A lot has been written on this issue, but a deeper understanding of the crisis and decisions leading up to the event needs to be understood. Following, Franklin Templeton MF had shut six debt mutual fund schemes on April 23, citing redemption pressures and lack of liquidity in the bond market. Undoubtedly, the schemes — … [Read more…]
ESG investing stands for Environmental, Social and Governance based investment approach. In a nutshell it is about avoiding or reducing investments in companies that score poorly on these parameters and increasing the same in companies that do well on them. For example, a company that runs several coal-fired power plants is likely to score negatively … [Read more…]
Fund management is often consider in much higher regard than it really deserves. This is especially true of large-cap core equity funds. Most of these funds are ‘closet index funds’ . Which means their portfolio weights for stocks are fairly close to that in the benchmark equity indices. And yet, in recent years, they have … [Read more…]
At the start of 2021, the real estate industry has a lot to mull over. Companies are grappling with work-from-home policies and the role of the modern office. Investors are contending with not only a global economic downturn, but the sweeping cultural shifts influencing how we shop, work and spend our free time. As results … [Read more…]
Retirement planning continues even post retirement. A lot of people spend their adult lives working and saving to prepare for retirement. But once you hang up your hat, you should not necessarily stop thinking about saving and investing. What do you do with all the money you have got at retirement? Collecting your pension and provident … [Read more…]
“Say goodbye to the tension and hello to your pension” Very rightly said by an Author, after decades of working and saving, everyone wants to retire. But now is not the time to coast. If you do plan to retire, consider taking some crucial steps today to help ensure that you have what you need … [Read more…]
To assess an index fund, some might turn to last year’s performance, but performance is not the answer. Markets go up and down regardless of how well an index fund does its job. The simplest answer is “tracking error”. Tracking error is the investors’ metric for assessing whether they are getting what they pay for. … [Read more…]
In a market that has dramatic swings from one day to the next, investors must learn ways to diversify their portfolios that will win in any market. With the Covid-19 pandemic battering world markets, equity investors are suffering. The spike in bond yields has resulted in losses to investors of debt instruments such as debt … [Read more…]
The suspension of 6 debt fund schemes by Franklin Templeton AMC earlier this year left a lot of investors in shock. Particularly surprising inclusions in the list of suspended schemes were Franklin’s Ultra-Short Term Bond Fund and Low Duration Fund. Even before the suspension of schemes happened, many investors were starting to get wary of … [Read more…]
There is a class of issuers in Indian debt markets that are treated as being very safe in terms of credit risk – namely the quasi-sovereign companies. Generally, these include the so-called Public Sector Undertakings (PSUs) and their subsidiaries. There is in fact a whole category of debt mutual funds. They are ‘Banking and PSU … [Read more…]