Innehållsförteckning för April 2024 från Outlook Money

“Not depending on the Kejriwal (read equities) of your portfolio can come handy when that asset faces trouble. So even if equities are the star component of your portfolio, allocate responsibility to other assets, too The recent arrest of Delhi chief minister Arvind Kejriwal has literally been the talk of the town. But this has also led to some discussion about how the government will work efficiently in the absence of the CM. The Delhi government sought to dispel such ‘rumours’ through a notification, issued days after the CM's arrest and post two orders he issued from prison, to clarify that welfare schemes and subsidies will continue as before. “… it merits clarification that administration of schemes and governance are never specific to individuals and shall continue in normal course,…

Investment The Indian exchange-traded fund (ETF) market has grown substantially of late, up from 2 per cent assets under management (AUM) of the mutual fund industry in 2012 to 13 per cent in 2023, signifying a shift in investor preference to passive funds. ETFs are a collection of marketable securities that track an underlying index and combine features of mutual funds and stocks. They invest in stocks and/or bonds based on the underlying benchmark index. Though they are similar to index funds, but they are bought and sold at stock exchanges, and not bought or redeemed with mutual funds. Investors and traders can buy units of ETFs through a dematerialised and trading account with a broker. ETFs are traded on the stock exchange and come with a settlement of T+l…

Behavioural Finance “A woman's best protection is a little money of her own.”—Clare Boothe Luce, American politician, ambassador, and writer. I recently saw the movie The Colour Purple and found it deeply disturbing. And while it tackles many issues, I was happy to see the protagonist Celie living free of abuse and humiliation after she managed to become financially independent (she did this by tailoring and eventually inheriting her biological father's estate). She could walk away and not return simply because of the option that money gave her. She could walk away from the security of a man and a marriage, because of the provision that money offered her. The movie was set in a time when women in the US had few rights, and almost none, if they were…

In the rapidly evolving financial landscape, innovation emerges as a guiding light towards growth and transformation. The introduction of the Bandhan Innovation Fund marks a significant step in this direction, positioning itself as a crucial entity poised to leverage this potential. This article delves into the essence of innovation within the financial sector, outlines the fund's distinctive investment strategy, and offers a thorough analysis for prospective investors. Unleashing Innovation Potential Innovation is defined as the practical application of ideas resulting in the launch of new or improved goods or services. In a developed economy, the success of innovation is evident when observing market indexes. Success of Innovation in A Developed Economy While looking at the markets, Nasdaq which reflects innovative companies across various sectors, has outperformed the diversified index S&P…

WEBINAR SERIES Aditya Birla Sun Life Mutual Fund Indian women have been remarkable savers but still, women's participation in household finances has been mostly limited to managing everyday budgets on a fixed sum that is shared with them. Women are either not allowed to take money decisions on their own or do not feel confident enough. The latter can be perhaps solved by working to spread financial literacy among women. On the occasion of International Women's Day, Outlook Money along with Aditya Birla Sun Life Mutual Fund organised a webinar to discuss how financial literacy can empower women. The panellists for the discussion were Kamayani Aniruddh Nagar, head of retail sales, Aditya Birla Sun Life Mutual Fund; Kiran Telang, certified financial planner (CFP), a Sebi-registered investment advisor and an author;…

Taking Charge The story on Taapsee Pannu, Women's Equality Is Still Far A way (April 2024) was a good read. She came across as any other woman from a middle-class family who wants to make it big in her professional sphere. One remarkable takeaway from her story was where she advised women to secure their financial independence before getting married to not end up becoming dependent on their spouses for monetary needs. I also liked her idea to keep a tab on the inflow and outflow of money and maintain a balanced approach between needs and wants. Neha Singh, email Entrepreneurial Spirit The stories of the five women from rural hinterlands (On The Road To Being A Lakhpati) April 2024 were an interesting read. These women, without any flashy management…

Has the interest rate peaked of late? The last rate hike came in February 2023, and ever since the Reserve Bank of India (RBI) has been on a pause. Given that inflation has stayed within RBI's upper tolerance band of 6 per cent for the last six months, when do you anticipate the next rate cut? The policy rates have peaked and are headed directionally down. The timing and quantum of the down move will depend on multiple internal and global factors. From a policy rate perspective, the concensus is 50-75 basis points (bps) of rate cuts over the next 12-15 months. This, combined with incrementally easier liquidity conditions, would effectively translate into 75-100 bps of policy rate cuts over the same time. How do you interpret macroeconomic trends, such…

A mid the current volatility in the equity market and surging valuations in midand small-cap segments, t-ere is a notable demand for large-cap funds. After experiencing continuous outflow and low inflow over the past year, large-cap funds witnessed an inflow om,287.95 crore in January of ₹124, the highest in the last 12 months, followed by another inflow of?921 crore in February, acc₹rding to data from the Association of Mutual Funds in India (Amfi). The reason for this surge in inflow is that large-cap stocks are considered safe during volatile market conditions. Canara Robeco Bluechip Equity Fund is one such large-cap fund that could be a decent choice for investors, given its track record. Portfolio The fund holds 40-45 stocks in its portfolio, which seems right in terms of its fund…

Sale Deed* • Essential document for property transfer • Legal proof of sale and transfer • Scrutinise all terms before signing Completion/Occupancy Certificate • Issued by municipal authorities after project completion • Confirms property's habitability • Mandatory for registration and utility applications Building Plan • Must be approved by the local municipal authority • Contains project blueprint and layout of utilities in the building • Ensure approval of the building plan to avoid unauthorised construction issues Encumbrance Certificate* • Verifies that the property is free from dues and liabilities • It can be obtained from the sub-registrar's office Mutation Certificate* • Identifies the property owner in government records • Also known as 'Possession Letter or Certificate' • Indicates the transfer of property title to the new owner General Power of…

