FIXED MATURITY PLANS BEAT NRE / NRO YIELDS

 

Salient Features

1 Initial investment is made in Indian Rupee  Fixed Maturity Plan of  leading Mutual Funds like Standard Chartered, Franklin Templeton Mutual Fund, Tata Mutual Fund and others.

02 The principal amount and fixed returns are both guaranteed.

03 The gains are  taxed after indexation.

04 Annualized yield for NRI investor after tax ranges to 6.00 % to 8.00 %.

05 The Principal amount as also gains are fully repatriable.

 

 

 

Sr.  No.

Scheme Name

Date

Indicative Yield

1.

ICICI Prudential Fixed Maturity Plan - Series 51 - Three Years Plan F

02nd March'10 - 17th March'10

8.00%

2.

ICICI Prudential Fixed Maturity Plan - Series 51 - 14 Months Plan D

09th March'10 - 11th March'10

8.00 (Approx.)

3.

Kotak FMP 18M Series 4

09th March'10 - 18th March'10

7.20% (Approx)

 

 

ICICI Prudential Fixed Maturity Plan - Series 51 - Three Years Plan F

Indexation Benefit Available!  Opens on: 2nd March '10 Closes on: 17th March '10

Type of scheme

A Close-Ended Debt Fund

New fund offer price

Rs.10/- per unit.

Date Of Inception

2nd March 2010

Close Date

17th March 2010

Allotment Date

22nd March 2010

Maturity Date

1st April 2013

Tenor of the scheme

1105 days

Indicative / Hypothetical Yield

8.00%

Entry Load

Nil

Exit Load

Nil

Minimum application amount

Rs. 5000 and in multiples of Re.1 thereafter

Investment objective

The investment objective of the Plan under the Scheme is to seek to generate regular returns by investing in a portfolio of fixed income securities/ debt instruments which mature on or before the date of maturity of the plan / scheme. However, there can be no assurance that the investment objective of the Plan under the Scheme will be realized.

Options available

Cumulative and Dividend Payout - Default Sub Option - Cumulative

 

 

ICICI Prudential Fixed Maturity Plan - Series 51 - 14 Months Plan D

 Indexation Benefit Available!  Opens on: 09th March'10 Closes on: 11th March'10

Type of scheme

A Close-ended Debt Fund

New fund offer price

Rs.10/- per unit.

Date Of Inception

March 09, 2010

Close Date

March 11, 2010

Allotment Date

March 27, 2010

Maturity Date

May 17, 2011

Tenor of the scheme

431 days

Indicative / Hypothetical Yield

8.00 (Approx.)

Entry Load

NIL

Exit Load

NIL

Minimum application amount

Rs. 5000 and in multiples of Re.1 thereafter

Investment objective

The investment objective of the Plan under the Scheme is to seek to generate regular returns by investing in a portfolio of fixed income securities/ debt instruments which mature on or before the date of maturity of the plan / scheme

Options available

Cumulative and Dividend Payout- Default Sub Option - Cumulative

 

 

Kotak FMP 18M Series 4

 Indexation Benefit Available!  Opens on: 09th March'10 Closes on: 18th March'10

Type of scheme

An Close ended debt scheme.

New fund offer price

Rs.10/- per unit.

Date Of Inception

March 09, 2010

Close Date

March 18, 2010

Allotment Date

March 20, 2010

Maturity Date

August 20, 2011

Tenor of the scheme

18  Months

Indicative / Hypothetical Yield

7.20% (Approx)

Entry Load

NIL

Exit Load

NIL

Minimum application amount

Rs. 5,000/- and in multiples of Rs 10 for purchase and switch-ins.

Investment objective

The investment objective of the Scheme is to generate returns through investments in debt and money market instruments with a view to significantly reduce the interest rate risk.

Options available

Growth and Dividend Payout

 

 

To initiate Mutual Fund Investment & avail our Mutual Fund Portfolio Services, please provide

NAME

E-MAIL

 

 

 

Example For Computation Of  Indexation Benefit @ 9.00%

 

 

 

 

