The BSE Sensex has delivered phenomenal compounded returns in last forty years or so. The Bombay Stock Exchange index moved from a mere 100 in 1979 to 50000 by 2021. This means that if an investor had invested Rs. 100 in the index way back in 1979, it would be worth approximately Rs. 50000 today. But not […]
PC: Financial Express The First Principle Many investors have lost far too much money due to investments in products that they don’t understand. The first principle of a sound investment is to have a full understanding of the product and whether you are comfortable with it or not. Yes, investors should take professional help, but […]
Goals-based investing is a framework to translate financial goals into forecast future expenditures and allocate money to separate portfolios designed to meet those specific goals. The process of goals-based investing follows a cycle. Adam McCullough, senior manager research analyst for Morningstar, tells you how to go about it with a very specific example. Specify well-defined […]
As interest rates dip across the globe, yield starved investors are flocking to gold. Now add to it the uncertainty of a global economic slowdown looming large, and U.S.-China relations inching to a point of no return. Gold beckons as the safe haven. As Mohamed A El-Erian, chief economic adviser at Allianz, recently tweeted, that investors continue […]
Arbitrage schemes are hybrid funds, that take arbitrage positions in equity and related instruments for at least 65% of the portfolio. The remaining corpus is mostly in high-quality fixed-income instruments and cash & equivalents. So how does it work? Arbitrage funds aim to capture the price differential between the spot and futures markets, to generate […]