Vipin Khandelwal

Here’s what SEBI wants you to know and tell about Investment Advisers

October 9, 2016 by Vipin Khandelwal

SEBI has been working for you, the investor, and how

SEBI has been pushing the pedal on protecting your, the investor’s, interest. It has taken several steps to eliminate conflict of interest between your adviser/distributor and you. This is specially true for mutual funds.

As a first step, in 2009, it banned upfront commissions on sale of mutual fund products.

Then in 2013, on its behest, mutual funds introduced direct plans of all their mutual fund schemes. In my view, this was the best thing to happen. Direct Plans means no commissions paid out to anyone and all the resultant savings adding up to an investors returns.

In contrast, regular plans are sold by distributors where they receive regular commissions as a % of the marked value of your investments.

Further, in the same year, that is 2013, SEBI also introduced the Investment Advisers (IA) Regulations 2013.

Simply put, any advisor who is offering one to one investment advice to investors related to securities, etc. must register as an Investment Adviser.

As per SEBI Investment Adviser regulations, “investment advice” means advice relating to investing in, purchasing, selling or otherwise dealing in securities or investment products, and advice on investment portfolio containing securities or investment products, whether written, oral or though any other means of communication for the benefit of the client and shall include financial planning.

Did you know this?

Here are some more facts about Investment Advisers

I did not get my dividends

October 4, 2016October 4, 2016 by Vipin Khandelwal

A recent tweet on my timeline highlighted this conversation between an investor and a mutual fund representative

Investor: The XYZ scheme has declared a dividend. But I did not receive any dividends?

Rep: Let me check. …Sir, this is because you are invested in the growth option.

Investor: Oh, so how do I get the dividends?

Rep: (Head spins)

—

My father holds shares of a large FMCG MNC. One day, I saw him smiling ear to ear.

“What is it?” I was curious.

He held the cheque in front of his face, details facing towards me. It was for a dividend declared by the company.

I didn’t want to spoil his happiness but I mentioned to him, “this dividend is nothing compared to the value of your investment. Your stock value has tripled in the last 6 years.” He simply ignored the statement.

I continued to reason, “your dividend yield is a mere 0.33%.” (Dividend yield is dividend amount / Market value of investment)

But the gyaan fell on deaf ears. He was happy in the moment with his dividend.

What is this fascination with dividends?

Parag Parikh Long Term Value Fund & Arbitrage Funds

September 30, 2016September 30, 2016 by Vipin Khandelwal

Quick workshop reminder: The next Money and You workshop is scheduled on Saturday, October 8, 2016 in Mumbai. Since there are just a few seats, you might want to give your name in advance. Click here to know details.

Know your Fund – Parag Parikh Long Term Value Fund

Unovest, recently, as a part of the ongoing series on Know your Fund, covered Parag Parikh Long Term Value Fund.

This funds comes from the PPFAS Mutual Fund which came in existence in May 2013 and has just completed a little over 3 years. It stands out for some of its characteristics which, in the context of current industry behaviour, appear eccentric.

The fund house offers only ONE scheme that is the Parag Parikh Long Term Value Fund. There is only growth option available – no dividend or bonus option.

The scheme benchmarks itself to the Nifty 500, the broad market index that is correct for its multicap character.

5 ways to make your financial life easier

March 2, 2017September 27, 2016 by Vipin Khandelwal

5 WAYS IN WHICH YOUR FINANCIAL LIFE BECOMES EASIER

We have lived through times where tedious paperwork defines every single activity related to money and our financial life.

Not just that, access to your own information was a nightmare with several agencies holding various parts of it. Every single time, the responsibility is on you to get it all together and prove that the person in question is you. This dreaded process is also called KYC.

Over the years, the hassles have reduced but not been eliminated. We have greater access to online tools with some organisations promising us completely seamless and paperless experience. We have all had the experience in some measure, small or large.

But I was recently floored by my interaction and experience with the government departments. This includes the Income Tax Department and UIDAI (issuer of Aadhar).

I would like to share some of these super initiatives with you.

This post highlights 5 such initiatives that aim to bring a significant change in the way you will handle your financial life.

Know your Fund – Quantum Long Term Equity

September 21, 2016 by Vipin Khandelwal

Unovest recently did an interview with Atul Kumar, Fund Manager of Quantum Long Term Equity Fund.

Atul has more than a decade’s experience in equity research and fund management. His strong dedication and simple investment style has won accolades for Quantum Long Term Equity Fund. Atul is also the Fund Manager of Quantum Tax Saving Fund.

In this interview, Atul tells us all that is important about the fund.

Let’s begin.

Announcing – Money and You Workshop in Mumbai

October 7, 2016September 20, 2016 by Vipin Khandelwal

Investing Workshop - Money and You - Vipin Khandelwal

I am glad to announce my next workshop and first one in Mumbai after Gurgaon and Pune. What can you expect?

How to build a winning mutual fund portfolio for you?

There are more than 500 mutual fund schemes in India. They come in a variety of investment styles, investment objectives and options. In fact, the total number of mutual fund options that you have to choose from turn out to be more than 3000. It’s baffling.

How do you go about choosing the best ones for your portfolio that will help you meet your goals?

There are many more questions: