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“Sukanya Samriddhi Scheme vs LIC Kanyadan Policy – which one is better” is an important query that needs to be answered so that an investor can invest in the scheme which is more suited and helpful for their girl child.  By assuring the safety of the capital and providing a fixed income, both schemes have managed to gain popularity amongst the masses. What is Sukanya Samriddhi Scheme? The Sukanya Samriddhi Scheme is a small savings scheme that comes under the “Beti Bachao Beti Padhao” scheme. It was launched by the central government to build a secured financial corpus and ensure a bright future for the daughters of India. What is LIC Kanyadan Policy? LIC Kanyadan Policy is a small savings scheme offered by LIC to protect the financial future of a girl child. It is a customized version of the LIC Jeevan Lakshya Policy, where a father can deposit money for the marriage and education of his daughter at a low premium. The policy offers both protection and savings benefits. Sukanya Samriddhi Scheme vs LIC Kanyadan Policy 1. Type of Scheme The Sukanya Samriddhi Scheme comes under the Beti Bachao Beti Padhao Scheme and is purely a small savings scheme launched for the education and marriage of a girl child. The LIC Kanyadan Policy is a modified policy based on the LIC Jeevan Lakshya Policy to financially secure the future of a girl child for later years.  2. Launched By The Sukanya Samriddhi Scheme was launched by the Government of India, whereas LIC Kanyadan Policy was launched by LIC. Both policies are exclusively meant for a girl child.  3. Account Holder The girl child is the account holder of the Sukanya Samriddhi Scheme until her marriage, whereas in the LIC Kanyadan Policy, it is the father who is the account holder and not the daughter as he operates the account in her name.  4. Age Criteria The age criteria of Sukanya Samriddhi Scheme vs LIC Kanyadan Policy are different as the first can be purchased after the birth and before the girl child is 10 years old, and the latter can be purchased when the girl child is at least 1 year old, and the age of her father is between 18 years and 50 years.  5. National Eligibility The Sukanya Samriddhi Scheme is open only to the citizens of India, whereas outsiders have the option of choosing the LIC Kanyadan Policy for their daughters.  6. Premium Limit In the Sukanya Samriddhi Scheme vs LIC Kanyadan Policy, the premium limit for the first scheme is INR 1.5 lakhs for a financial year, whereas there is no limit for the latter scheme.  7. Sum Assured Limit The sum assured in the Sukanya Samriddhi Scheme is limited as it is dependent upon the premium paid, whereas the minimum and maximum limits are INR 1 lakh and no limit, respectively, in LIC Kanyadan Policy. 8. Payment Terms In Sukanya Samriddhi Scheme, the amount should not be more than INR 1.5 lakhs and has to be paid every fiscal year. The payment term of the LIC Kanyadan Policy is 3 years under the policy term.  9. Account Maturity Tenure In the Sukanya Samriddhi Scheme, the girl child can handle the account until she is the age of 21 Years or married after 18 years, whereas in LIC Kanyadan Policy, the account maturity tenure is between 13 years – 25 years.  10. Loan Facility There is not any option for a loan facility in the Sukanya Samriddhi Scheme, whereas in LIC Kanyadan Policy, the policyholder can opt for a loan if the account is active and the premium has been paid for three consecutive years.  11. Compensation Offered (in case of the account holder’s death) No compensation is offered in case the account holder of the Sukanya Samriddhi Scheme dies. In LIC Kanyadan Policy, if the death of the account holder is natural then the girl child is eligible for immediate payment of INR 5 lakhs, and in case of accidental death, immediate payment of INR 10 lakhs. If the death is suicidal within 12 months of the policy purchase then 80% of the premium amount is paid by the LIC corporation, along with the surrender value and the tax amount.  Conclusion By now, you must have got a clear idea about which one amongst the Sukanya Samriddhi Scheme vs LIC Kanyadan Policy will suit the personal needs of your child. Remember, both schemes provide financial assistance to low- and high-income group parents who want to fulfill their dream of educating or simply marrying their girl child. So, consider their differences well and choose the one you find most beneficial.  Consult an expert advisor to get the right plan TALK TO AN EXPERT

Becoming financially independent is one of the ultimate goals behind pursuing any profession of your choice. Of course, everybody needs to work to earn money. But will earning money alone ensure your financial independence? We’ll discuss the possible ways to become financially independent in this blog. What financial independence means? Everyone defines financial independence in their own terms and goals. For most people, it usually means having financial freedom and not having to worry about finances and money-related issues. Financial independence comes when you intelligently invest and can afford a certain lifestyle of your choice. It also means you retire without worry or have the freedom to pursue your passion without second thoughts. 1. Set life goals A mere desire to achieve financial independence won’t help you reach your goal. If you wish to be financially independent as soon as possible, you should set realistic and ambitious goals. Setting life goals, big or small, would help you create a blueprint for achieving those goals. Be focused and specific about your goal and make timelines accordingly. This will not only help you meet your goal’s deadlines on time but also increase your chances of achieving your goal. 2. Make a monthly budget Making a monthly household budget is one of the best ways to control your spending and track your bills. Sticking to your budget is a great way to ensure that bills are paid and savings are on track. It also acts as a regular routine that reinforces your goals. 3. Start investing now In the midst of rising debt, financial emergencies, medical expenses, and excessive spending, achieving financial independence can be quite challenging. However, it is attainable with discipline and careful planning. Bad stock markets and low returns can make people question their wisdom in investing and whether they should keep investing their hard-earned money. But there is no better way to grow your money than investing. Investing is basically making your money work for more money rather than you working for the money. The magic of compound interest, dividends, growth in the share market, increments in shares you have invested in, etc., will grow your money exponentially. But you need a lot of time and patience to achieve this meaningful financial independence. Investing in the right tools at the right time with expert advice can help you reach your goal. Remember that not everyone is a professional investor from the beginning, so it would be a mistake to attempt the kind of stock-pinning and risky investments made famous by billionaires like Warren Buffett. Instead, start simply by opening an online brokerage account that will help you learn how to invest, create a manageable portfolio, and make weekly or monthly contributions to it automatically.  