Investment in Equity is always considered to be complex. The reason being, lack of knowledge and/or fear of loosing hard earned money due to market volatality.

You really need to have time, knowledge and money to invest and make profits in Stock markets.

Though we agree with the above statement, we feel you can make profits and become rich with good investment strategy.

After the SEBI banned mutual funds from charging entry load which is used by MFs to pay commissions to their distributors/agents, investing in Mutual Funds became more attractive.

So, how do we pick the mutual funds from the lot?

It’s simple, just analyze the returns given by various fund categories over the past say 5 years.

History says that FMCG, Banking and Pharma sectors were always on top.

Often, top analysts advice investors to buy equity diversified fund but the above mentioned categories always topped and gave much more returns than equity diversified funds.

We believe it’s better to diversify by putting our money equally in the above sectors we mentioned.

It’s also relatively safe to invest in good equity diversified mutual funds such as HDFC Equity, HDFC Top 200, Reliance Growth through Systematic Investment Plan (SIP).

These funds have been in market from very long and has shown consistent performance. There may be funds which are doing very good currently but can you trust them for long term investment such as for retirement?

Disclaimer: Please consult a investment expert before making any decisions as they suggest you based on your risk appetite, tenure you wanted to stay invested etc.

Often many retail investors buy stocks but couldn’t sell may. be due to many reasons like lack of interest in the market itself, lack of knowledge, need for money, potential realized loss.

However, it’s good to clean your portfolio once in a while and build good portfolio that you always wanted to.

Now you may not know which stocks to invest. We have a tip for those who can’t actively mange their portfolios.

Just sneak into portfolio of all performing mutual funds across sectors and you will know which companies they trusted the most. Now, you have it. Why wait?

Clean your portfolio and the best time is perhaps when the market is down.  Please contact your financial advisor before performing any actions.

Market has been turbulent these days and it’s expected to be like this till we hear bad news from everywhere and the damage is complete. Though our Indian economy is doing well, our investors are loosing money due to Global fears. Once the damage is done, our stock market will rise steeply. Do you remember, how the Sensex recovered from the lows of 8000 index?

Recover will be steep if the fall is steep.  Our advice is, keep investing regularly into good mutual funds or Exchange Traded Funds (ETFs) via SIP route.

Income Tax Slab for the F.Y. 2010 to 2011

Up to 1,60,0001                                                                NIL

Up to 1,90,000 (for women)                                              NIL

Up to 2,40,000                                                                  NIL

(for resident individual of 65 years and above)

1,60,0001 to 5,00,000                                                      10

5,00,001 to 8,00,000                                                        20

8,000,001 and above                                                       30