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- UTI Opportunities Fund - Invest Online
- Tax Saving - Some gifts from non-relatives are tax exempt
- Mutual Fund SIPs and Recurring Deposit
| UTI Opportunities Fund - Invest Online Posted: 04 Jun 2014 05:16 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
UTI Opportunities Fund
The scheme seeks to generate capital appreciation and/ or income distribution by investing the funds of the scheme in equity shares and equity related instruments. The focus of the scheme is to capitalize on opportunities arising in the market by responding to the dynamically changing Indian economy by moving its investments amongst different sectors as prevailing trends change.
UTI Opportunities is one of the funds that over the last few years has been responsible for the turnaround in this fund houses' reputation as a good equity fund manager. The last five years has seen an average annual return of 27.6 per cent. While the fund has underperformed the benchmark in two of these years, these have been relatively small lags in years that have otherwise been strongly positive. In aggregate, the fund has outpaced the benchmark by 30 per cent, which is 5.25 per cent a year. On absolute performance, the fund has aggregated gains of 180 per cent in these five years, which is 23 per cent a year.
Moreover, these gains have come without any severe declines. The highpoint of this fund's recent history: it was well-positioned to take advantage of the strong post-May 2009 gains. Even better, it protected those gains well later. When the markets fell 25 per cent during 2011, the fund fell only 12 per cent. Over time, these are the kind of small victories that stack up to big gains by investors.
This relatively high-return and low-volatility behaviour shows superbly in its Value Research Star Ratings. At 32 months and counting, this fund has one of the longest unbroken five-star runs among all equity funds. And, in the last 57 months, it has had seven four-stars and 50 five stars.
What's the secret behind this track record? According to fund manager and UTI's Equity CIO Anoop Bhaskar, his short list generally consists of stocks that could surprise on earnings, those that have proven earnings growth better than their sectors, and proven core stocks with superior earnings. It's a stock-centric rather than a top down sector-centric or macro-driven approach.
One interesting point; the fund's large cap exposure has grown from the 60-70 per cent range in 2010-11 to the mid-80s now. On this trend, it may soon hit the limit at which we will have to reclassify it as a large-cap fund. Still, that's a technicality. It may change its peer set but the case for investing looks likely to remain intact.
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
Leave a missed Call on 94 8300 8300
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 Mutual Funds Online
Download Mutual Fund Application Forms from all AMCs Download Mutual Any Fund Application Forms ---------------------------------------------
Best Performing Mutual Funds
B. Large and Midcap Funds Invest Online
C. Mid and SmallCap Funds Invest Online
D. Small and MicroCap Funds Invest Online
2.Franklin India Smaller Companies E. Sector Funds Invest Online
F. Tax Saver Mutual Funds Invest Online 1. ICICI Prudential Tax Plan 2. HDFC Taxsaver
G. Gold Mutual Funds Invest Online
H. International funds Invest Online 1. Birla Sun Life International Equity Plan A 2. DSP BlackRock US Flexible Equity 3. FT India Feeder Franklin US Opportunities 4. ICICI Prudential US Bluechip Equity 5. Motilal Oswal MOSt Shares NASDAQ-100 ETF |
| Tax Saving - Some gifts from non-relatives are tax exempt Posted: 04 Jun 2014 04:41 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
A gift from someone is always welcome. The hitch is when some, especially financial gifts, become taxable. Even so, not always; gifts from relatives are exempt from income tax (I- T). And, gifts from non- relatives can also be tax- exempt, under certain conditions.
Some assets for which I- T is applicable, if gifted, are:
· Cash of more than ₹ 50,000 |Immovable property such as land and buildings
· Movable property — shares and other securities ( debt, derivatives, futures & options)
· Jewellery and bullion
· Art and antiquities (paintings, sculptures and so on).
Now, situations when gifts from non- relatives can also be exempt from tax:
Gift as inheritance
All gifts under a will, and all amounts received on the death of a person as a part of the inheritance, are fully exempt from IT.
When assets or gifts are received as inheritance even from non- relatives, it is exempt. The assets can be passed with or without a will. For instance, someone has no relative and gives away all his wealth to a friend. The friend will not be taxed for the assets got.
Here, the onus of proving the assets got were under inheritance is with the friend, say experts. On the owner's death, the friend will require a probate (the term for legally certifying the will for implementation) from a court. The court will wait for a year, to check if someone else comes forward as a blood relation or heir to the assets. This will need to be announced through a newspaper – in English and a regional language. If no one comes forward, the probate will be issued and the property transferred in the friends name, say experts.
Under Section 56 of the I- T Act, certain gifts are liable to income tax as income from other sources. This provision is applicable only for individuals and Hindu Undivided Families (HUFs). Even if a gift is received by any Trust or Association of Persons, it is not liable for I- T as "income from other sources".
Again asset transfer from a Trust should be as inheritance or it will become taxable, says Shah. For example, if a person creates a Trust when he's alive where the beneficiaries are non- relatives and which dissolves on the death of the Trust creator, it might not always be considered inherited assets.
On contemplation of death of a donor
If an individual has a fatal disease and it is known he might not survive for long, he can transfer all his assets ( as gifts) to his near and dear ones while alive. The near and dear need not be relatives. In such cases, the beneficiary(ies) may not have to pay IT on the assets received.
From public charitable trust or institution
Many registered charitable institutions and non- government organisations provide financial help to individuals for education or medical treatment.
Such monetary help is also exempt from I- T. A fund from any foundation, university or other educational institution or hospital or any trust or any institution referred to in Section 10( 23C) are all exempt.