Track your investments on a regular basis and keep learning more about investments and better opportunities to invest in. More importantly, consult financial experts while investing your savings. 4. Avoid loans and debts and pay off your credit cards in full One of the vital hacks for becoming financially independent is to avoid loans, credits, debts, etc. You need to be smart when it comes to money and financial freedom. It might seem easy to pay back loans, but in reality, there are many challenges. When loans are being taken, they should be intelligently calculated and only be taken when necessary. Credit cards and other high-interest consumer loans may be hurdles to wealth-building. Make sure to settle the entire balance every month. Paying off mortgages, student loans, and other loans with comparable terms often have significantly lower interest rates, so doing so is not urgent. Even yet, timely repayment of these loans with lower interest rates is crucial. On-time payment of these loans would not only help you get financially independent early but also help you build a good credit score which is very beneficial. 5. Watch your credit score The credit score is a very important number for you as it determines the basis on which interest rate will be offered to you when you decide to take loans for any personal reasons like renovating your house or buying a new car, or taking any loans for any purpose. Credit score also plays an important role in determining the premium rate you will have to pay for any kind of insurance you take. Since someone with careless financial habits is thought to be irresponsible in other areas of life, credit scores are given a lot of importance. This is why it's crucial to obtain credit information on a regular basis to ensure that no incorrect defaults are harming your reputation. Stay educated on financial issues. 6. Create automatic savings Automatic saving basically means setting money aside the day you get paid so that it never reaches you. You can also call it paying yourselves to be ready for retirement. To be financially independent, it’s very important to enroll in an employer’s retirement plans and make full use of any matching contribution benefits, which are essentially free money. Having an emergency fund that may be accessed for unforeseen needs is a good idea as well. 7. Do not stop having fun And last, ensure your life does not seem too boring because you do not let yourself have a little fun and relax. Join parties, travel from time to time, and do not forget that you need to strike a reasonable balance between achieving financial independence and your everyday life as a young and happy person. Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

One of the largest AMCs in India, DSP has been helping investors make sound investment decisions responsibly and unemotionally for over 25 years. DSP is backed by the DSP Group, an almost 160-year-old Indian financial giant. The family behind DSP has been very influential in the growth and professionalization of capital markets and the money management business in India over the last one-and-a-half centuries. Let us talk about the flagship product – DSP Nifty 50 Equal Weight Index Fund. DSP Nifty 50 Equal Weight Index Fund  Investment objective The primary investment objective of the Scheme is to invest in companies that are constituents of the NIFTY 50 Equal Weight Index (underlying Index) in the same proportion as in the index and seeks to generate returns that are commensurate (before fees and expenses) with the performance of the underlying Index, "subject to tracking error".  Investment process   By matching the Nifty 50 Equal Weight TR Index, it allows you to invest in India's top 50 companies, each with the same weight in the portfolio. The portfolio is re-aligned every quarter so every stock's weight is brought back to 2%.  Portfolio composition  The portfolio has an entire equity exposure of 100% in large-cap companies. The top 5 sectors hold nearly 48% of the portfolio, with major exposure to the banking and automobile sectors. Note: Data as of 30th Sep 2022. The bar graph shows the top 5 sector weightage of the fund’s portfolio. Source: dspim.com https://www.youtube.com/shorts/MlOiPHJjTjs Top 5 holdings Name Sector Weightage % Axis Bank Ltd. Bank 2.34 Coal India Ltd.  Coal Mining company 2.19 Sun Pharmaceutical Industries Ltd. Pharmaceutical 2.16 HCL Technologies Technology 2.16 Power Grid Corporation of India Ltd.  Electric Services 2.12 Note: Data as of 30th Sep 2022. Source: ICICI Pru AMC Performance over 5 years  If you had invested 10,000 at the inception of the fund, it would be now valued at Rs. 16,625. This fund has outperformed the benchmark in all time horizons. Note: Performance of the fund since launch as on Nov 11, 2022. Source: Moneycontrol  The fund has given consistent returns and has outperformed the benchmark over the period of more than 5 years by generating a CAGR (Compounded Annual Growth Rate) of 10.58%. Fund managers  Anil Ghelani - Total work experience of 22 years. Managing the scheme since June 2019. He was also the CIO of DSP Mutual Fund.  Diipesh Shah - Total work experience of 20 years. Managing the scheme since November 2020.  Who should invest in the DSP Nifty 50 Equal Weight Index Fund?  Investors  Aiming to build wealth by investing conveniently & equally in the top 50 Indian companies.  Have the patience & mental resilience to remain invested for a decade or more.  Why invest in the DSP Nifty 50 Equal Weight Index Fund?  Can help you beat the impact of rising prices over the long term.  A well-diversified portfolio avoids undue concentration in a few stocks/sectors.  Horizon  One should look at investing for a minimum of 5 years or more.  Investment through a Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  This is a zero-bias product since it only replicates an index and does not carry any stock or sector bias & does not have an 'active' fund manager. Relatively low-cost, with a comparatively lower expense ratio than active large-cap funds. It offers a well-diversified portfolio and avoids undue concentration in a few stocks/sectors. DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only.

