While the Securities and Exchange Board of India (Sebi) has been fighting a tough legal case with the Sahara group in the past few years, it introduced an interesting guideline in November, 2012 by allowing cash investments up to Rs 20,000 in fund houses
The mutual fund industry may be going through tough times but this does not seem to have slowed down the players who have come up with several interesting innovations and measures in the last few years.
Disruption is happening all the time. And it will happen in the active investing business too. What is active investing? Anything which starts from intraday trading to mutual funds can be bundled as active investing.
Gross sales of mutual funds’ equity schemes hit a 10-month high in November. After heavy redemptions in October, retail investors accessing stock markets through MFs turned buyers of equities in the run up to the current rally in the stock markets.
If the MF investment is a joint investment, it is transferred to the second holder. If it is not a joint investment, the nominee or the legal heir of the first holder of the investment gets to decide whether to continue or redeem it.
Mutual fund houses are linging up new retirement funds that combine a host of benefits such as tax-breaks and asset allocation strategies that could supplement an individual incomes in their twilight years.