion. Here you have a idea. You can have a class for yourself. You can begin with a summer camp for kids, a video channel and even a at-home sale for your family and friends. It doesnt have any significant expenses. You can use your existing resources to begin with.
This list can extend to photography, career consultancy, life coach, beauty salon, online bakery, baby sitting etc which will be little expensive yet not an exorbitant money.
Choosing these careers are not sheer happenstance. These businesses can begin with low investments. Each of the above business idea has great potential.but however each needs research, extensive study, understanding market and indomitable entrepreneurial zeal to make it bigger. Starting up is difficult but it is easier than maintaining the momentum, keeping the spirit high through the ups and down.

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