How regulations have failed our fixed-income securities market
3 years, 2 months ago

How regulations have failed our fixed-income securities market

Live Mint  

The March 2020 redemption debacle will always be remembered as a moment of reckoning for India’s fixed- income mutual fund industry. Amid the denigration inflicted upon the industry, perhaps the greatest error of judgement pertained to the convenient omission of the fact that India lacks a credible secondary market for corporate debt securities. This means that the risk of holding such debt is extremely concentrated in the system, which in India largely comprises the Reserve Bank of India, commercial banks, foreign institutional investors and mutual funds. Over the years, the fixed-income mutual fund industry has emerged as an important financier of India’s nearly $500 billion corporate debt securities market. Oriented for decades by statutory holding requirements that are among the world’s highest, commercial banks in India have traditionally found safety only in government debt securities, despite their pivotal role in the country’s fixed- income market.

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History of this topic

Mutual Fund Outlook 2025: Which funds and sectors appear attractive in the coming year?
1 week ago

Mutual Fund Outlook 2025: Which funds and sectors appear attractive in the coming year?

Live Mint  

As we are geared to enter the year 2025, the mutual fund industry is seen promising and shows no signs of slowing down. And what we discovered is that the mutual fund categories which offer good investment prospects include multi asset funds, sectoral funds and diversified funds with higher allocation to large caps. Rishabh Goel, Managing Director, Tailwind Financial Services, …

India’s equity mutual fund inflows come off record highs in November
Trending News
1 week, 6 days ago

India’s equity mutual fund inflows come off record highs in November

Live Mint  

By Bharath Rajeswaran Dec 10 - Inflows into India's equity mutual funds declined 14.2% in November, after hitting a record high in the previous month, but offset hefty foreign outflows as domestic investors continued their buying spree undeterred by a market correction. Inflows stood at 359.43 billion rupees during November, the 45th consecutive month of inflows, the longest on record, …

Three recently debt-free stocks mutual funds can’t get enough of
4 weeks, 1 day ago

Three recently debt-free stocks mutual funds can’t get enough of

Live Mint  

One of the biggest red flags for investors when picking stocks is debt. Jupiter Life Line Hospitals Ltd The multi-specialty healthcare provider, which has a market cap of nearly ₹10,000 crore, had debt of ₹261 crore three years ago. Jupiter’s debt line Year Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Mar-24 Debt in Cr 252 263 262 322 298 0 Jupiter Life …

Debt Mutual Funds See Investment Worth Rs 1.57 Lakh Crore In Oct, See What Happened
1 month ago

Debt Mutual Funds See Investment Worth Rs 1.57 Lakh Crore In Oct, See What Happened

ABP News  

Debt-oriented mutual funds saw a robust recovery in October as inflows touched Rs 1.57 lakh crore. The positive inflow enhanced the asset base of debt mutual funds by 11 per cent to touch Rs 16.64 lakh crore in October end, in comparison to Rs 14.97 lakh crore clocked during the same period a year earlier. The data from the Association …

Weekend Wrap: From Swiggy to Zomato, top market movers and news of week
1 month, 1 week ago

Weekend Wrap: From Swiggy to Zomato, top market movers and news of week

Live Mint  

Top News The Securities and Exchange Board of India, in its recent circular, has introduced an abridged Common Application Form for certain Foreign Portfolio Investors. Franklin AMC has launched new fund offers In the mutual fund space, Franklin Templeton Asset Management Company has launched a New Fund Offer for the Franklin India Arbitrage Fund. These developments across regulatory reforms, capital …

Sebi permits mutual funds to invest in overseas funds with limit on exposure to Indian securities
1 month, 2 weeks ago

Sebi permits mutual funds to invest in overseas funds with limit on exposure to Indian securities

Live Mint  

The Securities and Exchange Board of India has permitted mutual funds to invest in overseas mutual funds or unit trusts that invest a portion of their assets in Indian securities. “In order to facilitate ease of investment in overseas MF/UTs, to bring transparency in the manner of investment, and to enable Mutual Funds to diversify their overseas investments, the following …

India Emerges as a Safe Haven for Global Investors Amid Market Uncertainty
1 month, 3 weeks ago

India Emerges as a Safe Haven for Global Investors Amid Market Uncertainty

Live Mint  

Global funds are turning to India as a haven amid financial market uncertainties caused by the US election. The country's bonds have been performing well, with its sovereign bonds remaining relatively stable despite a global selloff of US Treasuries. India's currency, the rupee, offers minimal volatility compared to other emerging market currencies, making it a popular destination for investors seeking …

