Varsity


 

Relief or worry? The share of food spending is declining among Indians

For the first time in modern India, the average household expenditure on food has fallen below 50% of the monthly expenditure. According to a survey on the changes in India’s food consumption, food purchases made 53% of the total expenditures rural households made in 2011-12, which came down to 46.5% in 2022-23.

Content, Zerodha Varsity
0
16 Sep 2024
 

Dividend vs. Systematic Withdrawal: Which mutual fund option is best for regular income?

Mutual fund schemes have two options while investing – Growth Plan and Income Distribution Capital Withdrawal (IDCW) erstwhile known as Dividend Plan. Usually, investments in mutual funds are made for long-term wealth creation. However, there are times when investments in Mutual Funds are made from the perspective of regular income. In that case, two options […]

Co-founder, The Financialist (SEBI RIA)
0
14 Sep 2024
 

Is it life-as-usual for the world despite the Russia-Ukraine war?

A group of the world’s top economic experts in Europe and the US were polled for their views on the global economic fallouts of Russia’s invasion of Ukraine in 2022, and most of them had similar views as most of us – high inflation, slow growth, challenges to food and semiconductor production, shipping woes, and […]

Content, Zerodha Varsity
0
10 Sep 2024
 

The risks to a loan guarantor: what you’re responsible for & the impact on your family

Becoming a guarantor for someone’s loan is a significant financial commitment and carries various risks and responsibilities under Indian laws. Understanding these implications is crucial before agreeing to guarantee a loan. Here are key points to consider, including the risks involved, the possibility of withdrawing from the guarantee, and the impact on family members in […]

Managing Partner, Victoriam Legalis - Advocates & Solicitors
0
03 Sep 2024
 

P2P Platforms: What you need to know as a lender as well as a borrower

I have a friend whose family lends money to local stores at interest rates ranging from 24% to 40% per annum. While this return may seem like a great return on investment, the reality is quite different. The risk of shop owners defaulting or delaying payments is high, which can significantly reduce the actual returns. […]

Personal Finance, Varsity
2
22 Aug 2024
 

GIFT City benefits for NRIs

I have been an NRI living abroad for the past 10 years. I have heard a lot about GIFT city benefits for NRIs, and I would appreciate it if you could elaborate a bit.  The International Financial Services Centre (IFSC) at GIFT City in Gujarat, India, offers several advantages to Non-Resident Indians (NRIs) living abroad. […]

Partner, Cyril Amarchand Mangaldas
0
16 Aug 2024
 

Will vs Gift deed: Planning for eventuality vs. generosity

Kabir and Anaya, a working couple and an entrepreneur, want to distribute their assets to their children. But Kabir opted for a Will as a tool of Succession planning, and Anaya opted for a different method, a Gift deed. Both methods exist to help you pass on your assets; you need to choose your method […]

Head of Legal, AssetVault (Aasaanwill)
0
14 Aug 2024
 

How to manage finances with irregular income?

As a freelancer and an entrepreneur, my income stream doesn’t follow any pattern. However, I earn around Rs 20-25 lakh annually, with monthly expenses of about Rs 50,000. I have already saved about Rs 20 lakh. What is the best possible strategy to achieve stable monthly cash flow and my long-term financial goals through mutual […]

SEBI RIA and Founder at SahajMoney®
1
08 Aug 2024
 

How to dematerialise physical shares?

The Bombay Stock Exchange (BSE), Asia’s oldest stock exchange, was established in 1875, marking a significant milestone in India’s financial history. With its inception, investors began receiving physical share certificates, representing company ownership. These certificates, tangible pieces of paper adorned with intricate designs, official seals, and company officials’ signatures, became symbols of one’s investment and […]

Business Analyst, Zerodha
1
07 Aug 2024
 

The Economics of Olympic Games

It took the city of Montreal 30 years to pay off the debt it had taken to host the 1976 Olympics. Soon after hosting the game, Montreal declared a large deficit. This was the first time that the wider economic impact of hosting the Olympics was being discussed. Why do countries host the Olympics? Is […]

Content, Zerodha Varsity
0
06 Aug 2024
 

SGB issued in 2016 matures: Comparing returns of SGB vs. other forms of gold

Series I of the Sovereign Gold Bond, issued in July 2016, was due for redemption on August 5, 2024. We compared how different forms of gold—such as SGBs, gold funds/ETFs, physical gold, and gold in jewelry form—fared during this period. Remember that every form of gold ownership has its own merits and demerits. Based on […]

Personal Finance, Varsity
0
05 Aug 2024
 

Asset allocation: based on financial goals or market valuations?

