Prajna Capital |
- Debt Funds offer Higher Tax Free Returns than BANK FDS
- Should you buy Gold now?
- EPFO transformation from July 1
| Debt Funds offer Higher Tax Free Returns than BANK FDS Posted: 18 Apr 2013 02:22 AM PDT Invest In Tax Saving Mutual Funds Online Call 0 94 8300 8300 (India)
Happy Investing!! We can help. Call 0 94 8300 8300 (India) Leave your comment with mail ID and we will answer them OR You can write back to us at PrajnaCapital [at] Gmail [dot] Com
--------------------------------------------- Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.
Invest Tax Saving Mutual Funds Online Tax Saving Mutual Funds Online These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)
Download Tax Saving Mutual Fund Application Forms from all AMCs Download Tax Saving Mutual Fund Applications
These Application Forms can be used for buying regular mutual funds also
Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )
------------------ Best Performing Mutual Funds
|
| Posted: 17 Apr 2013 11:23 PM PDT Invest In Tax Saving Mutual Funds Online Call 0 94 8300 8300 (India)
The gold prices have crashed and as a result investors are a worried lot. An asset class that has been shinning for long has suddenly lost its sheen. No wonder, there are mixed reactions from investors. While on the one hand there are investors who are not sure about what to do with their investments in gold, on the other hand there are those who are wondering whether there is an opportunity to buy gold at the current prices and make a quick buck.
While investors' dilemma is understandable, one of the factors that they need to consider while deciding on whether to buy, sell or hold investments in gold is the reason for investing earlier as well as at the current levels. A better understanding of the role of gold in their asset allocation process can help them tackle the complexity of the current situation. In fact, knowing that there is more than one reason to have gold in their portfolios at all times could soothe the frayed nerves of investors.
First, there is a merit in making gold an integral part of the portfolio as it has a negative correlation with other preferred asset classes. Second, since gold is both a commodity as well as currency, the sources for its demand are far more diverse. A wide range of buyers like the jewellery sector, financial institutions, manufacturers of industrial products as well as various investment channels including coins and bars, gold ETFs and e-gold also make liquidity risk very low. Third, investing in gold does not carry a credit risk.
Of course, one faces the risk of price fluctuations. However, the volatility can be tackled by investing systematically as well as by choosing the right way to invest in the gold. Remember, buying paper gold through options like gold ETFs and gold savings funds can be a simple and tax efficient way.
Another objective of investing in gold could be to accumulate it for a special occasion like children's marriage. Therefore, for someone who has been investing in gold for this very purpose with a time horizon of say 10-15 years, there is no reason to panic. In fact, the periods of extreme volatilities could help him in bringing his average cost down.
Therefore, all those investors who have been investing in gold in a disciplined manner and as a part of their asset allocation process would do well to not only hold on their investments in gold but also continue investing systematically through their defined time horizon. There could be prolonged periods of not-so-encouraging performance, but that is understandable for an asset class that has been giving phenomenal returns over the last decade or so. However, it would be prudent to have a close look at the level of exposure in gold vis-a-vis their overall portfolio size. Ideally, the exposure to gold should not be more than 10 percent of the portfolio at all times.
While a disciplined approach to investing in an asset class like gold can benefit investors over time, any attempt to make ad hoc decisions can be risky. Hence, anyone who may be considering taking advantage of the steep fall in the gold prices to make quick money will do well to remember that such decisions can backfire at times. The key deciding factor should the likely contribution of an investment decision to the long-term prospects of the portfolio.
Then there are investors who have been investing in gold with a sole objective of benefiting from the momentum in the gold prices. As always, in the absence of any defined time horizon, decision making can be a little tricky. Therefore, considering that gold prices can fall further from the current levels and that the volatility in the gold prices is likely to continue for some time, it may be time for them to prune the exposure and invest elsewhere.
Happy Investing!! We can help. Call 0 94 8300 8300 (India) Leave your comment with mail ID and we will answer them OR You can write back to us at PrajnaCapital [at] Gmail [dot] Com
--------------------------------------------- Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.
Invest Tax Saving Mutual Funds Online Tax Saving Mutual Funds Online These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)
Download Tax Saving Mutual Fund Application Forms from all AMCs Download Tax Saving Mutual Fund Applications
These Application Forms can be used for buying regular mutual funds also
Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )
------------------ Best Performing Mutual Funds
|
| EPFO transformation from July 1 Posted: 17 Apr 2013 09:54 PM PDT Invest In Tax Saving Mutual Funds Online Call 0 94 8300 8300 (India)
Transfer and withdrawal of funds would be made simpler and faster from July 1, as the Employees Provident Fund Organisation (EPFO) has set in motion a system to streamline the process. While transfer of funds of subscribers from one organisation to another now takes months and not the 30 days it is supposed to, the new target the EPFO is trying to set for itself is 15 days.
Once the new process is in force from July 1, subscribers are supposed to be in a position to apply for transfer or withdrawal with the click of a button and also to monitor and track the speed of the process, which would be expected to be completed in a given deadline. At present, the deadline is 30 days but data with EPFO shows that in 201112, just 54 per cent of transfer applications and 59 per cent of withdrawal applications were processed in 30 days.
Under the present system, the subscriber applies for transfer of funds to another organisation at his old office. The steps involved in a transfer are: Verification of the member at both ends, transfer of money from old office to new office and transfer of service details from old office to new office. This procedure of cross- verifications leads to delays, feels EPFO.
The new system, set in motion from April 1, involves a centralised system which works as a clearing house, that receives the employee's transfer claim from the new employer. The clearing house then sends the data of the member to the old office for verification and receives the verified data almost promptly.
The clearing house generates net credit and debit advice for each subscriber organisation at the end of each day. In other words, the member makes his transfer application at his new or old office or directly to the EPFO through an online application. The process is then taken over by the EPFO, which gets data verification from both offices and gets the transfer done immediately. Now, EPFO would do the work of getting details from both old and new offices where transfer is involved, says EPFO Commissioner Anil Swarup. "EPFO has got a bad name for withdrawal and transfer. With web- based applications, we would centrally monitor each application and ensure it is completed within the decided time," he says. " We already have data of subscribers online. All we need is to link the data to processes. We want to operate it like a bank, which transfers funds to an account holder's different accounts without any hassle or delay. It should be that fast." Adding: " Employees resort to mostly withdrawals today because transfers are so difficult and cumbersome. So, once we make transfers easy, withdrawals would come down."
Happy Investing!! We can help. Call 0 94 8300 8300 (India) Leave your comment with mail ID and we will answer them OR You can write back to us at PrajnaCapital [at] Gmail [dot] Com
--------------------------------------------- Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.
Invest Tax Saving Mutual Funds Online Tax Saving Mutual Funds Online These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)
Download Tax Saving Mutual Fund Application Forms from all AMCs Download Tax Saving Mutual Fund Applications
These Application Forms can be used for buying regular mutual funds also
Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )
------------------ Best Performing Mutual Funds
|
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