After a very long time i subscribed to a channel reasons; 1.Simplicity. 2.In depth explanation at the same time easy to understand. 3.Not biased. 4.Dont change your purpose and venture into paid promotions and loose channel credibility. It gets redundant.
Sir, It would be great if you could share a video about tax on mutual funds. People upload videos about "invest x amount for x years and your money will become x after those years". No one is explaining with examples that after x years actually how much we will be getting in hand after all tax deduction and expense ratio or exit load. It will be helpful for all who have invested and going to invest for a long term
The advantage is you can withdraw the money at any time with the profits made upto that time. Think of it as an emergency fund or somewhere to park ur money during unstable market
Have been watching your videos for last few days. You are probably one of those RU-vidrs who's making videos for all type of investors according to their risk appetite. Would love to see you making a comparison on returns from Liquid Funds with those of Premium Savings Accounts.
Please answer this if you have time : If these are invested in Gov Sec and bonds etc. Shall we invest in T-bills? yes it has a particular unit size but can we? The difference I see is these can be invested with low amount even in multiples of 100 but T-bills need a unit size 10k+ ?
Thanks for very good Information shared. Today only I have invested Rs. 5000/- in Union bank liquid fund because of low expense ratio. Please make video on Cut-off timing to get yesterday NAV Especially on Friday investment in liquid or overnight funds. What NAV applicable if we invest on Saturday morning.
Please answer my question. Why I have to pay expense ratio in liquid funds. I can save my emergency fund in ssb's savings account which gives me 7% returns for amount greater than 5 lakhs and withdraw instantly instead of 30 minutes. There is no expense ratio as well as no locking period.
@torahulj, I tried this in Jan 2024, and found out that most of the SOV are under 20% and Cash & equivalents of few of them are in (-ve) %, Please let me know should I wait to invest in Liquid fund right now?
Hi Rahul, thank you so much for giving this information. May we know where can we get this data so that we can also investigate and get latest information.
Which option would be good FD or Liquid funds in terms of person coming under 30% tax bracket. Second, would you suggest to park emergency fund keep into liquid fund.
Thank you sir for the video. I do have a request for you. Can you please make a video on flexi-cap funds and index funds? I see a lot of noise regarding them but I am not sure whether we should invest in them. If yes, then which funds are recommended.
Thank you Rahul, I have a query <a href="#" class="seekto" data-time="428">7:08</a> - 10L amount is worth of life time saving for someone, are Liquid funds really very very safe (Capital protection) comparing to Saving account which gives 3.5 ROI v/s avg 4.1 (assuming) in liquid fund? Is this risk worth?
Hi Pravin - Valid concerns. I would recommend to read below article. Pls note that FDs after 5 Lacs are also not risk free. Banks may default. In case of liquid fund, the liquid fund house can default. Nothing is risk free but chances are really slim as investment in liquid fund is done only for very short durtaion (3-6 months maximum). www.rankmf.com/what-is-liquid-fund#:~:text=Low%20Default%20Risk,Rs%205%20Lakhs%20is%20insured. In this article, if you read "Less Risk" paragraph, they are saying Liquid fund is safer than FD because of 5 lacs limit on FDs. The KEY is how much of the investment is done in SOV category, that's why I said PP is a better fund because of 88% in SOV catgeory. The main risk is on liquid fund house going bankrupt. That's the real risk. So if FDs make you more comfortable, pls stick to FDs only. Hope this helps.
Hi @@torahulj, first of all let me thank you for writing this detailed comment at this time of hour. Article provided is really helpful. I got overall idea, In case of liquid fund +1 benefit I can see is taxation with indexation benefit. Moral of the story is it totally depends up to persons comfort and overall scenario. Thanks once again
Thank you Rahul. i am planning to save some money every month for the next 6 months for a goal i have in mind . do you think liquid funds would be a good choice to do SIP rather than adding money in my savings account monthly ?
Yes, definitely better than savings bank. Also pls explore paytm Fixed deposit. I heard that they are giving 6% returns with no penalty to break it and instant redemption (if this is all true, pls consider Paytm FD).
Hi Sir, As per this video I parked some funds in Liquid Mutual funds by splitting then nder Adital Brila Liquid Funds, SBI, ICICI and HDFC mutual funds using Groww and Finity apps respectively. But, when I try to redeem, I thought I will get the money credited back into my account within a day. But its been more than 6 days still money is not credited. Groww and Finity apps shows that they have placed request with the mutual fund house, but still not received the money. Anyways, I have contacted the customer service. Is there something I am missing to understand fundamentally about Liquid funds?
Sir . Is it necessary to withdraw the whole amount in liquid fund within 90 days for investors ?. as said mostly. I am new to liquid fund please explain
Yes, the timing of long video and short on insta is different. when I shot long video, it was between 5-6% and when I shot the insta one, returns have gone up to 7% mainly because of increase in repo rates...things change very fast now a days :-)
@@rintubiswas687 Let me try to explain one more time. Liquid funds return in the last 1 year has gone up (almost from 4% to 7%). When I created long version video, at that time liquid funds were giving betwenn 5-6% returns. When I created the short video on insta at that time loquid funds were giving 7% returns. That’s why you see different returns in the two videos. I hope this clarifies your question?
In Paytm (partnered with Induslnd Bank), we have the option to do a FD of starting ₹100/-, can withdraw anytime without any extra charge and that too with a fixed return of 6% anually. And as we all know money upto ₹5lac is insured in a bank, then why shall one choose this Liquid Fund over option? I would like to know your thougts on this! Thanks, Rahul.
Hi Souvik - Very good call out about Paytm FDs. If I am reading it correctly on their website, their FD rate for 60-90 days is very low (not 6%)? Pls see the link below. www.paytmbank.com/products/fixed-deposit.html Have you actually got 6% rate? Instant redemption - Have you tried it? does it actually come instantly? I haven't tried hence asking this. If they are giving 6% return for short duration and instantly redeemable, it definitely makes Liquid funds less lucrative. Hope this helps?
@@torahulj Yes 6% is calculated per annum basis. But the document you referred is old, the interest rates have changed. Yes, can withdraw anytime without any extra charge. Also you can break small portion of the FD and make payment to user directly. I have tried it personally many times. But one cannot withdraw everyday during 12am to 3am due to bank server maintenance.
@@szsouvikzs You can withdraw anytime, but then you won't get 6% return. your return will be lesser, maybe 3% or 4℅ based on the tenure interest rate. Liquid funds on the other hand will consistently give you 6-7℅ returns even if you keep it just for 2 months. Not the case with FD. So both have their pros and cons. if you withdraw money in less than a year, liquid funds will give you better returns.
What rubbish...only 4% return in liquid fund and you are comparing with FD...In savings account also liquity is high and return is 4% then why are u comparing with FD?
