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Sukumar Maity Sr. Associate, IDBI Bank
 
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Mutual fund is viewed as one of the perfect investment options available for small investors with little market exposure. They offer risk reduction, diversification, professional management, convenience, liquidity etc. But this doesn’t mean that you need not do your home work. Here are some of the important disadvantages of mutual funds. Diversification dilutes return and there can be over diversification. There are no guaranteed returns. Fund manager may be tempted to show good results in the short term at the expense of long term performance as the manager’s compensation is based on the fund’s performance. Mutual fund portfolios are not tailor made The annual fund operating fee is charged...
Raju Ramalingam  |  Commented  |  2 years ago
Really its nice to know about the mutual funds. To be honest i do not know anything about it and I just remember "subjected to market risk". Now i know something about it. Thank you so much...
Sukumar Maity  |  Commented  |  2 years ago
Many of them go for Mutual funds but most of them don't know that their fund managers role is important here and if performs bad the outcomings wil not be that good,,,and the points which you've mentioned are apt in this regard...
Viktor Stephen  |  Commented  |  2 years ago
Padmanabhan, thanks for bringing this to the attention of small investors who mistakenly think that mutual funds are the safest and best route.
 
 
Insight: "Disadvantages of mutual funds" deleted from your view.
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Mutual funds 
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 Other investment plans
C Nijagunaradhya  |  Argues in support of  "Mutual funds"  |  2 years ago
A minimum 40% interest guarantee is always there in case of SIP Mutual funds. And its a simple process compared to others as one can go for partial withdrawl or discontinue at any time. Whereas in insurance policies you have to go for minimum 10...
Sukumar Maity  |  Argues in support of  "Other investment plans"  |  3 years ago
There various others also which gives a security benefir and even tax redemption. They are not fit for short term borrowings.
M NITIN SHENOY, PMP, IPMA-D, CEng MICE  |  Argues in support of  "Mutual funds"  |  3 years ago
Good AMC + Diversified Equity Scheme + Dividend Option + Long Term +  SIP = GOOD RETURNS...!!! ************************************* Justification Good AMC - With Good  5 Year Record and Credit Ratings Diversified Equity Scheme -  For better...
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Debate: "Mutual funds market will it survive" deleted from your view.
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Yes 
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 No
Dushyant Hada  |  Argues in support of  "No"  |  3 years ago
wait and watch if you are investor and buy if you are looking for short term gains but remeber its coupled up with high risk
Apurv Gourav  |  Argues in support of  "Yes"  |  2 years ago
Yes..i agree with this statement,This is the right time to buy the stock,,but very carefully....Pls invest in those companies stock which financial statement or strength is very good.Before investing in stock you have to find out the companies...
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Debate: "Is this the correct time to buy stocks" deleted from your view.
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Yes 
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 No
Dushyant Hada  |  Argues in support of  "Yes"  |  3 years ago
If one is going for investment then investment in good PSUs is gold mine.Reasons for same is as follows: 1. Massive land bank available at rock bottom price. 2. Huge order books due to monopoly. 3. Huge cash reserve available to grow...
Surender Singh  |  Argues in support of  "No"  |  3 years ago
Gov. usually spend on banking, engg., oil and others where the profit margin are only minimal then where is the point of dividends come into existence.
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Debate: "Investment in PSU" deleted from your view.
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1 Increase borrowing capacity
2 Mitigate the risk of non payment
Sukumar Maity  |  Added idea  "Increase borrowing capacity"  |  3 years ago
It enhances accounts receivable with credit insurance making them more desirable for you to borrow.
Karthikeyan P S  |  Added idea  "Mitigate the risk of non payment"  |  3 years ago
It helps you to mitigate the balance sheet against domestic and international bad debts.
 
 
Ideate: "Benefits of credit insurance" deleted from your view.
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1 Treat trading Like Buss , Play with Set of Rules
2 Treat trading Like Buss , Play with Set of Rules
Chirag Kabani  |  Added idea  "Treat trading Like Buss , Play with Set of Rules"  |  3 years ago
1) Dont overtrade 2) Maintain Strict SL 3) Keep Emotions at home 4) If it is intraday Trade , It should be intraday .. Dont convert them into short term than Long term 5) Capital mangemnet risk mangement With Every Trade Should be Pre Calcualted...
Sukumar Maity  |  Added idea  |  3 years ago
Overtrading is the biggest malaise for traders. A disciplined trader is always ready to trade light when the market turns choppy and even not trade if there are no trades on the horizon.
 
 
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Developed countries 
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 Developing countries
Gaurav Chhabra  |  Argues in support of  "Developing countries"  |  3 years ago
Just to keep up the level to these economies the developing economies like India's have to go for 7-8% growth and that is really important to keep up with the par.
Sukumar Maity  |  Argues in support of  "Developed countries"  |  3 years ago
I think develped countries has got more pressure because they have to maintain that growth. The challenge is more for the nations who do not want degrowth for thei nations.
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Debate: "Growth for developed and developing countries" deleted from your view.
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1 Too much expectation & too little knowledge
2 Not enough money
Hitesh Moghe  |  Supported idea  "Too much expectation & too little knowledge"  |  3 years ago
Yes Sanjay i totally agree with you....as people expect too much and will be knowing very less about what they are doing...and the other thing like the leverage thing you've put up is true....should be done with diversed portfolio....thanks for...
Sanjay Arora  |  Added idea  "Too much expectation & too little knowledge"  |  3 years ago
Biggest problem is too much expectation, most of which is due to lack of knowledge hype/wrong promises by broker marketing teams with quotas to meet. There are always going to be trades in which the investor is going to lose, nobody is willing to...
 
 
Ideate: "What are the misconceptions in commodity trading??" deleted from your view.
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1 Bulk selling by major shareholders
2 television channels
taranath joshi  |  Supported idea  "Bulk selling by major shareholders"  |  2 years ago
The cartels would sell or buy shares in concert and prices fall or rise during this.
Sukumar Maity  |  Added idea  |  3 years ago
I think another major reason for the decline in share price is the research report put forward by various analyst. If the research report has some negatives about the company or if he say its better to sell the shares, it can affect the way the...
 
 
Ideate: "why do share price decline unexpectedly ?" deleted from your view.
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Yes 
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 No
gajendra hindurao  |  Argues in support of  "Yes"  |  3 years ago
 There is no doubt that KYC is part of rsik management. Cutomers being our bread and butter knowing them is absolutly essential
Sukumar Maity  |  Argues in support of  |  3 years ago
If you intend to assess the customer relative to expected versus actual transactional activity, then it is essential for appropriately setting monitoring levels and comparing the customer to others who transact similarly. Unfortunately, it is all too...
Ganesh Ramaswamy  |  Argues in support of  "Yes"  |  3 years ago
Yes. the basic idea of  implementing the Know your customer norm is to understand the individual and the business of the individual as well the source of the proper routing of the money channelled thru the banks. Hence I am of the opinion that...
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Debate: "Should KYC be a part of Risk Management?" deleted from your view.
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