[tiger_stripes]

Originally Posted by archat68

I'd like park my funds in a debt fund and do a STP to 4-5 MFs of different companies. At present I have a ICICIDirect account.

I transferred my funds to ICICI liquid debt fund but ICICIDirect only allows to do STP only to ICICI mutual funds.

So, is it the norm or it is enforced by ICICIdirect?

Any other way to invest a lumpsum amount through SIP/STP?

AFAIK, you can do STP between funds belonging to the same fund house only.

So for each fund you want to STP into, find the liquid fund belonging to the same fund house and park your lumpsums there.

[bj96]

Originally Posted by archat68

...ICICI liquid debt fund but ICICIDirect only allows to do STP only to ICICI mutual funds...

I use ICICIDirect and have invested in HDFC Liquid Fund with SWP (Systematic Withdrawal Plan)- it is possible. SWP is a facility provided by Fund House (e.g. HDFC MF here). You can withdraw any amount and then re-invest (in any fund or elsewhere) as you like. HDFC MF doesn't control what you do with SWP money.

AFAIK, ICICI Pru MF does not have SWP in liquid fund instead they have STP (Systematic Transfer Plan) into their own (other) funds.

-BJ

[archat68]

Originally Posted by bj96

I use ICICIDirect and have invested in HDFC Liquid Fund with SWP (Systematic Withdrawal Plan)- it is possible. SWP is a facility provided by Fund House (e.g. HDFC MF here). AFAIK, ICICI Pru MF does not have SWP in liquid fund instead they have STP (Systematic Transfer Plan) into their own (other) funds.

-BJ

Thanks for the clarification. I'll transfer to HDFC liquid fund.

[S_U_N]

The SWP option will bring the money back to your bank account first.
Isn't this as good as redeeming a part of the money? I
In case of STP, the money gets invested to the target fund almost immediately.

Other note:
I am researching on how I can shift to direct investment.
So far, majority of my portfolio is in the initial stages, so I will have to pay exit load in many cases.
Perhaps the new investments can be made direct for now.

With international equity and debt funds, I might have to wait for 3 years before I redeem and invest directly.

[sgiitk]

One aside the Templeton Equity Income (SME fund) has a decent 30% or so foreign content. Until it foul of the RBI rules it was managed by Mark Mobius.

[Me-hul]

Hey guys,

In need of some guidance here.

I am a 27 yr old single working professional. I am planning to quit my job by this year end to pursue my higher studies.
This will stop my income for the next year. Some commitments are lined up immediately after I take up a job post my studies. i.e. 2016 onwards. So building up a corpus.

It would be helpful if I am advised on the investment pattern/plans considering my situation.

1. I can invest 20~25k/month for the next 15-20 months. Looking for some equity exposure here. I am ready to stay invested for a little
longer, if required.
2. Further, I can undertake 2.0~3.0 lakhs of lump sum investment in some kind of tax efficient debt instrument.
3. Currently, I do not have any insurance plan. Planning to consider a term plan as I will have a commitment of an education loan too.
Suggestion on which term plan to consider would help.

I will be investing in all of the above via the online option.

I am hoping the post investment returns can at least beat the inflation.
Hope gurus here can help me with my situation.

Regards .

[drsingh]

Originally Posted by Me-hul

Hey guys,

In need of some guidance here.

I am a 27 yr old single working professional. I am planning to quit my job by this year end to pursue my higher studies.
This will stop my income for the next year. Some commitments are lined up immediately after I take up a job post my studies. i.e. 2016 onwards. So building up a corpus.

It would be helpful if I am advised on the investment pattern/plans considering my situation.

1. I can invest 20~25k/month for the next 15-20 months. Looking for some equity exposure here. I am ready to stay invested for a little
longer, if required.
2. Further, I can undertake 2.0~3.0 lakhs of lump sum investment in some kind of tax efficient debt instrument.
3. Currently, I do not have any insurance plan. Planning to consider a term plan as I will have a commitment of an education loan too.
Suggestion on which term plan to consider would help.

I will be investing in all of the above via the online option.

I am hoping the post investment returns can at least beat the inflation.
Hope gurus here can help me with my situation.

Regards .

Invest 80 percent of your corpus into MOSL focus 25, 20 percent into Sundaram SMILE. And start an SIP into parag parikhs PPFAS value fund. All direct plans with the growth option. Sit on your investments for 5 years and thank me later

P. S. Never sell your equity assets. Take a loan on them to meet financial needs and pay the interest. You'll thank me in the long run.

