Latest news with #Nifty100
Mint
3 days ago
- Business
- Mint
Mutual funds: What are sectoral funds and why should you invest in them?
As a new mutual fund investor, one of the most common dilemmas one tends to face is the category of fund wherein one should invest. Typically, investors are recommended to opt for an index mutual fund which hedges the risk by investing across stocks and sectors. Some common index mutual funds are Nifty50 Fund, Nifty100 fund, Sensex 500 Fund and Nifty250 small cap fund, and so forth. However, what should one do if one is committed towards a particular sector or theme -- say innovation, consumption, manufacturing, technology, among others. Invest in a sectoral/thematic fund? These funds are meant for the ones who are committed to a particular sector or theme. As per the Sebi's categorisation of mutual fund schemes, sectoral/thematic funds are supposed to invest at least 80 percent of their total assets in equity and equity-related instruments of a particular sector or theme. Sectoral funds: These funds invest in a particular sector of the economy such as infrastructure, banking, technology or pharmaceuticals. Thematic funds: These funds select stocks of companies in industries that belong to a particular theme, for example, infrastructure, service industries, PSU or MNCs. There are a total of 215 schemes in this combined category with total assets amounting to ₹ 4.92 lakh crore, highest among all equity mutual fund categories followed by flexi cap funds (which have total assets of ₹ 4.71 lakh crore). Some of the top performing sectoral/thematic funds which have delivered high returns in the past five years include Aditya Birla Sun Life Infrastructure Fund (31.97 percent), Aditya Birla Sun Life PSU Equity Fund (32.87 percent), Bandhan Infrastructure Fund (35.57 percent) and ICICI Prudential technology Fund. There could be numerous reasons for investing in these funds: A. When an investor is too committed to a particular sector or theme such as a techie wants to invest in a technology fund. B. When the chances of a sector to grow are very high. For instance, in response to the government investing huge money in infrastructure projects, investors made a beeline for funds focusing on this sector. C. When an investor wants to make a focused investment, which is broader than a stock but not as diversified as the index. Meanwhile, it is important to note that sectoral/thematic funds focus on just one sector/theme and therefore they limit diversification and are, therefore, riskier. 'Typically, investors should allocate only 15-20 percent of portfolio to all sectoral/thematic funds combined,' says Sridharan S, a Sebi-registered investment advisor and founder of Wealth Ladder Direct. For all personal finance updates, visit here
Time of India
6 days ago
- Business
- Time of India
Building a legacy: Financial planning tips for fathers of all ages
Step 1: Cultivate the discipline of saving Step 2: Allocate savings with a three-bucket system Bucket 1: Emergency reserve Bucket 2: Short-term goals Live Events Bucket 3: Long-term wealth creation Step 3: Establish clear financial decision-making rules Step 4: Evolve as your finances mature Summing it up A legacy beyond wealth This Father's Day , it is worth reflecting on one of the most enduring responsibilities fathers carry: ensuring the financial well-being of their families. Regardless of whether you are just embarking on your financial journey or are in a position to guide the next generation, adopting a structured approach to money management can have a lasting impact. Here is a streamlined framework to help you take control of your finances with clarity and discipline.A strong financial foundation begins with a consistent savings habit. Aim to set aside 20–30% of your monthly income, adjusting to your current capabilities. The objective is not perfection, but discipline. Establishing this habit enables long-term stability and provides a powerful example for your children and your savings into three distinct buckets allows for better clarity and purpose:Prioritize the creation of an emergency fund by allocating ~5% of your income until you accumulate at least six months of essential expenses. Place these funds in highly liquid, low-risk another ~5% to near-term needs such as education, home upgrades, or planned purchases. Debt mutual funds or fixed deposits are suitable the remaining ~10% (or more) toward long-term objectives such as retirement or legacy planning. Equity mutual funds—whether actively managed or passively tracking indices like Nifty 100 or Nifty Midcap 150—can be effective for wealth simple rules can prevent reactive or emotion-driven financial decisions:On receiving a windfall or bonus: Allocate at least half of it toward your three financial buckets before considering discretionary withdrawing funds: Access the emergency bucket for unforeseen expenses and the short-term bucket for pre-planned risky investments: Engage only if you're consistently saving above 30% of your income and limit such exposure to no more than 5% of your overall reaching a milestone—such as your long-term investments equating to five times your annual expenses—consider transitioning from a simple system to more advanced portfolio strategies. This includes asset allocation, risk diversification, and periodic rebalancing, often in collaboration with a trusted financial a habit to save at least 20% of your income. Keep it simple in the initial years of your career by following the 3 Bucket approach of Safety bucket, Short term bucket and Long term Pre-Defined Rules for investing new money, withdrawal and investing in high-risk investments. When your portfolio value is more than 5x of your annual spending, then focus more on Asset allocation, Diversification and framework will help you take charge of your financial decisions and keep the topic of money, saving and spending simple and less time-consuming. By embracing this framework, you not only secure your own financial future but also model enduring values for generations to come.