Thus, scholarships, stipends or charities received from a charitable institution would be completely exempt from I- T in the hands of the recipients, says Shah of EY. Here, there is no monetary threshold, provided the trust or institution giving the charity is registered under Section 12AA.
Cash of less than ~ 50,000
Cash gifts of any amount less than ₹ 50,000 from a nonrelative are exempt from I- T.
Thus, some experts advise accepting cash gifts of more than ₹ 50,000 in a financial year only from relatives, as it is completely exempt from tax. It is important to know the definition of the word ' relative' for this purpose. It can be |Spouse of the individual getting the gift |Brother or sister of the individual getting the gift |Brother or sister of the spouse of the individual getting the gift |Brother or sister of either of the parents of the individual getting the gift |Any lineal ascendant of the individual getting the gift or his/ her spouse For instance, if X receives a gift of ₹ 1 lakh in cash from his fathers brother or paternal uncle, it would be exempt from I- T, since the paternal uncle would be a brother of the parent of the individual getting the gift and would come within clause ( iv) above.
Hence, whenever you receive any gifts from relatives, check whether the person concerned comes within one of these categories. If not, he would be considered a non- relative and gifts from such people would be exempt only to the extent of ₹ 50,000 in a financial year. Since a HUF can't have relatives, any gifts received by it in excess of ₹ 50,000 in a year would be liable for I- T.
Importantly, one should be careful when getting gifts from relatives abroad because of the black (unaccounted) money issue. Also, many a time to avoid tax on gifts from strangers, people route such expensive gifts through relatives abroad (where different laws may be applicable). Here, if the relative is a retired person or a housewife who doesn't earn, you can be caught for avoiding tax," he adds. Even cars received as a gift from non- relatives will be tax- exempt.
The provision of taxation of gifts became applicable in respect of those got on or after September 1, 2004, and before April 1, 2006, if a monetary gift exceeds ₹ 25,000. From April 1, 2006, this amount was increased to ₹ 50,000, so that cash gifts and gifts by cheque or bank draft from non- relatives and from non- exempted categories can be fully exempt from I- T up to ₹ 50,000 in aggregate in one financial year.
On marriage or such occasions
Any gift received from any person ( a non- relative) on the occasion of marriage or any other such ceremonial occasions would not be liable to I- T at all. There is no monetary limit attached to this exemption.
Experts say the hitch is that it has so far not been clarified if gifts for a specific ceremony like marriage or child birth should have been received on the date of marriage or can be got a few days before or after, too. Typically there isn't any problem as long as the gift received was for the recipients marriage but there is no exact clarity on it.
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
Leave a missed Call on 94 8300 8300
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 Mutual Funds Online
Download Mutual Fund Application Forms from all AMCs Download Mutual Any Fund Application Forms ---------------------------------------------
Best Performing Mutual Funds
B. Large and Midcap Funds Invest Online
C. Mid and SmallCap Funds Invest Online
D. Small and MicroCap Funds Invest Online
2.Franklin India Smaller Companies E. Sector Funds Invest Online
F. Tax Saver Mutual Funds Invest Online 1. ICICI Prudential Tax Plan 2. HDFC Taxsaver
G. Gold Mutual Funds Invest Online
H. International funds Invest Online 1. Birla Sun Life International Equity Plan A 2. DSP BlackRock US Flexible Equity 3. FT India Feeder Franklin US Opportunities 4. ICICI Prudential US Bluechip Equity 5. Motilal Oswal MOSt Shares NASDAQ-100 ETF |
| Mutual Fund SIPs and Recurring Deposit Posted: 04 Jun 2014 02:42 AM PDT Download Tax Saving Mutual Fund Application Forms Invest In Tax Saving Mutual Funds Online Leave a missed Call on 94 8300 8300
An SIP (systematic in vestment plan) and a recur ring de posit (RD) are concepts of investing, which more or less mean the same. It means that a person invests in any of the asset classes periodically . This periodic investment can be either monthly, quarterly, etc and for a defined timeline.
An RD is normally associated with investments done through banks, post offices, etc. They are also mostly monthly or quarterly in nature. In both these cases, instructions are given to the investee by the investor to regularly make investment on behalf of the investor in the given asset class every month or quarter or as may be specified by the investor for a specific timeline. And to answer your query on where you should invest, the best way forward for you should be to go through a complete process of financial planning. A product can be good for one person and might not suit someone else's requirement. So it is advised to clearly understand your goals, cash flows, risk taking ability, assets, liabilities, taxation and then arrive at a solution which could help get clarity on where you need to invest.
For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call
Leave a missed Call on 94 8300 8300
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 Mutual Funds Online
Download Mutual Fund Application Forms from all AMCs Download Mutual Any Fund Application Forms ---------------------------------------------
Best Performing Mutual Funds
B. Large and Midcap Funds Invest Online
C. Mid and SmallCap Funds Invest Online
D. Small and MicroCap Funds Invest Online
2.Franklin India Smaller Companies E. Sector Funds Invest Online
F. Tax Saver Mutual Funds Invest Online 1. ICICI Prudential Tax Plan 2. HDFC Taxsaver
G. Gold Mutual Funds Invest Online
H. International funds Invest Online 1. Birla Sun Life International Equity Plan A 2. DSP BlackRock US Flexible Equity 3. FT India Feeder Franklin US Opportunities 4. ICICI Prudential US Bluechip Equity 5. Motilal Oswal MOSt Shares NASDAQ-100 ETF |
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