While on one hand the insurance market is expanding in India, penetration is reducing. How do you explain this? Penetration is usually expressed as a percentage of the gross domestic product (GDP), and so it depends on the GDP growth as well. If I were to look at it from a standalone basis, there is a large opportunity for life and health insurance penetration in India. The reasons are many: a larger population is coming into the lower middle class and middle class segments, people are living longer, aspirations are rising, and people are beginning to understand the value of life insurance. Also, India is among the top countries in terms of overall GDP, so there is percolation of the overall GDP at an individual level, which will also continue…

“Life is simple, but we insist on making it complicated” – Confucius "Owning a property and gold is acceptable as it gives many a sense of accomplishment and satisfaction. However, financial assets are strongly recommended for investment purposes." Simple practices such as taking a short walk, spending time in nature, consuming tender coconut/buttermilk among others, are good for our physical health, while elements like love, sharing, kindness and forgiveness are vital for our mental health. All these are easy and simple to follow. Similarly, when it comes to our financial health, there are a few simple and common aspects missed or overlooked by many. Property, Gold and financial investments are major categories of investments. If you are buying land or a house for living purposes, then it is consumption. Similarly,…

When Radhika joined the workforce after her MBA at 23, she had a very specific goal in mind – to undertake financial planning in a manner that would enable her to achieve optimal financial independence and retire early. Following her early retirement, she was keen on starting an NGO for street animals. Understanding financial planning Financial planning plays a pivotal role in achieving early retirement goals by providing a roadmap to financial independence. Through meticulous budgeting, saving, and investment strategies, individuals like Radhika can accumulate wealth and secure their future retirement by starting early and leveraging the power of compounding which can help even modest contributions grow substantially over time, facilitating an earlier exit from the workforce. Additionally, strategic asset allocation and risk management ensure a balanced portfolio tailored to…

2nd Edition We partnered with Rajasthan Tourism for the second consecutive year to host the Indian Responsible Tourism State Summit & Awards 2023 — Rajasthan. Our aim is to not only discover and celebrate a Rajasthan of havelis, forts, hills, lakes, wildlife, textiles, music, crafts, fairs, and festivals, but also a Rajasthan of incredible stories, of incredible people! We look forward to sharing these stories, and putting the spotlight on those who are quietly carrying the torch of sustainable and responsible tourism in the state… Come join us on this beautiful journey! THE WINNERS Overall Winner Castle Mandawa, Mandawa Sustainable Leadership – Homestays Gold Little Bus Homestay, Jaipur Gold The Bhagwanpura Homestead, Jaipur Silver Jorbeer Inn, Bikaner One to Watch Ratlam House, Jaipur One to Watch Jai Villa Homestay, Udaipur One to Watch Friends &…

Real estate Real estate holds a unique allure for Indians, and Bollywood has portrayed this well. Over decades, cinematic narratives have woven tales of families clinging on to their ancestral lands, starry-eyed individuals chasing the elusive dream of homeownership, and the gritty battles waged against unscrupulous builders and land mafias. Films like Do Bigha Zamin, Gharaonda, Khosla Ka Ghosla, Love Per Square Foot, and Gulabo Sitabo are some of the movies that serve as a testament to the enduring relevance of real estate in our collective consciousness. Whether it's residential properties, commercial spaces, or land parcels ripe for development, the realm of real estate beckons investors with promises of longterm growth and diversification. But should you invest in real estate? To answer that question, you would need to answer another…

While there is no good time to set money milestones and revisit the investment portfolio, the start of the new financial year provides an opportunity to do so. We give you a list of seven financial to-dos which will ensure your financial journey is smooth and you are able to realise your dreams. TAKE A FINANCIAL SELFIE First things first: you need to know where you stand before you can leap. Self-assessment or taking a financial selfie can help you embark on this new journey. Examine your income, debts, savings—everything down to those sneaky subscriptions that nibble at your funds. Knowledge is power, and your current financial portrait is the ultimate tool to help you plan your masterpiece. Please do visit our website to take a smart financial selfie DEFINE…

Retirement Ask people to state in a single word the one thing they should all have after retirement, and you can bet your right arm that their answer would be ‘dignity’ In case you came up with the answer ‘health; you may rest assured that the previous clear-cut answer already embraces the concept of good health. So, yes, a dignified life is what all people actually want after retirement when their regular income-generation activities come to a halt. But, as it so frequently happens, debilitating issues often come up in all shapes and sizes, each gnawing a bit off that ultimate goal. If dignity is indeed the average individual's top priority, nothing can demonstrate it more than financial dignity. The latter depends on an array of factors, namely: savings, investments,…

Investing can feel like a ride with ups and downs. But there is a way to make portfolios less susceptible to these sharp swings. Yes, it is multi-asset investing. Diversification and Risk Reduction: It is an investment strategy where investors invest across different asset classes, such as equities, both domestic and international, debt and commodities like gold and silver, which results in a diversified portfolio.This strategy can significantly reduce portfolio risk and keep you on track to achieve your financial goals. Each asset class has a role to play in the investors' portfolio. Generally, when you check the returns that different asset classes generated during a specific time frame, then you will see that the returns of the different asset classes will significantly vary. For example, fixed-income investment instruments offer…