Debt Funds

1st Year Anniversary - Post Franklin Templeton Saga

Today, I wish to go down the memory lane of this past 1 year and put things in perspective – this entire saga for the benefit of not only the affected Investors; but for all in the Mutual Fund Industry. This can then work as a guide for the Mutual Fund Industry at large.

Debt Funds

Investors' Dilemma: "Jae to Kahan Jae?" Equity at historic High, Debt Yields at Historic Lows.

Those following Asset Allocation can only stare at erosion going forward - be it in Debt or in Equity. One strategy and scheme which is well poised to take advantage of current situation is : Axis Banking & PSU Debt Fund - which follows Constantly Rolling Down strategy. Treat it as an alternative to Liquid schemes and earn better returns than pure Liquid schemes with no Credit or Interest Rate Risk (if held till maturity) and avoid Reinvestment Risk as well. Please read on my thoughts on this Scheme

Debt Funds


PaSt couple of days, there were lots of WhatsApp forwards on how most of the Credit Scheme redemptions are met by transferring them to other schemes of the same AMC. Some concalls were also made by AMCs to quell these doubts and/or give explanations for the same. All the WhatsApp groups were only abuzz with these stories throughout the day with lot of agitated to and fro among the group members

Debt Funds

Match Needs with Solutions in Debt Space with Nippon India Mutual Fund Debt Schemes

It has been a turmoil filled 2019-2020 as far as debt markets are concerned. What was 2008-2009 for Equity markets has turned out to be 2018 onwards in Debt market space since IL&FS defaults and downgrades and thereafter many more defaults by well known names like DHFL, Essel Group, Cox & Kings, and many more. How to approach it as a need and a solution click on the article to read more.

Debt Funds

Investing in debt schemes with exposure to JSPL – a bane or a boon for new investors?

A video on debt schemes with exposure to JSPL

Debt Funds

Lull After (Self-Created) Storm

This article is not to defend any AMCs decision to include Amtek Auto/JSPL or any such papers in their debt schemes. Neither is to justify their actions or inactions in either retaining the same or selling them. This article is also not to comment on creditworthiness of these papers or otherwise. Also, I am not writing this on behalf of any AMCs to defend or justify their actions or inactions in these situations. Once I have made these points clear, now let me tell you why I have penned this article.

Debt Funds

Debt Investing In Equity Language – Post JSPL

Once again media & Twitteratis went to town to create huge noise around JSPL downgrade to D by CRISIL a few days back. As responsible institutions, one should weigh both pros & cons of an event, its impact on markets & portfolios & come up with some sensible solution for the readers & hand hold them instead of only instilling fear in investors’ minds who can then take some knee jerk, irrational decisions on their portfolios which in the bargain are injurious to their financial health & injurious to the overall industry as a whole. One can actually draw a lot of comfort from Amtek Auto/JSPL issues by analyzing the positives of the whole situations. Since most investors understand the language of Equity investing (v/s investments in Debt markets), let me draw some similes & explain the same for readers’ benefit.

Debt Funds

Understand Concepts & Risks Involved In Debt Markets

Understand Concepts & Risks Involved In Debt Markets Before taking Investment/Disinvestment Decisions This article is a concluding one in a series of articles I have written on Amtek Auto default fiasco (TRIOLOGY). Kindly read my earlier articles on this subject dated August 08’2015 – Stay Away from Chines Whispers & another dated September 28’2015 – Can We Rely on Rating Agencies?

Debt Funds

Stay Away from Chinese Whispers

We saw one bad news last Monday when equity markets corrected on Chinese & global cues. Industry is just getting back on its feet when another news – now on debt side has surfaced. Without getting into details of the whole situation, suffice it to say that though it is one off kind of a situation; to panic & have knee jerk reaction is not in the best interests of the Mutual Fund Industry. Many rumors, Chinese whispers with added mirch masala will do the rounds for some time to come. As informed Advisors it becomes our duty & responsibility in not adding fuel to fire & escalate the situation.

Debt Funds

How, When and Why Of Duration Themes

Many readers have interpreted my earlier article on why duration themes are not for retail investors as understanding that I am totally against Duration calls. If one has read the article thoroughly, one would have realized that I had also given investment calls from time to time to my Institutional investors including in 2008 November; but followed it up with aggressive disinvestment calls as well. I am not & have never been against giving Duration calls. I have only been stating at various forums & platforms that these calls are not for Retail investors who have come into Mutual Fund Debt schemes for predictability, lower volatility & better tax efficiency. Neither have I spoken in favor or against Duration call in that article. Entire gist of the article was that Duration themes are more like trading calls, need constant monitoring, need timely entry & exit calls & should be given by those advisors who understand when to give disinvestment calls & to those investors who are savvy on