Economic Times
6 days ago
- Business
- Economic Times
Building a legacy: Financial planning tips for fathers of all ages
This Father's Day, it is worth reflecting on one of the most enduring responsibilities fathers carry: ensuring the financial well-being of their families. Regardless of whether you are just embarking on your financial journey or are in a position to guide the next generation, adopting a structured approach to money management can have a lasting impact. Here is a streamlined framework to help you take control of your finances with clarity and discipline. A strong financial foundation begins with a consistent savings habit. Aim to set aside 20–30% of your monthly income, adjusting to your current capabilities. The objective is not perfection, but discipline. Establishing this habit enables long-term stability and provides a powerful example for your children and dependents. Organizing your savings into three distinct buckets allows for better clarity and purpose: Prioritize the creation of an emergency fund by allocating ~5% of your income until you accumulate at least six months of essential expenses. Place these funds in highly liquid, low-risk instruments. Assign another ~5% to near-term needs such as education, home upgrades, or planned purchases. Debt mutual funds or fixed deposits are suitable vehicles. Dedicate the remaining ~10% (or more) toward long-term objectives such as retirement or legacy planning. Equity mutual funds—whether actively managed or passively tracking indices like Nifty 100 or Nifty Midcap 150—can be effective for wealth accumulation. Implementing simple rules can prevent reactive or emotion-driven financial decisions: On receiving a windfall or bonus: Allocate at least half of it toward your three financial buckets before considering discretionary withdrawing funds: Access the emergency bucket for unforeseen expenses and the short-term bucket for pre-planned risky investments: Engage only if you're consistently saving above 30% of your income and limit such exposure to no more than 5% of your overall portfolio. Upon reaching a milestone—such as your long-term investments equating to five times your annual expenses—consider transitioning from a simple system to more advanced portfolio strategies. This includes asset allocation, risk diversification, and periodic rebalancing, often in collaboration with a trusted financial advisor. Create a habit to save at least 20% of your income. Keep it simple in the initial years of your career by following the 3 Bucket approach of Safety bucket, Short term bucket and Long term bucket. Create Pre-Defined Rules for investing new money, withdrawal and investing in high-risk investments. When your portfolio value is more than 5x of your annual spending, then focus more on Asset allocation, Diversification and Rebalancing. This framework will help you take charge of your financial decisions and keep the topic of money, saving and spending simple and less time-consuming. By embracing this framework, you not only secure your own financial future but also model enduring values for generations to come. (Author of the article - Jiral Mehta is Senior Research Analyst at FundsIndia)
Time of India
13-06-2025
- Business
- Time of India
Top stocks to buy today: Stock recommendations for June 13, 2025
Stock market recommendations: According to Bajaj Broking Research, Sterling and Wilson Renewable Energy, and Prince Pipes and Fittings are the top stock picks for today. Here's its view on Nifty, Bank Nifty and the top stock picks for June 13, 2025: Index View: Nifty Nifty traded in a 170 points range in the first three sessions of the current week. Tired of too many ads? go ad free now However, sharp decline in Thursday's session saw the index breach the 25,000 levels on the weekly expiry session and closed at 24888 levels. The Nifty has strong support in the range of 24,600–24,700 zone, which coincides with the confluence of the 20-day EMA and the rising trendline connecting the previous two significant swing lows. Sustaining above this support band would likely set the stage for a continuation of the uptrend towards immediate resistance levels at 25,300 and 25,500 in the near term. Importantly, the index has posted an impressive 16% rally from its April lows. Following this, it underwent a healthy consolidation phase with a mild 3% retracement before resuming its upward trajectory. This pattern of extended rallies followed by shallow corrections is characteristic of a structurally strong bull market, suggesting the potential for further upside. Any intermediate dips from current levels should be viewed as incremental buying opportunities. Market