One of the largest AMCs in India, DSP has been helping investors make sound investment decisions responsibly and unemotionally for over 25 years. DSP is backed by the DSP Group, an almost 160-year-old Indian financial giant. The family behind DSP has been very influential in the growth and professionalization of capital markets and the money management business in India over the last one-and-a-half centuries. Let us talk about the flagship product – DSP Nifty 50 Index Fund. About DSP Nifty 50 Index Fund  - Investment objective To invest in companies that are constituents of the NIFTY 50 Index (underlying Index) in the same proportion as in the index and seek to generate returns that are commensurate (before fees and expenses) with the performance of the underlying Index, "subject to tracking error".  - Investment process   The portfolio of this index fund replicates the Nifty 50 TR Index - same stocks, same weights. The portfolio is rebalanced semi-annually to adjust for any stock additions or subtractions to the Index.  - Portfolio composition  The entire portfolio exposure of 100% is only in large-cap stocks replicating the Nifty 50 Index. The top 5 sectors hold nearly 67% of the portfolio, with major exposure to the banking sector. Note: Data as of 30th Sep 2022. The bar graph shows the top 5 sector weightage of the fund’s portfolio. Source: dspim.com  Top 5 holdings Name Sector Weightage % Reliance Industries Ltd. Conglomerate 11.01 HDFC Bank Ltd. Bank 8.25 ICICI Bank Ltd. Bank 7.93 Infosys Ltd. Information Technology 7.05 Housing Development Finance Corporation Ltd. Financial Services 5.61 Note: Data as of 30th Sep 2022. Source: ICICI Pru AMC  Performance over 3 years  If you would have invested 10,000 at the inception of the DSP Nifty 50 Index Fund, it would be now valued at Rs. 17,368. The DSP Nifty 50 Index Fund has outperformed the benchmark in all time horizons.  Note: Performance of the fund since launch; Inception Date – Feb 21, 2019. Source: Moneycontrol  The fund has given consistent returns and has outperformed the benchmark over the period of more than 3 years by generating a CAGR (Compounded Annual Growth Rate) of 15.98%. Fund managers  Anil Ghelani: Total work experience of 22 years. Managing the scheme since June 2019. He was also the CIO of DSP Mutual Fund.  Diipesh Shah: Total work experience of 20 years. Managing the scheme since November 2020. Who should invest in DSP Nifty 50 Index Fund?  Investors looking for  Aim to build wealth by investing conveniently in the top 50 Indian companies.  Relatively low-cost funds, with a comparatively lower expense ratio than active large-cap funds.  Why invest in DSP Nifty 50 Index Fund?  This fund can help you beat the impact of rising prices over the long term.  It has no sector or stock concentration.  Horizon  One should look at investing for a minimum of 5 years or more.  Investment through a Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  This DSP Nifty 50 Index Fund offers an affordable way to buy the top 50 Indian stocks. Since the fund only replicates an index & does not have an 'active' fund manager, it carries no human decision-making bias.  DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only.

One of the largest AMCs in India, DSP has been helping investors make sound investment decisions responsibly and unemotionally for over 25 years. DSP is backed by the DSP Group, an almost 160-year-old Indian financial giant. The family behind DSP has been very influential in the growth and professionalization of capital markets and the money management business in India over the last one-and-a-half centuries. Let us talk about the flagship product – DSP Quant Fund. About DSP Quant Fund - Investment objective The investment objective of the scheme is to deliver superior returns as compared to the underlying benchmark over the medium to long term through investing in equity and equity-related securities.  - Investment process   The portfolio of stocks will be selected, weighed, and re-balanced using stock screeners, factor-based scoring, and an optimization formula that aims to enhance portfolio exposures to factors representing 'good investing principles' such as growth, value, and quality within risk constraints.  - Portfolio composition  The equity exposure is majorly in large-cap stocks at 83% and sectoral major exposure is to banks and financial services. The top 5 sectors hold nearly 53% of the portfolio. Note: Data as of 30th Sep 2022. The bar graph shows the top 5 sector weightage of the fund’s portfolio. Source: dspim.com  Top 5 holdings Name Sector Weightage % ICICI Bank Ltd. Bank 5.16 Housing Development Finance Corporation Ltd. Financial Services 4.36 HDFC Bank Ltd. Bank 4.28 Bajaj Finance Ltd. Financial Services 4.07 Bajaj Finserv Ltd. Financial Services 4.06 Note: Data as of 30th Sep 2022. Source: ICICI Pru AMC  Performance over 3 years If you would have invested 10,000 at the inception of the DSP Quant Fund, it would be now valued at Rs. 15,891. This fund has outperformed the benchmark in all time horizons. Note: Performance of the fund since launch; Inception Date – Jun 10, 2019. Source: dspim.com  The DSP Quant Fund has given consistent returns and has outperformed the benchmark over the period of 3 years by generating a CAGR (Compounded Annual Growth Rate) of 15.02%. Fund managers  Anil Ghelani - Total work experience of 22 years. Managing the scheme since June 2019.   Diipesh Shah - Total work experience of 20 years. Managing the scheme since November 2020.   Prateek Nigudkar - Total work experience of 9 years. Managing this fund since May 2022.   Aparna Karnik - Total work experience of 17 years. Managing this fund since May 2022.   Who should invest in DSP Quant Fund?  Investors looking for  Long-term wealth creation solution.  Looking for a portfolio with fundamentally strong sectors and stocks that do not experience very high volatility.  Why invest in DSP Quant Fund?  Investment in the active portfolio of stocks screened, selected, weighed, and rebalanced on the basis of a predefined fundamental factor mode.  It has no sector or stock concentration.  Horizon  One should look at investing for a minimum of 5 years or more.  Investment through a Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  The fund has a strategy of quality, value, and growth while selecting the stocks for its portfolio. This fund uses a multi-factor approach to assess companies in a holistic manner. DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only. 

