Team-BHP (https://www.team-bhp.com/forum/)

-   Shifting gears (https://www.team-bhp.com/forum/shifting-gears/)

-   -   The Mutual Funds Thread (https://www.team-bhp.com/forum/shifting-gears/105873-mutual-funds-thread-81.html)

How do I get a good financial adviser who can help me with fund selection and recommend me to switch when needed ? Ofcourse, I am not looking for a free service. I willing to pay the charges a long as it is not very hefty. Moreover, what are the typical charges? Any pointer would be very helpful in terms of Pune city.

If you are investing regularly, then advisers usually don't charge separately as you would be using regular fund options (instead of direct ones) through them which will have distributor's share.
That's how it works mostly, there might still be people charging depending upon the involvement/investment.

FundsIndia works on this principal without additional charges.

Thanks. Actually I wanted to stay away from FundsIndia and invest in direct plans instead of regular plans. And for that I am ready to pay for the advise. Is it possible to get such service?

Please go through the following blogpost , including the comments to understand the role and need of fee based financial planner. Generally they suggest a plan that should include Direct MF suggestions and then you need to implement it.

https://freefincal.com/list-of-fee-o...ners-in-india/

Thanks a lot. This is very much in line with what I was thinking. I will try out one of the fee-based consultants.

CAN offers a lot of benefits to both investors and advisors. For Investors, it offers to transact in one place with one account, one payment for multiple transactions. While the online portal of MF Utility is basic as of now, more features will be added for investors in the days to come. There is an Android Mobile App as well. Search for goMF on the play store. It offers significant benefits for Advisors as well.

Hi,

Just getting started. Icici direct has lists for top ranked funds, most bought funds, fund of the month, etc. They also sort funds based on return, term, etc.
Money control app has performance list for mutual funds but what's listed in icici direct don't seem to be listed here a lot. I scroll down quite a bit to get to those funds from icici direct.

Performance in mutual funds - is it only returns? Are there more meaningful indicators? I want to invest once a month

There are many different ways to slice the mutual fund pie. One is not more/less significant than the other. A lot depends on what you want. I suggest you read up more about mutual funds, and you will gain more clarity as you learn. When you invest, it should be with full conviction and knowledge. You should not do something that you will regret later.

You can check star ratings of mutual funds at morning star and value research online. Doing SIP in the selected funds is a great way to invest. Go the direct route, may be through MF Util as discussed above (I have no experience with it though).

As I said, a lot depends on what you want to do. Ask yourself questions such as:
Are you looking for pure equity or debt/hybrid funds? What are the tax implications?
Are you looking to invest long term of 5/10/15 years or short term?
What are your end goals for the investment?
Do you want to invest in tax-saving mutual fund schemes?
Are you aware of the risks in equity investing and how comfortable are you with volatility? Do you get jittery and sell-off when your portfolio loses say 10%?

Typically, someone looking to invest in mutual funds through SIP for long term to create long-term wealth, a well-chosen portfolio of 3-4 equity-oriented schemes will do.

Hi, Please clarify. Tax is only applied in the year I withdraw money from the fund right?
So, if I keep investing for 2 years and I withdraw everything in the 3rd year, I have to submit a portion of that under income head. Is this correct?

I have two more suggestions apart from ICICI Direct & Moneycontrol,

1) https://www.valueresearchonline.com/Default.asp? is also a very good source for MF information.
2) ET Wealth which comes as supplement to Economic Times on Mondays has pretty good information as well.

Tax is applied when you sell the funds.

When you sell, the profits are taxed depending on whether it is long-term capital gains or short-term capital gains.

As per current laws, long-term capital gains of stocks and equity-oriented mutual fund schemes - held for more than 1 year - is nil. Note this is applicable from the date of actual investment, and if you invest through monthly SIP, the profit of first SIP is tax free on the 13th month onwards, the profit of second SIP is tax free on its 13th month onwards and so on and so forth. So, if you do an SIP for 12 months, the entire profit will be tax free after 24 months from the first SIP.

The long-term capital gains taxes are different for different debt/hybrid funds depending on scheme specifications - please check the tax treatment of the fund you are investing in; it will be mentioned in the scheme offer document.

If you sell within 1 year, short-term capital gains tax will be applicable.

I am looking to invest in Debt Funds. I am only looking at Ultra Short Term Debt Funds. As I understand they might mature in 3 months! So, if I go for the 'growth' option does it mean that any gains(or loss!) we get upon maturity is again fed back to the fund and it's renewed for another 3 months. It's not quite clear to me as to how we can do redemption on Ultra Short Term Debt Funds or for any Debt Funds!

My wife has a Mutual Fund account with ICICI Prudential started in Sept 2015 and had a SIP in ICICI Focussed bluechip equity fund. When registering for SIP she had opted for Saraswat bank (savings) for SIP auto debit. Now the SIP is completed, she tried to register a new SIP but could not as the bank was not on the list of banks where auto debit could be done for online SIP registration. I tried to find a way out online on ICICI Prudential website but did not find any means where I can opt for a different bank. Going to the branch office for registering SIP is a cumbersome job. Why don't Mutual Fund houses provide bank portability too? Now even if my wife wants to change the bank for auto debit, she will have to provide a blank cheque and many more formalities. Or is it ICICI's way of saying you have to visit them for any such queries personally.

Any experts here know any other quicker process of changing bank details online in Mutual Fund accounts?

Can you check if you are able to start a new folio and SIP via CAMS website https://www.camsonline.com/MyCAMS/MCInvestnow.aspx

I see that they have options for uploading a scan copy of a cheque and start a new investment. Hope this helps!

A blank cancelled cheque from the new bank is necessary for kyc formalities.

However you don't have to go to their branch for this. You can simply look up their address in your city from their website, and just courier the paperwork (bank change request form, cancelled cheque and say also a copy of your kyc validation + id proof just in case).

I have done that many times and it works fine.