internals continue to exhibit strength, particularly in the broader indices. Outperformance is evident in the relative strength ratio of the Nifty 500 versus the Nifty 100, which has been on a steady upward trajectory. Furthermore, market breadth remains robust, with approximately 62% of stocks within the Nifty Midcap 100 and Nifty Small cap 100 trading above their 200-day Simple Moving Averages—a technical indicator that bodes well for the sustainability and depth of the ongoing uptrend. Tired of too many ads? go ad free now NIFTY BANK Bank Nifty post breakdown above the recent 5 weeks broader consolidation range (56,000-53,500) on last Friday has rallied to a fresh all time high of 57049 on Monday's session. However, profit booking at higher levels saw the index gave up its gains and closed Thursday session around 56082 levels. The index is currently trading above its short- and long-term moving averages signaling overall positive bias. The last four sessions profit booking have helped the index to cool off the overbought condition. We expect the index to hold above the support area of 55,200-55,500 and head higher towards 57,000 and 57,700 levels in the coming weeks. Stock Recommendations: Sterling and Wilson Renewable Energy (SWSOLAR) Buy in the range of Rs 325-331 Target SL Return Time Period Rs 363 309 10% 3 Months The stock is seen breaking above the last two months consolidation pattern with strong volume signaling resumption of up move and offers fresh entry opportunity. The daily 14 periods RSI is in up trend and is seen sustaining above its nine periods average thus validating positive bias. We expect the stock to head towards 363 levels being the 138.2% external retracement of the previous decline (333-244). Prince Pipes and Fittings Buy in the range of Rs 345-352 Target SL Return Time Period Rs 383 328 10% 3 Months The stock has recently generated a breakout above a bullish Flag pattern signaling continuation of the up move and offers fresh entry opportunity. The daily MACD is in uptrend and is seen sustaining above its nine periods average signaling positive bias. We expect the stock to head towards 383 levels in the coming weeks being the presence of the 200 days EMA. Disclaimer: The opinions, analyses and recommendations expressed herein are those of brokerage and do not reflect the views of The Times of India. Always consult with a qualified investment advisor or financial planner before making any investment decisions.
Time of India
09-06-2025
- Business
- Time of India
Metals lead in profit growth: Know how various sectors of Nifty 100 index performed over the last 8 quarters
Source: Reuters-Refinitiv. Numbers in brackets are the number of companies in each sector. 95 companies of the Nifty100 index are considered for the analysis. LP: Loss to profit. PL: Profit to loss. Nifty 100 index represents about 67% of the free float market capitalisation of the stocks listed on NSE at the end of March 2025. Earnings growth slows amid weak demand The weakness in consumption and demand is evident in the earnings performance of the Nifty 100 index, with 95 out of 100 companies reporting an aggregate consolidated net profit growth of just 12.7% year-on-year. While the performance appears better when compared to the December 2024 quarter, with 10.9% growth, there is a marked decline compared to the 23.5% growth in the March 2024 quarter. The metals sector, particularly steel companies, delivered strong performance driven by lower raw material costs and a seasonal rise in demand from the construction industry. In contrast, the construction materials (cement) sector faced headwinds from both demand and rising costs. However, the sector's overall growth was supported by solid earnings from Grasim and UltraTech Cement . The banking sector's performance was dragged down by IndusInd Bank , which reported a consolidated net loss amid higher provisions and lower interest income. The financials sector reported a modest performance, aided by healthy growth in disbursements. The IT sector continues to see challenges amid global uncertainties. The sector is seeing stress in multiple verticals, including manufacturing, automotive, retail, and logistics. Live Events The consumer staples sector showed mixed results—rural demand improved, but urban slowdown and input cost pressures weighed on performance. A 210% profit jump in the Nifty 100 was largely driven by ITC 's exceptional gains from its hotel business sale. Among the largest five heavyweight stocks of the Nifty 100 index, Bharti Airtel , ICICI Bank and HDFC Bank reported the highest year-on-year growth in the consolidated net profits of 432%, 15.7% and 6.9% respectively.