You have seen several different types of ETFs. There are some specialized ETFs that use complex strategies to deliver a return. Leveraged ETFs are one such type of specialized ETF.  What do leveraged ETFs mean? In layman's terms, it means exerting force. In ETF parlance, it means generating a multiple of returns given some return of the underlying index.   For instance, ProShares Ultra S&P 500 ETF is a leveraged ETF that returns twice the daily return of the S&P 500. If the S&P is up 2% daily, the ETF will be up 4% after adjusting the expense ratio. Conversely, if the S&P is down 1.5%, the ETF will be down 3%.  These leveraged ETFs rebalance their portfolio allocations daily. Thus, each day is considered a new day without any connection to the previous day.   Most investors confuse this leverage with more time-bound influence, as in if the S&P is up 10% in a year, the ETF will be up 20% if it's a 2x return ETF, which is entirely wrong! These ETFs work on a daily leverage basis, and in the long run, the fund will not exactly replicate the underlying index. The rebalancing of funds is done on a daily basis to generate an assured return. Continuing with our previous example, if the ProShares ETF is giving a 2x return, the ETF will have to acquire assets that are twice the value of the NAV of the fund.   As an illustration, if a fund has 100 units of securities, the fund will swap these with the counterparty for exposure to 200 units of the performing assets. This rebalancing is usually in the direction of the market.  Such leveraged ETFs can be shortly leveraged or long leveraged Long-leveraged ETFs will trace the market trend in the same direction. Short-leveraged ETFs will move on the contrary.   For example, the ProShares UltraShort S&P 500 ETF design is such that if the S&P rises 5% in a day, the ETF goes down 10%, i.e., a 2x return in opposite direction. Similarly, if the index value falls 5%, the ETF will be up 10%.  Since the rebalancing is on a daily basis, compounded growth, in the long run, doesn't resemble the development of the underlying index. Volatility in the market can severely dent the prospective gains of the ETFs, leading to severe underperformance compared to the underlying assets. For instance, if a triple-leveraged ETF loses 30%, the underlying index must have lost only 10%.   A leveraged ETF can lose its value in some tremendously sporadic cases, mainly when derivatives are part of the ETFs kitty.  Let's take some easy examples and understand how things pan out.  1. Let's take a scenario where the market is up 5% daily, and a 2x long leveraged ETF is traded. Days Daily market performance Expected index level Expected 2x leveraged long ETF level Daily ETF performance 0 0% 100 100   1 5% 105.00 110.00 10% 2 5% 110.25 121.00 10% 3 5% 115.76 133.10 10% 4 5% 121.55 146.41 10% 5 5% 127.63 161.05 10% 6 5% 134.01 177.16 10% 7 5% 140.71 194.87 10% 8 5% 147.75 214.36 10% 9 5% 155.13 235.79 10% 10 5% 162.89 259.37 10% 10-day cumulative change   62.89 159.37   2. Let's take a scenario where the market is down 5% daily, and a 2x long leveraged ETF is traded: Days Daily market performance Expected index level Expected 2x leveraged long ETF level Daily ETF performance 0 0% 100 100   1 -5% 95.00 90.00 -10% 2 -5% 90.25 81.00 -10% 3 -5% 85.74 72.90 -10% 4 -5% 81.45 65.61 -10% 5 -5% 77.38 59.05 -10% 6 -5% 73.51 53.14 -10% 7 -5% 69.83 47.83 -10% 8 -5% 66.34 43.05 -10% 9 -5% 63.02 38.74 -10% 10 -5% 59.87 34.87 -10% 10-day cumulative change   -40.13 -65.13   3. Let's take a scenario where the market is down 5% and up 5%, and a 2x long leveraged ETF is traded. Days Daily market performance Expected index level Expected 2x leveraged long ETF level Daily ETF performance 0 0% 100 100   1 5% 105.00 110.00 10% 2 -5% 99.75 99.00 -10% 3 5% 104.74 108.90 10% 4 -5% 99.50 98.01 -10% 5 5% 104.48 107.81 10% 6 -5% 99.25 97.03 -10% 7 5% 104.21 106.73 10% 8 -5% 99.00 96.06 -10% 9 5% 103.95 105.67 10% 10 -5% 98.76 95.10 -10% 10-day cumulative change   -1.24 -4.90   These are the types of results you can expect if you hold a leveraged ETF. So, an investor must not get deceived by the vocabulary of the ETF, i.e., 2x isn't the 2x that you think. Traders for making quick short-term gains have used leveraged ETFs.  Suppose an investor predicts that the price of natural gas will increase in the coming days or weeks, then investing in a leveraged ETF to enhance the return is sensible if the prediction is correct. However, if it's the other way around, he can buy some inverse leveraged ETFs to maximize his gains and thus act as a hedge to prevent potential losses.  If the prediction is wrong, the losses are magnified by such ETFs.  How do Leveraged ETFs Work?  Let’s say an investor buys shares of a 3 times-leveraged ETF for $200. If the underlying index rises 20% in a single session, the investor gains 60%, boosting the investment to $320.  Leveraged ETF resets every day for the next session. If the underlying index drops 10% the following day, the position's value declines 30% to $272.  As and when the stocks and market indexes fall or rise over time, longer-term positions in leveraged ETFs can become very challenging to hold, thanks to amplified gains and losses.  Who should invest in Leveraged ETFs? Leveraged ETFs are best for seasoned investors with a comprehensive understanding of the risks involved and how it works.  Leveraged ETFs offer an opportunity to add significant value to a trader's overall investment strategy who has an appetite for risk, significant experience, and wish to amplify daily returns in both uptrend and downtrend.  When volatility in the market increases, leveraged ETFs can be effectively used for hedging purposes. Leveraged ETFs can open up many new opportunities if the objective is to hedge your trades and enhanced returns.  Remember to research leveraged funds with caution, as losses can be magnified similarly to returns.  Proceeding with caution and doing due diligence before acting is the way to go. FAQs What is a leveraged ETF? Leveraged ETFs generate a multiple of returns given some return of the underlying index.   Who Should Invest in Leveraged ETFs? Leveraged ETFs are best for seasoned investors with a comprehensive understanding of the risks involved and how it works.  How Do Leveraged ETFs Work?  Leveraged ETFs offer an opportunity to add significant value to a trader's overall investment strategy who has an appetite for risk, significant experience, and wish to amplify daily returns in both uptrend and downtrend.  Consult our expert advisor to get the right plan for you TALK TO AN EXPERT

