A demat account is a digital account available through depositories, whereby investors can hold their securities in a dematerialised or digital form. Investors can use it for multiple securities like equity shares, bonds, debentures, ETFs (Exchange Traded Funds), mutual funds etc.
TDS stands for Tax Deducted at Source. As the name suggests, this tax is deducted by the income payer (deductor) while making a payment to the deductee. Such taxes are taken from the total amount payable by the payer and deposited with the Income Tax Department. The person paying the income and deducting the TDS is called the deductor, while the person receiving the income and on whose behalf the tax has been deducted is called the deductee.
While discussing the valuations of markets in general and stocks in particular, the most commonly used tool is undeniably a Price Earnings multiple (PE multiple). A PE multiple is a short-hand for the valuation process — not valuation per se — and no one should fail to make that distinction. The good thing about multiples is that they save time. However, they also incorporate a lot of economic assumptions that need to be unpacked for investors for them to accurately understand their meaning.
Dissecting the earnings multiple
UTI Equity fund has a strong predilection towards investing into businesses that have strong and steady profile of free cashflow generation, high RoCEs through the cycle and a high visibility of long term growth.
Mutual funds offer the facility of Systematic Withdrawal Plan (SWP) which enables the investors to periodically redeem their mutual fund investments over a period of time. So, this is exactly the opposite of what Systematic Investments Plan (SIP) offers.
Mutual fund fact sheets are the treasure house for the investors to get updated information about their mutual fund scheme. Most of the fund houses publish the fund fact sheets every month, and the investors can access these on the website of the mutual fund houses.
One may invest in equity markets by following the two investment strategies – active or passive. While active investing requires careful stock selection in the investment portfolio, passive investing refers to mirroring the benchmark index entirely.
Mutual funds have been emerging as a preferred investment option across the asset classes, including equity, debt, and gold. However, just like it is important to invest, it is equally important to periodically review the investments. Taking the first step in that direction, you refer your Statement of Account, which will help you know the details of your investments and many other vital details.
As the name suggests, an overnight fund is a fund that invests predominantly in overnight securities having a maturity of one day. Overnight mutual fund schemes are favoured investment categories amongst debt funds for the investors seeking a very short-term parking of surplus funds.
Let’s learn more about the salient features of overnight funds.
Retail investors have continued with their investments in mutual funds through Systematic Investment Plans (SIPs) with monthly SIP inflows in March 2020, hitting an all-time high of more than Rs. 8,600 crores.
Source - AMFI
However, with the ongoing volatility coupled with the impact on the regular income and cash flows, many investors are considering discontinuation of their SIPs.
