Short Term Plans
ONCE AGAIN TIME TO INVEST IN TRADITIONAL STP
I have been telling my clients that this is the year for debt schemes. If one chooses the right strategy along with right schemes, one can earn very decent returns. Even the steepness of the curve (from flattish curve earlier) is giving ample opportunities at every time segment on the yield curve. An investor needs [...]
Alternate to 1 month & 3 month FMPs
In the current market scenario, wherein the short term rates (between 30-90 days) have been on the downslide, it does not make sense to invest in 1 & 3 month FMPs. As against that there are two schemes which are capable of locking in higher accruals and give rise to some capital gains over 1 [...]
CONTINUATION – A LOOK AT SOME OTHER SCHEMES
In continuation of my earlier note yesterday, the following schemes can are capable of giving decent double digit returns over their recommended investment horizons due to strategy of high accrual/roll down effect & capital gains. Templeton India Short Term Income Plan Exit Load – 0.50% if redeemed before 9 Months Templeton India Income Opportunities Fund [...]
TIME TO GET AGGRESSIVE?
Short term rates seem to be peaking off. In fact, they peaked off in the month of March 2011. We have not seen those peak rates touched in March 2011 (1 year CD CP had touched a high of 12.50% on March 15) after that even post two rate hikes by RBI. Our call on [...]
STICKING TO SIMPLE FORMULA – TISTIP
Time & again I have been recommending investment in the captioned scheme with investment horizon of one year & above. The Fund manager’s strategy of generating returns over one year equal to captured YTM at the time of investment less expense ratio +/- 50 to 75 bps based on whether interest rates(at the end of [...]