Thinking of buying Bitcoins? Maybe Bitcoin ETFs? But what is a bitcoin and what are bitcoin ETFs? How can you invest in bitcoins, what is the procedure and benefits? Lets find out! Bitcoin is a cryptocurrency founded by an unidentified person Satoshi Nakamoto, in 2009. This cryptocurrency makes blockchain principles its base, which enables a distributed network to maintain an immutable, decentralized ledger of transactions with no single-point failure.   Bitcoins are created through the "mining" process, using specialized computers to solve increasingly complicated arithmetic puzzles. Because this process is decentralized, buyers have appreciated the deflationary attraction of a limited and finite quantity of only 21 million bitcoins.   This cryptocurrency has enabled anonymous transactions, more efficient cross-border capital transfers, and the creation of a new digital store of value.  Since its inception, Bitcoin has been a disruptor, challenging the business practices of both traditional financial sector organizations and central banks. The Bitcoin economy is still in its early stages, with significant growth potential and associated hazards.   While trading in Bitcoin may offer huge profits in the short term, there is still a lot of ambiguity among authorities and various obstacles in safely keeping the asset across platforms.   Due to these risks, no ETFs that provide especially significant exposure to Bitcoin are currently available; however, numerous funds are in the plans. Investors can also have tangential access to Bitcoin by investing in Blockchain technology companies.  Trading in Cryptocurrencies such as bitcoin necessitates a little more effort than investing in equities, bonds, and other traditional assets. To trade in cryptocurrencies, you have to open a trading account with a crypto trading exchange. There's also the issue of storing cryptocurrency, which necessitates the usage of a crypto wallet.  Buying a Bitcoin ETF or fund that operates on a stock exchange as a workaround for these concerns allows you to keep your Bitcoin investment in the same account as your other stocks, bonds, and traditional financial products.  What are Bitcoin exchange-traded funds (ETFs)?  Bitcoin ETFs are stock exchange-traded funds that seek to track Bitcoin's performance. When you purchase an ETF, you are not buying the fundamental investment.   Instead, you're purchasing stocks in a fund that invests in or tries to replicate the performance of a particular security or index in this case, Bitcoin.  Bitcoin ETFs would merge the most significant aspects of the two most popular investments: the simplicity of engaging in an ETF and access to bitcoin, the popular cryptocurrency.  The ETFs will function similarly to other ETFs. On the other hand, Bitcoin ETFs will monitor the price of Bitcoin rather than a market index like the S&P 500 or the DJIA.  Who should buy Bitcoin exchange-traded funds (ETFs)?  A Bitcoin ETF could be an excellent alternative for those searching for a more conventional approach to investing in Bitcoin. Investing in Bitcoin directly can be challenging, as it requires determining how the asset will be kept and which exchange to use to make the transaction. Crypto futures contracts are packaged into ETFs, which removes some complexity.  The ETF structure may make it easier for certain institutional investors to enter the cryptocurrency market, which may help maintain the Bitcoin demand. Where can you get Bitcoin ETFs?  Most online brokers who sell traditional assets such as equities and bonds will be able to offer Bitcoin ETFs. Traditional exchanges trade ETFs, such as the New York Stock Exchange and the Nasdaq.  Are Bitcoin ETFs subject to regulation?  The establishment of any Bitcoin-related ETFs has proven to be problematic. The ProShares Bitcoin Strategy ETF was the first ETF linked to Bitcoin when it was introduced last October; rather than investing in Bitcoin directly, the fund employs futures contracts.   Due to various factors, the Securities and Exchange Commission is still yet to authorize ETFs that invest directly in Bitcoin.  While there are currently no ETFs that acquire Bitcoin directly, there are alternatives. Here are five things to think about  ETFAUMDescriptionGrayscale Bitcoin Trust (OTC: GBTC)$27.2 billionThis is an investment trust, not an ETF, but it's the first and largest fund tracking Bitcoin's performance.ProShares Bitcoin Strategy ETF (NYSEMKT: BITO)$1.41 billionA recent ETF launch attempts to track Bitcoin using Bitcoin futures contracts.Bitwise 10 Crypto Index Fund (OTC: BITW)$894 millionThis fund is 60% Bitcoin, with the balance invested in other cryptos.Bitwise Crypto Industry Innovators ETF (NYSEMKT: BITQ)$117 millionThis ETF invests in Bitcoin and crypto stocks.Valkyrie Bitcoin Strategy ETF (NASDAQ: BTF)$51 millionThis is a new ETF that invests in Bitcoin futures from a crypto investment firm. FAQs Are there any Bitcoin ETFs? Bitcoin is indeed a recent addition to the exchange-traded fund market (ETF). Investors can access the alluring possibilities of Bitcoin through Bitcoin exchange-traded funds (ETFs) without having to store it securely. Presently, Bitcoin ETFs could only hold equities of firms or other ETFs that have exposure to cryptocurrencies, along with Bitcoin futures contracts. Can one purchase Bitcoin ETF? Your choices are very constrained if you wish to purchase a Bitcoin ETF. The ProShares Bitcoin Strategy ETF ($BITO) is the only Bitcoin ETF that is accessible in the United States. You will require a foreign securities account because the Bitcoin ETF BTCE is listed outside of the Frankfurt Stock Exchange. What is an ETF for Bitcoin? An exchange-traded fund (ETF) for bitcoins maintains tabs on the currency market. Rather than using crypto exchange platforms, ETFs can be purchased, bought, and exchanged on standard stock market markets. Aside from the inherent volatility of Bitcoin investments, Bitcoin ETFs and funds aren't a great substitute if you want access to the world's largest digital currency.   However, choosing an ETF has advantages because it is useful as a workaround for tracking Bitcoin's performance. Consult our expert advisor to find the right plan for you TALK TO AN EXPERT