I am a DIY investor and have been investing for the last few years. I understand asset allocation, so I divided my portfolio between equity and debt in a 60:40 ratio. Because of good equity markets, my asset allocation is skewed towards equity, with a 75:25 allocation.  Now my doubt is if asset allocation has […]

Co-founder, The Financialist (SEBI RIA)
0
02 Aug 2024
 

What is the difference between a Will and a Trust?

Deciding between a will and a trust depends on your estate’s complexity, control preferences, and asset distribution goals. For instance, if Mr. Kumar has a straightforward estate with minimal assets and wants to ensure his car and savings are distributed to his children after his death, a will is a simpler and more suitable option. […]

Managing Partner, Victoriam Legalis - Advocates & Solicitors
1
31 Jul 2024
 

JPY-USD: The Great Carry Trade

The ‘USD—Yen’ carry trade has been all over the news lately. The term ‘Carry trade’ may come across as a fancy new trading technique, especially to newbies to the capital market.

Head of educational initiatives at Zerodha.
15
31 Jul 2024
 

What is DDPI in the stock market?

DDPI stands for Demat Debit and Pledge Instruction. Before we understand DDPI, let’s first see what a power of attorney is for a demat account. What is Power of Attorney (PoA) for a demat account? A Power of Attorney (PoA) is a document that a client submits to a broker, giving the broker permission or […]

Business Analyst, Zerodha
0
30 Jul 2024
 

New tax rules on property sales in Budget 2024: Do you have to pay more or less tax now?

In the recent Budget 2024, one of the many proposals announced by Finance Minister Nirmala Sitharaman is the removal of the indexation benefit on long-term capital assets. Since real estate properties are big purchase items, these assets would be significantly impacted. The new rules will also be applicable even for purchases made earlier without any […]

Personal Finance, Varsity
0
26 Jul 2024
 

Sectoral bets: The wait for returns can be longer..

Whenever a particular sector performs well, inflows into sectoral or thematic mutual funds surge dramatically, indicating investors chase returns. However, these sectors can underperform for extended periods, making timing crucial; for most investors, diversified mutual funds are a better option. The following charts show the sporadic returns from sectoral indices and highlight how some sectors […]

Personal Finance, Varsity
0
25 Jul 2024
 

Budget 2024: Top 5 budget proposals on personal taxes

In Budget 2024, the first budget in a decade presented by a coalition government, Finance Minister Nirmala Sitharaman announced several proposals that change the existing tax treatment for almost all asset classes. Top among them is the taxation on equity shares and mutual funds. Sitharaman also proposed a few tweaks to the new tax regime […]

Personal Finance, Varsity
2
23 Jul 2024
 

How is India placed among the emerging market economies?

As part of our research, we recently analyzed India’s positioning among emerging market economies, a topic that continues to gain significant attention. In this blog, I will share insights from our analysis, comparing India to other key players such as Taiwan, Indonesia, Philippines, Brazil, Korea, Mexico, China, South Africa, Thailand, and Malaysia.   We looked […]

Associate Director, Co-Head Product Strategy, White Oak Capital
0
18 Jul 2024
 

What’s the ‘new asset class’ that SEBI just proposed?

I recently read a Mint article discussing why people fall for unregulated schemes carrying great risk. The story cites the quote –  “There is nothing as disturbing to one’s well-being and judgement as to see a friend get rich. Unless it is to see a non-friend get richer,” from the book ‘Manias, Panics and Crashes’ […]

Personal Finance, Varsity
0
18 Jul 2024
 

Need periodic income before rejoining work? Here’s how to invest.

I recently sold my business and have saved around 50-60 lakh rupees, which I’ve invested in a couple of mutual funds. Before starting my next venture, I plan to take a break. My current lifestyle requires about Rs 50,000 per month. What is the best investment product to generate periodic income until I resume earning […]

SEBI RIA and Founder at SahajMoney®
0
16 Jul 2024