[S_U_N]

Originally Posted by drsingh

Invest 80 percent of your corpus into MOSL focus 25, 20 percent into Sundaram SMILE. And start an SIP into parag parikhs PPFAS value fund. All direct plans with the growth option. Sit on your investments for 5 years and thank me later

P. S. Never sell your equity assets. Take a loan on them to meet financial needs and pay the interest. You'll thank me in the long run.

Great to hear some uncommon funds after a long while.

Appreciate the inputs.
Have you invested in any of those?

[drsingh]

Originally Posted by S_U_N

Great to hear some uncommon funds after a long while.

Appreciate the inputs.
Have you invested in any of those?

I'm invested 120% in the markets for the next 5 years. Meaning I've taken loan against shares amounting to 20% of my mostly blue-chip stocks. This 20% is invested in these Mutual funds. Parag parikhs SIP, I started a year ago and I shift funds to an individual stock if I have enough conviction I can beat his returns

[S_U_N]

Originally Posted by drsingh

I'm invested 120% in the markets for the next 5 years. Meaning I've taken loan against shares amounting to 20% of my mostly blue-chip stocks. This 20% is invested in these Mutual funds. Parag parikhs SIP, I started a year ago and I shift funds to an individual stock if I have enough conviction I can beat his returns

I was researching on MOSS and read several complains of forgery. They sell stuff without your authorization and SEBI does nothing for the investor.
Hope Parag Parikh does not have such incidents.

[nowwhat?]

Originally Posted by S_U_N

I was researching on MOSS and read several complains of forgery. They sell stuff without your authorization and SEBI does nothing for the investor.
Hope Parag Parikh does not have such incidents.

Firstly the incident posted on the web about Motilal Oswal's brokerage account seems to be a one-sided version of events as we really do not have any response from SEBI. Knowing SEBI and how hard they crack down, I seriously doubt they would just ignore the investor.

Secondly Motilal Oswal's mutual fund would operate under a completely different set of rules. The stocks purchased by the AMC are always held in a trust for the investors and AFAIK are always ring-fenced and secured by independent directors.

Now about PPFAS, I know a lot of people on the web advise PPFAS especially since the promoter and fund managers have a lot of money invested in their own fund. But the fact is that PPFAS has actually underperformed with respect to its peers in the Small and Mid Cap category.

Also the entire reason I got out of stocks was because I did not want my sentiment to dictate my investment. With their own money in PPFAS, how much would they be shielded from sentiment is anyone's guess.

[nazimk24]

Originally Posted by Me-hul

I can invest 20~25k/month for the next 15-20 months. Looking for some equity exposure here. I am ready to stay invested for a little
longer, if required.

With a horizon that short, the only investments I would suggest are debt MFs - probably a good dynamic bond fund or a longer-duration fund (considering rates have likely peaked out).

If you still want to up the risk quotient by adding equity, look at a hybrid fund with low/50 percent equity exposure.

Originally Posted by nowwhat?

Now about PPFAS, I know a lot of people on the web advise PPFAS especially since the promoter and fund managers have a lot of money invested in their own fund. But the fact is that PPFAS has actually underperformed with respect to its peers in the Small and Mid Cap category.

Its unfair to evaluate any equity fund based on its one/two year performance and more so for PPFAS fund because they have clearly stated their fund is to be invested in for at least 5 years.

Given PP's track record in PMS, you would perhaps think he has a long-term investment process in place.

[nowwhat?]

Originally Posted by nazimk24

Its unfair to evaluate any equity fund based on its one/two year performance and more so for PPFAS fund because they have clearly stated their fund is to be invested in for at least 5 years.

Given PP's track record in PMS, you would perhaps think he has a long-term investment process in place.

Agree with you that it is too early to judge PPFAS. But then hoping for their PMS performance is also a shot in the dark. Why take the risk when there are other funds that have a proven track record? But then as we all know, past performance is no indicator of future returns either.

[BaCkSeAtDrIVeR]

Looks like I have made a mistake. Choose the dividend reinvestment option while putting money in ELSS.

Noow I realized that dividend units get locked in for 3 years from dividend. So no exit for me. I hope I have missed something. I made the purchase within last 10 days through NSE MFSS.

Is there a way out?

[gsbhatia]

Originally Posted by BaCkSeAtDrIVeR

Looks like I have made a mistake. Choose the dividend reinvestment option while putting money in ELSS.

Noow I realized that dividend units get locked in for 3 years from dividend. So no exit for me. I hope I have missed something. I made the purchase within last 10 days through NSE MFSS.

Is there a way out?

Although Dividend option cant be changed to Growth, one can always swap Dividend *reinvest* option with Dividend *payout* option. Most fund houses allow the customer to swap these options on their website (in case the customer has their site's login credentials), or even via their toll free phone support.