One of the largest AMCs in India, DSP has been helping investors make sound investment decisions responsibly and unemotionally for over 25 years. DSP is backed by the DSP Group, an almost 160-year-old Indian financial giant. The family behind DSP has been very influential in the growth and professionalization of capital markets and the money management business in India over the last one-and-a-half centuries. Let us talk about the flagship product – DSP Equity & Bond Fund. DSP Equity & Bond Fund  - Investment objective The primary investment objective of the Scheme is to seek to generate long-term capital appreciation and current income from a portfolio constituted of equity and equity-related securities as well as fixed-income securities (debt and money market securities).  - Investment process   The DSP Equity & Bond Fund invests in a good mix of equity & debt instruments, trying to deliver equity-like returns with a slightly lower risk profile. The equity portion is well diversified across multiple sectors & different-sized companies while the debt portion is mostly in highly rated debt instruments with shorter-term maturity profiles  - Portfolio composition  The portfolio has an equity exposure of 65%+ while debt exposure is kept at less than 35%. The major equity exposure is around 62% in a large cap. The top 5 sectors hold nearly 43% of the portfolio, with major exposure to the banking and finance sector. Note: Data as of 30th Sep 2022. The bar graph shows the top 5 sector weightage of the fund’s portfolio. Source: dspim.com  Top 5 holdings Name Sector Weightage % HDFC Bank Ltd. Bank 7.69 ICICI Bank Ltd. Bank 5.52 Bajaj Finance Ltd. Financial Services 4.34 Infosys Ltd. Information Technology 3.47 Avenue Supermarts Ltd. Retail 3.08 Note: Data as of 30th Sep 2022. Source: ICICI Pru AMC  Performance over 23 years  If you would have invested 10,000 at the inception of the fund, it would be now valued at Rs. 2.2 lakhs. This fund has outperformed the benchmark in all time horizons. Note: Performance of the fund since launch; Inception Date – May 27, 1999, as on Nov 11, 2022 Source: Moneycontrol The fund has given consistent returns and has outperformed the benchmark over the period of more than 23 years by generating a CAGR (Compounded Annual Growth Rate) of 14.36%  Fund managers  Atul Bhole – Mr. Atul is the Vice President of Investments of DSP Blackrock Investment Managers. He has been managing the fund as a Co-Manager since 2016.  Dhaval Gada – Mr. Dhaval has been managing the fund since September 2022. He is also the Vice President of Investments of DSP Mutual Fund.  Vikram Chopra – Mr. Vikram comes with an industry experience of 14 years. He has been actively managing this fund since July 2016.  Who should invest in DSP Equity & Bond Fund?  Investors  Looking to invest in the equity markets but don't know how to begin.  Have the patience & mental resilience to remain invested for a decade or more.  Why invest in DSP Equity & Bond Fund?  This fund is the simplest way to get the benefit of asset allocation with a balance of growth & stability orientation.  Potential capital preservation during falling markets due to debt allocation.  Horizon  One should look at investing for a minimum of 5 years or more.  Investment through a Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  This DSP Equity & Bond Fund offers the potential to grow your wealth over the long term and potential capital preservation during falling markets due to debt allocation. This fund offers debt allocation to control losses during major market collections.  DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only

DSP Group is a 150+ years old financial entity, started back in the 1860s with its stock broking business. And gradually they entered the mutual fund industry.  DSP AMC was incorporated in 1996, and it is one of India’s leading AMC in India. DSP AMCs offer a wide range of products to meet the requirement of every investor in the best way by offering mutual funds. DSP AMC has schemes across debt, equity, hybrid, international funds, and ETFs (Exchange Traded Funds). It holds 25 years of Honest Asset Management. For over two decades, DSP has helped its investors to take responsible money decisions based on two pillars i.e., honesty & integrity.  DSP Flexi Cap Fund  Investment objective An open-ended growth scheme, seeking to generate long-term capital appreciation, from a portfolio that is substantially constituted of equity securities and equity-related securities of issuers domiciled in India. Investment process The DSP Flexi Cap Fund follows a growth style of investing which consists of growth stocks of large-, mid and small-cap companies. The investment philosophy of the fund is to buy quality businesses, stay invested, and use corrections to average down.  The portfolio construction involves investing across the market capitalization spectrum. The fund core portfolio is based on long-term themes, a core equity portfolio of 75% - 80%, and a tactical equity portfolio of 20% - 25% with a total number of stocks of 50-70. Framework to identify companies are business strength, management quality, and growth prospects. Portfolio composition  The portfolio holds the major exposure in large-cap stocks at 61% and sectorally major exposure is to financial services that account for more than one-third of the portfolio. The top 5 sectors hold nearly 73% of the portfolio. Note: Data as of 31st Oct 2022. Source: Value Research  https://youtube.com/shorts/3iy-aCJoJmo DSP Flexi-Cap Fund - Top 5 holdings Name Sector Weightage % HDFC Bank Financial 9.96 ICICI Bank Financial 7.34 Bajaj Finance Limited Financial 5.96 Infosys Technology 4.50 Avenue Supermarts Limited Services 4.07 Note: Data as of 31st Oct 2022. Source: Value Research  Performance over 25 years  If you would have invested 10 lakhs at the inception of the DSP Flexi Cap Fund, it would be now valued at Rs 8.12 crore.  Note: Performance of the fund since launch; Inception Date – Apr 29, 1997, till Nov 14, 2022. Source: Moneycontrol  The fund has given consistent returns and has outperformed the benchmark over the period of 25 years by generating a CAGR (Compounded Annual Growth Rate) of 18.77%.  Fund manager  Atul Bhole: Prior to joining DSP Mutual Fund, he worked with Tata Mutual Fund, JP Morgan Services Pvt. Ltd., and SBI Treasury.  Who should invest in the DSP Flexi Cap Fund?  Investors looking to  Hold multi-cap companies i.e. large/mid/small cap under one umbrella  Invest in market leaders of different size  Why invest in the DSP Flexi Cap Fund?  One-stop option for equity investments, investors no need to decide on large/mid/small cap allocation  The fund owns high-quality companies with good prospects, which are good for long-term  Horizon  One should look at investing for a minimum of 5 years or more  A systematic investment Plan (SIP) is an ideal way to take exposure as it helps tackle market volatility  Conclusion  The DSP Flexi Cap Fund has a well-diversified portfolio of 52 stocks that have delivered consistent returns over 25 years with a proven track record with an 18.77% CAGR consistently. The fund is suitable for investors who want to have a core equity portfolio and tactical equity portfolio under one fund. DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only.

