When interest rates rise, existing bonds become less valuable and most debt fund NAVs fall. When rates fall, those same bonds are worth more and debt fund NAVs typically rise. Equity funds, on the other hand, feel the impact through valuations and earnings expectations: higher interest rates compress P/E multiples and raise discount rates; lower rates do the opposite.
Inflation, the gradual increase in prices over time, is a persistent economic force that can erode the value of money. For investors, this means that the returns from their portfolios need to outpace inflation to maintain purchasing power. Traditional savings instruments often struggle to keep up with inflationary pressures, leading investors to seek alternative strategies in pursuit of maintaining purchasing power.
Inflation, the gradual increase in prices over time, is a persistent economic force that can erode the value of money. For investors, this means that the returns from their portfolios need to outpace inflation to maintain purchasing power. Traditional savings instruments often struggle to keep up with inflationary pressures, leading investors to seek alternative strategies in pursuit of maintaining purchasing power.
Inflation, the gradual increase in prices over time, is a persistent economic force that can erode the value of money. For investors, this means that the returns from their portfolios need to outpace inflation to maintain purchasing power. Traditional savings instruments often struggle to keep up with inflationary pressures, leading investors to seek alternative strategies in pursuit of maintaining purchasing power.
Inflation, the gradual increase in prices over time, is a persistent economic force that can erode the value of money. For investors, this means that the returns from their portfolios need to outpace inflation to maintain purchasing power. Traditional savings instruments often struggle to keep up with inflationary pressures, leading investors to seek alternative strategies in pursuit of maintaining purchasing power.
Quant funds have emerged as nuanced and data-driven funds. These mutual funds use advanced mathematical models, algorithms, quantitative or statistical analysis to make investment decisions.
Investing a portion of your salary in mutual funds can be a wise financial decision that has the potential for long-term wealth creation. However, determining the right percentage to invest requires careful consideration of your financial situation, risk tolerance, and investment goals. Read on for a detailed guide on optimising your mutual fund allocation strategy as a salaried individual.
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• Gold investments help diversify risks and provide growth even in times of adverse developments in equities and debt markets.
5 Investing Myths
Myths concerning investing tend to be costly. They can lead you to take too much risk, or too little. Worse still, may cause you to avoid investing altogether.Granted, investing is not an easy endeavour. But by busting certain myths, you can at least venture on the straight path.