Dividend

Growth

Indexation

Individual & HUF

Corporate

A

Purchase Price

100

100

100

100

B

Post Expenses Yield

9.00%

9.00%

9.00%

9.00%

C

Repurchase Price A=P*(1+R)^T

110.29

110.29

110.29

110.29

D

GAIN=C-A

10.29

10.29

10.29

10.29

E

INDEXED COST @5%

NA

NA

NA

105.00

F

INDEXED GAIN=C-E

NA

NA

NA

5.29

G

Tax Rate

14.16%

22.66%

11.33%

22.66%

H

Tax

1.28

1.90

1.17

1.20

I

Post Tax Gains

9.01

8.39

9.12

9.09

J

Value of Investment

109.01

108.39

109.12

109.09

K

Post Tax CAGR

8.76%

8.15%

8.87%

8.84%

Fixed Maturity Plans (FMPs) BASICS

Safe, predictable and better post-tax returns than bank FDs Rising interest rates not only mean rising EMIs but also offer an opportunity to earn higher returns. Debt schemes are now offering attractive returns with short-term rates in the region of 8-10%. Call money rates have been moving higher to about 7.5-8% due to tight liquidity conditions. With the RBI deciding to raise the cash reserve ratio (CRR), liquidity conditions have worsened. Tightness in the money markets is expected to continue till the end of the current financial year and investors can consider investing in short term options like FMPs or floating rate schemes. Fixed maturity plans, or FMPs as they are popularly called, are close-ended funds with a fixed tenure and invest in a portfolio of debt products whose maturity coincides with the maturity of the product. The primary objective of a FMP is to generate income while protecting the capital by investing in a portfolio of debt and money market securities. The tenure can be of different maturities, ranging from one month to five years. FMPs can be compared to fixed deposits of a bank. While a fixed deposit offers a 'guaranteed' return, returns in FMPs are only 'indicative'. Typically, the fund house fixes a 'target amount' for a scheme, which it ties up informally with borrowers before the scheme opens. That way it knows the interest rate it will earn on its investments, providing the 'indicative return' to investors.                                                                                                                                                                         

Benefits of FMPs

FMPs offer many benefits like tax efficiency, fixed tenure and low sensitivity to interest rates. The minimum investment amount is usually Rs 5,000, which a retail investor can easily invest.

Capital protection: FMPs have less risk of capital loss than equity funds due to their investment in debt and money market instruments.

Low interest rate sensitivity: As the securities are held till maturity, FMPs are not affected by interest rate volatility. The actual returns are more or less close to the indicative returns declared at the scheme's launch.

Lower cost: FMPs involve minimum expenditure on fund management, as there is no requirement for a time-to-time review by fund managers to buy/sell the instruments constituting the fund. Since these instruments are held till maturity, there is a cost saving in respect of buying and selling of instruments.

Tax benefits: FMPs score over fixed deposits because of their tax efficiencies both in the short-term as well in the long-term.

 

Returns of Arbitrage Funds [ Gr. ] annualized as on 31.01.2010

Arbitrage Funds  

NAV 

3

Months

6

Months

1

Year

2

Years

3

Years

Redemption

IDFC Arbitrage Fund

12.18

2.20

3.18

3.40

5.06

6.76

Anytime after 1 mnth

IDFC Arbitrage Plus Fund- Plan B

11.04

2.20

3.12

3.81

N.A

N.A

Anytime after 1 mnth

JM Arbitrage Advantage Fund

12.90

3.08

4.22

4.69

6.41

8.01

After 1 mnth But last thurs of the month -  submission before a week

Kotak Equity Arbitrage Fund

13.59

3.20

4.14

5.14

6.31

7.99

Anytime after 6 mnths

Religare Arbitrage Fund

12.03

2.12

3.30

4.17

5.91

N.A

After 6 mnths But last thurs of the month -  submission before a week

SBI Arbitrage Opportunities Fund

12.58

2.92

3.84

4.13

5.85

7.59

After 6 mnths But last Fri of the month -  submission before a week

UTI Spread Fund

13.30

2.56

3.42

6.02

8.17

9.21

After 6 mnths But last thurs of the month -  submission 23rd of each month

 

welcome to  -  INDIA   - the global investment destination  -
Indian Equity Mutual Funds with Midas Touch

Our Objective

:

Wealth creation and value addition to client's investments.

Our Philosophy

:

creation of portfolios optimising by way of  -  minimum risks and maximum returns. 

Our Team 

:

Qualified chartered accountants and mutual fund advisors.

Our Style

:

Simplicity of personalised professional services as reflected in our strategies of  :

●  NO open ended  NFOs  as our research shows initial 3 to 6 months of  investment NFOs languish.

●  NO CHURNING nor profit bookings with every swing of the stock- market.

●  Expertise of FEMA , TAX & MF Planning & portfolio Services from qualified professionals under one umbrella.

●  And ofcourse the real advantage - nrimutualfunds.com  is - being  Independent Financial Advisors [ IFA ] senior executives are constantly available to you, not playing musical chairs - an attrition menace of the Industry. 

Our Services

:

As AMFI registered Corporate Mutual Fund Advisors, our services comprise of  : 

●  Suggesting investment strategy balancing risks and returns suitably for each investor.

●  Provide detailed Asset Allocation Plan [ AAP ] and opting for purchase averaging.

●  Preparation of all necessary applications and other paper work being  dispatched to investor for signatures

●  Maintenance and reporting of portfolio on quarterly basis.