India’s ‘sweet spot’ lures bond funds amid global market turmoil
4 months ago

India’s ‘sweet spot’ lures bond funds amid global market turmoil

Hindustan Times  

Global funds have poured money into India’s debt market for 14 weeks in a second streak of buying this year, evidence of the country’s appeal amid the ructions of worldwide financial markets. “India is in a sweet spot from a macro perspective and also from a monetary policy perspective,” said Jenny Zeng, chief investment officer for Asia Pacific fixed income …

Mutual Funds: Equity schemes rule the roost with nearly 60% of overall industry assets, shows AMFI’s June data
5 months ago

Mutual Funds: Equity schemes rule the roost with nearly 60% of overall industry assets, shows AMFI’s June data

Live Mint  

Individual investors hold 61% share of industry assets, while 85% of individual investor assets are held in equity-oriented schemes, shows AMFI data for June 2024 It has been a few days since the mutual fund industry body Association of Mutual Funds of India released the latest data for June wherein it was concluded that the total assets spiked from ₹44.82 …

Sebi imposes limits on passive mutual funds investing in sponsor group companies; details here
5 months, 2 weeks ago

Sebi imposes limits on passive mutual funds investing in sponsor group companies; details here

Live Mint  

Capital market regulator Securities Exchange Board of India has released a circular to share the limits imposed on total investment which can be made by passive mutual funds in their sponsor group companies. This followed public consultations on the recommendations of the working group, and it was later decided to streamline the norm applicable to investments by passively managed mutual …

Mutual funds: 5 money market schemes delivered over 7.5% return to investors in the past one year
7 months, 1 week ago

Mutual funds: 5 money market schemes delivered over 7.5% return to investors in the past one year

Live Mint  

Money market funds are schemes which invest in money market instruments having maturity up to one year. Money market funds These are mutual fund schemes which invest in money market instruments with maturity of up to one year. These include the following: Money market schemes 1-year-returns AUM Aditya Birla Sun Life Money Manager Fund 7.57 23,789 ICICI Prudential Money Market …

JPMorgan inclusion of Indian bonds to aid private credit
7 months, 2 weeks ago

JPMorgan inclusion of Indian bonds to aid private credit

Hindustan Times  

India’s inclusion into JPMorgan Chase & Co.’s bond index will give a boost to its private credit markets by providing a benchmark for investments and attracting more inflows, according BPEA Credit. The inclusion constitutes a watershed moment for the country’s $1.2 trillion government debt market, with spillovers to other asset classes. “It gives a reference point” for offshore investors who …

SEBI asks mutual fund houses to protect investors in small, midcap schemes amid surging inflow
9 months, 3 weeks ago

SEBI asks mutual fund houses to protect investors in small, midcap schemes amid surging inflow

The Hindu  

Capital markets regulator SEBI has asked mutual fund houses to put in place a framework to safeguard investors, who invested in smallcap and midcap schemes, amid a "froth building up" in these categories. In a communication to Association of Mutual Funds in India on Tuesday, SEBI asked the industry body to inform trustees of all the mutual fund houses to …

The Hindu Lit Fest 2024 | ‘Mutual funds give access to equity, debt and gold through one route,’ says Monika Halan
11 months ago

The Hindu Lit Fest 2024 | ‘Mutual funds give access to equity, debt and gold through one route,’ says Monika Halan

The Hindu  

Mutual funds have grown hugely popular in India in recent times, with the size of assets under the management of mutual funds crossing the ₹50 lakh crore mark at the end of 2023. Monika Halan, author of Let’s Talk Mutual Funds, talks to The Hindu about why mutual funds should be part of the Indian investor’s portfolio, the risks involved …

Mutual Funds: Top-performing large, mid and small-cap funds in last 10 years
1 year, 2 months ago

Mutual Funds: Top-performing large, mid and small-cap funds in last 10 years

Live Mint  

With so many mutual fund houses launching new fund offers every month and the old ones plying in the market to create wealth, many old and new investors are eager to know which of them can help them create wealth. Large-cap funds 10-year returns Nippon India Large Cap Fund 17.94 Mirae Asset Large Cap Fund 17.77 SBI Blue Chip Fund …

Finance Minister launches CDMDF to bail out corporate debt funds from market-induced stress. Details here
1 year, 4 months ago

Finance Minister launches CDMDF to bail out corporate debt funds from market-induced stress. Details here

Live Mint  

The country’s Finance Minister Nirmala Sitharaman launched the Corporate Debt Market Development Fund in Mumbai on July 28, 2023, with the intent to advance the corporate bond market. The CDMDF serves as a safeguard mechanism aimed at acquiring investment-grade corporate debt securities from mutual funds during periods of market turbulence. Amid market disruptions, specified mutual fund schemes have the option …

