What are Tax Saving Schemes ?
These schemes offer tax rebates to the investors under specific provisions of the Income Tax Act, 1961 as the Government offers tax incentives for investment in specified avenues, for example, Equity Linked Savings Schemes (ELSS) under section 80C and Rajiv Gandhi Equity Saving Scheme (RGESS) under section 80CCG of the Income Tax Act, 1961. Pension schemes launched by mutual funds also offer tax benefits. These schemes are growth oriented and invest pre-dominantly in equities. Their growth opportunities and risks associated are like any equity-oriented scheme.
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What are the different types of mutual fund schemes ?
A scheme can also be classified as growth scheme, income scheme or balanced scheme considering its investment objective. Such schemes may be open-ended or close-ended schemes as described earlier. Such schemes may be classified mainly as follows: ...
What is a consolidated account statement (CAS) ?
A CAS details all the transactions and investor‟s holding at the end of the month including transaction charges paid to the distributor, across all schemes of all mutual funds, by an investor. A CAS for each calendar month is issued to the investors ...
What are the different between Open-ended and Close-ended Fund ?
A mutual fund scheme can be classified into open-ended scheme or close-ended scheme depending on its maturity period. Open-ended Fund An open-ended fund or scheme is one that is available for subscription and repurchase on a continuous basis. These ...
What is a Mutual Fund ?
Mutual fund is a mechanism for pooling money by issuing units to the investors and investing funds in securities in accordance with objectives as disclosed in offer document. Investments in securities are spread across a wide cross-section of ...
What is Net Asset Value (NAV) of a scheme ?
The performance of a particular scheme of a mutual fund is denoted by Net Asset Value (NAV). Mutual funds invest the money collected from investors in securities markets. In simple words, NAV is the market value of the securities held by the scheme. ...