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The appeal of momentum investing, with its "buy high, sell higher" mantra, has surged, challenging traditional investment norms. Read this | Meet the champions of momentum investing who beat competition in post-covid bull market Specialized momentum strategies, especially niche PMS portfolios, approach this differently, minimizing market impact and maintaining the purity of momentum signals. This problem is heightened in passive …

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The Association of Mutual Funds in India recently laid out guidelines for front-running and fraudulent transactions. The demon of mutual fund front-running isn’t new to the market and has often haunted investors because of its negative repercussions. “Regular review of fund performance for unusual patterns might help investors indicate front-running,” said Narinder Wadhwa MD of SKI Capital, while highlighting the …

A modern ocean ranch is under construction in the waters off Aizhou Island in Zhuhai. The indexes recently introduced at the Shanghai Stock Exchange mark another step forward for China in indexing investment, and address the central regulator's call to nurture long-term investment, said experts and market mavens. The size of SSE and CSI index fund products has reached a …

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 …

Passive funds have taken centre stage in India's mutual funds market in the past few years, increasing its market share over 17 per cent in 2023 from 1.4 per cent in 2015, according to a Motilal Oswal AMC survey released Tuesday. The survey conducted among 2,000 investors from around the country, showed that 61 per cent of investors have invested …

Passive funds gain traction among investors in India, market share witnesses growth: Study

A recent study revealed that passive funds have gained traction among investors in India in the last few years, capturing a market share of over 17 per cent of Assets Under Management in 2023 from 1.4 per cent in 2015. Low-cost nature of passive funds is biggest attraction According to the study by Motilal Oswal Asset Management Company, 61 per …

So many asset management companies in India are now offering index fund investments in the wake of continued market turmoil stemming from geopolitical tensions and collapsing global economies. However, this also begets the much-asked question, “Is this the right time to invest in these kinds of funds?” Suresh Sadagopan, MD & Principal Officer, Ladder7 Wealth Plannerssaid, “Such index funds investing …

The markets are down. To build a passive portfolio, you must be willing to park your money in index funds and ETFs only though many people prefer investing in the former due to lack of liquidity, thus, forcing many investors to sell units at a lower price when they want to redeem their investments. The Nifty Midcap 150 index fund …

The markets are bleeding, thus, prompting many to rejig their portfolios. While it may be okay to place bets on focused or thematic funds as active investments, you must include an index fund too for portfolio rebalancing through passive investments. These passive funds must be bought apart from the active funds to benefit from market-linked returns, low tracking error, diversification …

Market regulator Sebi has introduced a cap on the tracking error of passive funds, with effect from 1 July. No room for error “Most ETFs and index funds specify a 2% tolerance level for TE in their scheme information documents, or SIDs. More specifically, mutual fund AMCs will have to ensure that the TE of their ETFs / index funds …

The securities market regulator, SEBI came out with a circular on May 23 on ‘Development of Passive Funds’ covering a gamut of issues related to ETFs and index funds. Notably, the circular has introduced a new category of mutual fund schemes – Passive ELSS. Passive ELSS As per the latest circular, passive ELSS scheme will be based on one of …

Hundreds of millions of dollars from foreign investors are likely to flow into Ukrainian bonds next month despite the threat of war with Russia. JPMorgan Chase & Co. is planning to add Ukraine’s local-currency debt to a popular emerging-market bond index known as the GBI-EM. All of a sudden you’ll have big index players channeled toward that particular bond market," …

Flipkart co-founder Sachin Bansal’s Navi Mutual Fund has filed papers with the markets regulator seeking approval for a ‘Total US Stock Market’ fund-of-funds. Sachin Bansal’s Navi Mutual Fund also focuses on passive investing. The proposed scheme will feed into Vanguard Total Stock Market Index Fund ETF. Vanguard Total Stock Market Index Fund has an expense ratio of just 0.03% and …

Tesla’s insane stock price makes sense in a market gone mad