Mutual funds invest more than Rs 2,400 crore in equities in May
1 year, 6 months ago

Mutual funds invest more than Rs 2,400 crore in equities in May

India TV News  

New Delhi: After withdrawing capital from equities in April, mutual funds put in over Rs 2,400 crore in stocks last month, primarily due to robust GDP growth, controlled inflation levels, and balanced liquidity in the economy. "Stable GDP growth, low inflation, investor-friendly policies, and global market sentiments towards emerging economies play a significant role in attracting investments from both mutual …

Reliance, Infosys, Tata Motors among top largecap stocks mutual funds are buying
1 year, 8 months ago

Reliance, Infosys, Tata Motors among top largecap stocks mutual funds are buying

Live Mint  

Mutual funds remained bullish on the Indian equities in the just concluded fiscal FY23 and invested ₹1.82 lakh crore largely due to a strong interest from retail investors and the correction in the market that led to reasonable valuation. According to the monthly data analysed by domestic brokerages, major mutual fund houses have bought largecap stocks that include Infosys, Reliance …

Debt mutual funds without indexation are still a great investment bet for medium to long duration
1 year, 8 months ago

Debt mutual funds without indexation are still a great investment bet for medium to long duration

Live Mint  

The debt mutual funds have been gaining scale in India driven by the massive increase in the volume of debt securities. Although there has been a structural alteration in investment themes, the debt MFs primarily have been investing in central government securities, corporate bonds, commercial papers, certificates of deposit, T-bills and state development loans. Having said that, the debt mutual …

Debt Mutual Funds Not Fixed Deposit, Has Underlying Risks. Hence, It Requires Tax Benefits Like Equity
1 year, 8 months ago

Debt Mutual Funds Not Fixed Deposit, Has Underlying Risks. Hence, It Requires Tax Benefits Like Equity

ABP News  

In a surprising move, debt mutual fund taxation laws were changed abruptly as the Narendra Modi government amended the Finance Bill 2023. Currently, any capital gain on redemption of a debt fund held for three years or longer is treated as long-term capital gain and is taxed at a flat 20 percent with indexation benefit. Any capital gain on redemption …

India setting up $4-billion fund to backstop corporate debt market
1 year, 10 months ago

India setting up $4-billion fund to backstop corporate debt market

The Hindu  

India is setting up a fund worth ₹330 billion to provide liquidity to its corporate debt market during bouts of stress, to help stem panic selling and ease redemption pressures, an SBI Mutual Fund executive told Reuters. SBI Mutual Fund, a unit of India’s largest state-owned lender, State Bank of India, has been tasked with administrating the backstop fund, which …

10x in 5 years: How Radhika Gupta built a ₹ 1 trillion mutual fund company
1 year, 10 months ago

10x in 5 years: How Radhika Gupta built a ₹ 1 trillion mutual fund company

Live Mint  

Radhika Gupta joined Edelweiss Asset Management Co. as chief executive officer in 2017. The big one is a relentless focus on customer problems and solutions to them like Bharat Bond ETF or international funds. View Full Image Graphics: Mint One key challenge is profitability, I was going through your financial statement for FY22 - net profit was just ₹20 crore. …

Stocks vs fixed income: How to invest when inflation seems to be peaking
2 years ago

Stocks vs fixed income: How to invest when inflation seems to be peaking

Live Mint  

Debt is an important part of an individual's portfolio as it brings stability. Though Indian stock markets have outperformed global equities this year, some analysts say that high valuations could crimp gains next year. Moving some money to fixed income makes sense since fixed income returns are turning attractive," said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services. …

How rising bank FD rates a challenge for stock market, mutual fund investors?
2 years, 2 months ago

How rising bank FD rates a challenge for stock market, mutual fund investors?

Live Mint  

Portfolio management: Amid hawkish Reserve Bank of India on interest rate hike, various Indian banks have announced fixed deposit interest rate hike in last few months. But, from portfolio diversification perspective, it would definitely bring some challenge for the equity investors as debt mutual funds are expected to regain its shine during high bank interest rate regime. According to experts, …

Debt funds roiled, but fund houses are okay
2 years, 3 months ago

Debt funds roiled, but fund houses are okay

Live Mint  

Interest rate hikes by the Reserve Bank of India are roiling debt funds. Thus, when interest rates in the economy rise, prices of existing debt paper fall and, by extension, the net asset values of debt funds invested in them also fall. In the previous three periods, assets managed by debt funds rose, along with an increase in overall mutual …

Debt Funds Saw Big Inflows in August, But Should You Invest in Them Heavily?
2 years, 3 months ago

Debt Funds Saw Big Inflows in August, But Should You Invest in Them Heavily?