You need to be a millionaire to invest in mutual funds! Or, mutual funds guarantee returns to all their investors. You have probably heard these myths about mutual funds every now and then.   It’s time to debunk these myths and find out what are the true facts behind mutual funds and their investments!  Myths about mutual funds 1. Mutual funds are only for long-term investment Your investment in mutual funds could be goal-based. Whether you select a short-term, long-term, or medium-term target, you are probably going to make some respectable returns. Mutual funds are regarded as suitable investment tools for exceedingly short-term investing objectives (ultra-short goals). Debt funds are how they are represented. You'll also find that many investors have a strong interest in mutual funds with the aim of building emergency cash. 2. You need an agent to understand mutual funds  The finest mutual funds to invest in are based on much the same information investors have about stocks, so this could not be more different from the truth. While it is true that investment managers work for mutual funds, as an investor you may conduct your own research on firm stocks and request that certain stocks be included in a fund of your choosing. 3. Mutual funds are similar to stock investment Numerous investment-related assets are included in mutual funds. As a result, gold, money market products, fixed deposits, debt and equity are all potential investments for the best mutual funds in India. Your contribution to a mutual fund can include any or all of these assets. What you invest in mostly relies on your tolerance for risk, financial goals, preferred tenures, etc.  4. Mutual funds that have low net asset value are the only which are good The NAV, or net asset value, is the entire value of the underlying assets that comprise the fund, whether you invest in huge or tiny mutual funds. Not the market price, but the market worth. The success of a mutual fund is revealed by the Value change between two different time periods. As a conclusion, selecting a mutual fund cannot be affected by comparing the NAVs of other mutual funds 5. Mutual funds guarantee higher returns  The investment characteristics of mutual funds determine the profits you will receive. Mutual funds are collections of assets, whose returns depend on the value of their underlying assets. These might occasionally be subject to variations. As a result, returns might not be fixed or promised. 6. Only people having demat account can go for mutual funds Apart from the Exchange Traded Funds, keeping mutual fund units in Demat form is entirely optional. The decision on whether to hold the units in a Demat mode or the existing traditional accountant account mode is fully up to the investor in all other plans, along with the close-ended listed strategies like Fixed Maturity Plans (FMPs) Types of mutual funds Money market funds have comparatively less risk. They are only permitted by law to invest in a limited group of high-quality, brief securities issued by American businesses and national, state, and municipal governments.  Bond funds have bigger risks than money market mutual funds as their primary objective is to generate better returns. The risk and benefits of bond funds can differ tremendously due to the wide range of bonds.  Stock funds purchase corporation shares. Stock funds vary widely from one another.  Growth stocks concentrate on equities with the possibility for above-average investment rewards but they may not consistently pay a dividend.  Revenue equities are purchased by income funds.  A specific market index, such as the Standard & Poor's 500 Index, is tracked by index funds.   Target date funds mix your investments across stocks, bonds, and other assets. The composition regularly shifts over time in accordance with the fund's strategy. Lifecycle funds sometimes referred to as target date funds are created for those who have certain pension plans in view.  Conclusion:  Myths about mutual funds can be common and misleading! Get to know about mutual funds more in detail and invest. When you understand mutual funds better, you can put your money to better work.  Consult an expert advisor to get the right plan TALK TO AN EXPERT FAQ What's the biggest problem with mutual funds?  High expense ratio  High sale charges  Management abuse  Tax inefficiency  Poor trade execution Can we trust mutual funds?  Mutual funds are easy and trustable if you can understand them. Investors don’t need to worry about short-term fluctuation and about risks.  Are mutual funds really beneficial?  There are too many benefits of mutual funds. Mutual funds merge the funds of many different participants and handle them as one large financial pot. Therefore, expert fund managers handle the selection of stocks and bonds for investors rather than the investors themselves. 

Business Insider reports that “Indian household savings fell to the lowest level in 5 years. With inflation eroding the purchasing power, individuals tap their savings for survival after the pandemic.” Furthermore, "gross financial savings in FY22 stood at 10.8% compared to 15.9% in FY21." It demonstrates a clear saving pattern during the pandemic and erodes it soon after the ban was lifted. The importance of saving money aligns with the lifestyle and the goals you want to achieve within the decided time frame. 6 reasons to save money wisely From blowing off emergency cash requirements to ensuring financial freedom, there are plenty of reasons to save money. 1. Live a debt-free lifestyle Business Insider news says, “ An average Indian spends ₹14,500 a month on average on credit cards."  As per Statista, “In June 2022, nearly 121 million points of sale transactions were made via credit card in India.” It was pretty low in 2019-2020, owing to pandemic blues. Relying on credit cards for every big and small purchase may impact your savings. A credit card is a high-interest debt that one must pay monthly. Instead, save a portion of your income to savings. It will help meet discretionary expenses. 2. Budgeting for retirement As per the Financial Express report, “A survey by PGIM Mutual Fund and Nielson reveals more than 51% of the Indians participants have not planned retirement savings yet. “  Shockingly, children’s spousal security and lifestyle emerged as primary concerns rather than retirement.  The allocation of household income fell from 34% to 30% over the past two years. It impacted the saving corpus and budgeting. Around 89% of respondents living in Joint families find themselves more financially secure than nuclear families in India.  The report reveals that 42% of Indians lack any secondary income source or have any thoughts about it. One must consider inflation and market conditions before choosing a retirement saving plan to counter this. Employers must work towards awakening employees on saving more towards PF or separate retirement accounts. The key aim here is to push the employees towards ensuring financial freedom. 3. Paying effortlessly toward a child’s education dreams As per the Economic Times, “the average yearly fee for middle school is around ₹1.6 lakhs to ₹1.8 lakh/year. It totals up to ₹9.5 lakh to 12 lakh for Higher Secondary Education.” Parents must ensure nearly 10 lakhs for legal education in India.   Parents pay ₹25000/year towards sports, extracurriculars, and school transport alone. The education expenditure graph goes up to ₹20 lakhs after including general education for up to college years. EduFund lets parents plan and save for their child’s education with the help of financial experts. 4. Attending Medical Emergencies However, there are other emergencies too, like - urgent cash needs, cash to suffice sudden job loss and fulfill a time-sensitive requirement, and medical tops them all.   It is the worst situation to encounter when one goes cashless in medical emergencies. Illness does not wait. Thus, it is ideal to invest at least 30% of your income in medical insurance and savings. However, the statistics are good regarding health insurance coverage awareness. The Times of India says, “Every 3 in 5 Indians saw their health insurance premiums shoot by 25% or more in 2022.” It impacts savings and discourages one from taking life for granted. 5. Leaving behind a legacy Financial freedom must travel from generation to generation. “Around 72% of Indians do not know the potential ways to save and invest money.” They encounter confusion while walking up to the aim of financial freedom If you are a first-time investor, you can begin by investing in low-risk instruments. Dedicate only a small and comfortable income portion to long-term investments. Go for fixed-income generating opportunities that reduce the risk of losing your wealth. It will help you analyze the importance of saving money as a source of multiplying wealth sources. 