●  Advising profit booking and/or switch from time to time & further reinvestment of sale proceeds on an ongoing basis.

●  Advising tax matters and providing annual statement of Dividend and Gains.

Your Security

    & 

    Convenience

:

 

:

All investments are made in name of the investor- under his own signature & as MF schemes are electronically linked to investor's notified bank account, error free transfers for investment & realization are ensured.

The investor has only to sign the dotted line as completed application forms and necessary paper work is prepared and dispatched by our Office.  

Our Fees

:

Securities & Exchange  Board of India [SEBI] has abolished 2.25% Entry Load and requires MF Advisor to charge fees since August 2009 .  We offer two options of MF advisory fees for the investor to choose from.    

1.  1.25% for purchase and / or reinvestment in equity schemes.      

OR 

2.  7.5% of the profits (actual and notional) as on 31st March every year.

The fees will be payable only at the end of financial year being 31st March every year.

MF Equity Schemes & BSE, NSE, FTSE, Dow  1 / 2 / 3 Years Performance as on 28.02.2010

Rank 1 year - Gain   2 years - Gain   3 years - Gain  

Fund Name

Gain %

Fund Name

Gain %

Fund Name

Gain %
1 Reliance Regular Savings Fund  123.13% Reliance Pharma Fund  81.18% Reliance Pharma Fund  120.22%
2 Reliance Pharma Fund  147.29% Franklin PHARMA FUND  81.17% Reliance  Diversified Power Sector Fund  113.81%
3 Reliance Growth Fund  112.90% Franklin INFOTECH FUND  38.59% Reliance Banking Fund 105.42%
4 Reliance Equity Opportunities Fund  130.44% ICICI Prudential Discovery Fund 34.31% IDFC Premier Equity Fund  96.49%
5 Reliance Banking Fund 120.57% Birla Sun Life Dividend Yield Plus  31.36% Reliance Regular Savings Fund  85.17%
6 Principal Pnb Long Term Equity Fund 3 Years Plan - Series I 133.71% Franklin FMCG FUND  31.06% Franklin PHARMA FUND  75.63%
7 Principal Pnb Long Term Equity Fund 3 Year Plan - Series Ii 151.57% Birla Sun Life MNC Fund  25.14% ING Dividend Yield Fund  70.46%
8 Principal Junior Cap Fund 121.21% ING Dividend Yield Fund  23.33% Birla Sun Life Dividend Yield Plus  70.11%
9 Principal Emerging Blue Chip Fund  170.36% IDFC GSF-PF-Inst Plan B-DMD Less than or Equal to 2 Years 20.40% BARODA PIONEER GROWTH FUND  67.48%
10 NSE 78.11% Reliance Banking Fund 19.95% HDFC Top 200 Fund  65.66%
11 Morgan Stanley A.c.e Fund  127.08% HDFC Equity Fund  19.08% ICICI Prudential Discovery Fund 62.49%
12 Mirae Asset India Oppurtunities Fund  129.04% HDFC Top 200 Fund  17.55% Birla Sun Life Midcap Fund  59.79%
13 L&T Small Cap Fund 114.17% ICICI Prudential Tax Plan  14.60% Reliance Growth Fund  57.70%
14 L&T Opportunities Fund 119.10% ICICI Prudential Dynamic Plan  13.95% DSP BlackRock Top 100 Equity Fund 56.67%
15 Kotak Global India  161.99% Birla Sun Life Buy India Fund  13.37% ICICI Prudential Infrastructure Fund  56.38%
16 Jpmorgan India Smaller Companies Fund  117.83% HDFC Tax Saver 12.80% Birla Sun Life Frontline Equity Fund  56.15%
17 Jm Small & Mid Cap Fund 129.94% DSP BlackRock Equity Fund  12.42% HDFC Equity Fund  55.48%
18 JM Mid Cap Fund  119.84% Kotak Equity Arbitrage Fund  12.17% DWS INVESTMENT OPPORTUNITY FUND 55.24%
19 Jm Emerging Leaders Fund  156.02% Jm - Arbitrage Advantage Fund  12.06% Principal Large Cap Fund  52.18%
20 Jm Basic Fund  133.92% DSP BlackRock Top 100 Equity Fund 11.91% L&T Opportunities Fund 52.00%
21 Birla Sun Life Midcap Fund  139.92% NSE -5.77% NSE 31.43%
22 Birla Sun Life Infrastructure Fund 112.25% BSE -6.54% BSE 26.96%
23 Birla Sun Life India Opportunities Fund  130.47% FTSE -9.00% FTSE -13.24%
24 Birla Long Term Advantage Fund 133.53% DOW JONES -15.82% DOW JONES -15.84%

To initiate Mutual Fund Investment & avail our Mutual Fund Portfolio Services, 
Pl. provide your details at :
nrimf@femaonline.com 

 

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