News 18  

Debt mutual funds in India saw healthy fund inflows last month, according to the data released by the Association of Mutual Funds of India. This also marks a serious turnaround from the Rs 70,213 crore worth of outflows that debt mutual funds witnessed in the second quarter of 2022. “In fact, we have ‘Moderate return expectations in debt funds’ Viral …

Why FPI capital flows matter for India
2 years, 6 months ago

Why FPI capital flows matter for India

Live Mint  

The Indian stock market has seen a tectonic shift in the share of cash market turnover of different players. The shock-absorbing capacity of retail investors and their contribution to the stability of the Indian stock market in the face of significant outflow of foreign portfolio investment is remarkable. In the earlier years of liberalization, a major share of foreign investments …

India must capture all segments of financial market to fuel growth: IMF
3 years, 8 months ago

India must capture all segments of financial market to fuel growth: IMF

The Hindu  

India is on the right track and is innovating on the policy side, including on digital identity and payments, but it also needs to capture all the segments of the financial market and institutions to make sure that every piece fits together like a puzzle to fuel growth in the country, according to a top IMF official. “The goal is …

Debt funds get another layer of safety, equity options increase
4 years, 1 month ago

Debt funds get another layer of safety, equity options increase

Live Mint  

The Securities and Exchange Board of India brought in two new regulations recently that aim to enhance the investment experience in mutual funds. While Sebi’s fund categorization exercise gave investors visibility on the credit and interest rate risks in debt fund categories, liquidity risk couldn’t be assessed easily. “The move creates three layers of protection from liquidity risks—cash buffer, liquid …

Raging retail inflation puts savings plans in disarray
4 years, 1 month ago

Raging retail inflation puts savings plans in disarray

Live Mint  

The unprecedented nature of the covid-19 crisis and economic uncertainty have prompted Indian households to save more during the pandemic, but the raging retail inflationary trends could derail their long-term financial plans. Household financial savings rose from 7.9% of the gross domestic product in Q1FY20 to 21.4% in the three months ended June, while deposits with banks picked up 11% …

Debt MFs see ₹1.1 trillion inflow in Oct on robust investment in liquid schemes
4 years, 1 month ago

Debt MFs see ₹1.1 trillion inflow in Oct on robust investment in liquid schemes

Live Mint  

After recording outflow for two consecutive months, debt-oriented mutual fund schemes witnessed a staggering inflow of ₹1.1 lakh crore in October, mainly due to investment in liquid funds, money market and short duration categories. Debt mutual fund schemes had seen net outflow of ₹51,962 crore in September and ₹3,907 crore in August, according to the Association of Mutual Funds in …

Mutual fund redemption pressure continued in August
4 years, 3 months ago

Mutual fund redemption pressure continued in August

Deccan Chronicle  

Mumbai: Retail investors in mutual funds continued to book profits in equity-linked funds in August just as they did in July. Equity mutual funds saw almost daily redemptions in August barring a few days of net buying as per monthly data now available with the Securities and Exchange Board of India. As per data released by custodians to Sebi, August …

3 changes in debt mutual fund rules you should know
4 years, 3 months ago

3 changes in debt mutual fund rules you should know

Live Mint  

Last few years have not been an easy ride for debt mutual fund investors. In order to bring back and retain the trust of investors, the market regulator Sebi has made several changes in the rules for debt mutual funds. Here are the top three rules which have favored debt mutual funds in recent past that you must know: Seggregation …

Equity MFs see first outflows since 2016
4 years, 4 months ago

Equity MFs see first outflows since 2016

Live Mint  

Equity mutual funds saw a net monthly outflow for the first time in more than four years as investors booked profits after a sharp rally, with some of them ploughing the money back into safer assets such as gold and debt funds, worried about the recent exuberance in stock prices. July saw a net outflow of ₹2,480.35 crore from equity …

Debt Mutual Funds See Rs 1.1 Lakh Crore Inflow in June Quarter on Investment in Liquid Schemes
4 years, 4 months ago

Debt Mutual Funds See Rs 1.1 Lakh Crore Inflow in June Quarter on Investment in Liquid Schemes

News 18  

Driven by investments in liquid schemes as also banking and PSU funds, debt mutual funds saw an inflow of Rs 1.1 lakh crore in three months ended June 2020 after witnessing massive redemptions in the preceding quarter. As per the data, inflows into debt mutual funds were at Rs 1.1 lakh crore in the three months ended June, compared to …

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