6. Purchasing big-ticket items and investments Big-ticket items or lifestyle-enhancing instruments like- car and home investments require significant savings. Buying a home is one of the common dreams that Indians share. As per Indian Housing Report, “Only 69% of urban households have their own home. Rest are migrants.” It is far lower than in rural areas (95%). The reason is – Affordability. For a mortgage, you must ensure at least a 20% deposit. For that, you must save. If you could provide a 20% deposit for the mortgage, you could fetch affordable interest rates and use the rest of the savings for renovation or cover moving costs. Conclusion Saving is crucial for every life goal. EduFund is an ideal platform to save for your child and family’s future: Financial planning and goal management assistance College Cost Calculator to find future costs Variety of savings plans - mutual funds, US ETFs, and digital gold Educational counseling and financial guidance Consult an expert advisor to get the right plan TALK TO AN EXPERT

UTI is one of the pioneers of the Indian Mutual Fund Industry. With over Rs 2.4 lakh crore, the AMC is one of the most trusted names in the mutual fund space. The AMF offers products across asset classes.   Let us talk about the flagship product – UTI Core Equity Fund. About UTI Core Equity Fund  Investment objective The objective of the scheme is to generate long-term capital appreciation by investing predominantly in equity and equity-related securities of large-cap and mid-cap companies.  Investment process   The UTI Core Equity Fund carries a top-down approach, going through short-term challenges and trading at below long-term averages. It focuses on stocks that are below their long-term averages or when it is cheap relative to market aggregates. Portfolio composition  The portfolio holds the major exposure in large-cap stocks at 50% and sectoral major exposure is to financial services that account for roughly one-third of the portfolio. The top 5 sectors hold nearly 75% of the portfolio. Note: Data as of 30th Sep 2022. Source: UTIMF  Top 5 holdings Name Sector Weightage % ICICI Bank Ltd. Financial Services 5.50 HDFC Bank Ltd. Financial Services 5.28 ITC Ltd. Consumer Goods 3.58 Federal Bank Ltd. Financial Services 3.56 State Bank of India Financial Services 3.55 Note: Data as of 30th Sep 2022. Source: UTIMF  Performance over 13 years Below are the rolling returns of the fund since inception.  Note: Data as of 30th Sep 2022. Source: UTIMF The fund has given consistent returns and has outperformed the benchmark over the period of 13 years by generating a CAGR (Compounded Annual Growth Rate) of 11.42%.  Fund Manager  The fund is ably managed by V. Srivatsa. Mr. V. Srivatsa. He is an Executive Vice President, Fund Manager – Equity at UTI AMC Ltd. He is a BCom graduate, C.A., C.W.A., and has a PGDM from IIM, Indore. He has been with UTI AMC since 2002. Prior to joining UTI, he worked with Ford, Rhodes Parks & Co., Chartered Accountants for 2 years, and as Officer-Audit in Madras Cements Ltd. He started in UTI AMC in the Department of securities research covering varied sectors such as Information Technology, Capital goods, and metals.  Who should invest in UTI Core Equity Fund?  Investors looking to  Build their core equity portfolio for steady wealth creation.  Own a portfolio of both large & mid-capitalization stocks.  Why invest in UTI Core Equity Fund?  Large-cap stocks endeavor to provide stability & liquidity and mid-cap stocks can potentially generate superior returns for the portfolio.  The Fund maintains a well-diversified portfolio and avoids sector as well as stock concentration.  Horizon  One should look at investing for a minimum of 5 years or more.  Investment through a Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  The UTI Core Equity Fund is one of the oldest funds with a proven track record of 13 years and has delivered 11.42% CAGR consistently. Thus, it is best for investors who want stable returns with large-cap stocks and high growth potential with mid-cap stocks.  DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only. 

Can US inflation affect your INR Savings? We know inflation causes the rise in the prices of vegetables, fruits, cars, houses, and even education.   Education inflation is not the sole factor affecting the rising cost of education. Other factors like cost of living, transportation cost, and dollar appreciation affect the cost of education.  Let’s find out the answer!   The rising cost of foreign education  Countries like US & UK are the most preferred countries among Indian parents and students. After China, India is the second largest source of international students. With a growing demand for foreign education and inflation, these universities have increased their tuition fees.  Over the years, the average cost of studying higher education in the United States rose by 1200% (from 1980-2020); which is far more than the rate of normal inflation in the same period.  In fact, numerous overseas universities have hiked their college tuition fees for 2022-2023. The University of Pennsylvania announced a 2.9% increase in its tuition fees, while Arizona State University announced that tuition fees would increase by 5% for international students.  Impact of Dollar Appreciation on INR Savings  When you plan to send your child to pursue higher education overseas, you should be aware of currency depreciation and appreciation. The planning to pursue higher education from abroad must consist of saving in dollar value So that you don’t lose out on the value of dollar appreciation. Let’s understand it in detail.  Suppose you are required to pay $1,00,000 dollar as tuition fees for your child's higher education. And currently $1=82INR, then you need to save INR 82,00,000. But, let’s say, the dollar appreciated and now trades at $1=85INR, in that case, you need to save INR 85,00,000. If you had saved in dollar values then, you would not have needed any extra penny to pay. But, if you have saved it in INR values, then you need an extra INR 3,00,000 to pay. So, if you are planning to send your kids abroad to study then, you should start saving in dollar value. Impact of US Inflation on INR Savings  Studying abroad not only means paying tuition fees, it means paying for other expenses as well like living costs, the cost of books, the cost of stationary, and the cost of transportation, etc. If inflation in the US is rising then the cost of other things will become costly as well. US inflation and dollar appreciation will have a direct impact on your INR savings. Suppose, the living cost in the US is $1000 per month currently and the dollar is trading at $ 1=82 INR. Then you need Rs 82,000 per month as living expenses. But let’s say inflation in the US has caused an impact on living expenses by 5%, then the cost of living will be $1050. At the same time, the dollar has also appreciated and now one dollar is trading at 90 INR. So, the overall impact on INR savings will be 15.24%. Now, you need to pay 94,500 INR per month as living expenses.  How can you protect your savings from US inflation?  Most parents do not realize the rising cost of higher education until it’s too late. They have little option left at the end – either to compromise on the quality of education or opt for education loans that take years to pay off. Both these options can drastically impact your child’s future and potentially risk their careers  Saving and investing early is the right way to protect your child’s higher education. The sooner you start saving and investing, the better it is. The time horizon will help you to determine when you need the money, how much you need it, and how to reach the goal.   The country you desire to send your child to can determine which asset class you should be investing in. If you are planning to send them abroad, then considering US ETFs and US equities is highly beneficial as this will provide you with geographical diversification in terms of investing, which will also cover the purchasing power parity in the future when your child starts spending in dollars or pounds.     Conclusion  If you are planning to send your child abroad start saving and investing in dollar value, and also start as early as possible.  TALK TO AN EXPERT