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Financial IQ

The basic principles of investing

Investing means, making more money on your  money towards increasing your wealth. An investment is anything you purchase for future income or benefit. In other words, anything not consumed today and saved for future use can be considered an investment.  Income earned from your investments and any appreciation in the value of your investments increases your wealth. Before we take a look at thedifferent financial products, it is important to know the basic principles of investing!

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Editor's Choice

Dilbert should win a Noble Prize for this unified theory

MarketWatch.com has an article by Paul Farrell on why Dilbert should win the Noble Prize for his simple but unified theory of everything financial. 

OK, so Dilbert didn't win the Nobel Prize in economics this year. There's always next year, right? Or perhaps a parallel universe? You may wonder whether Dilbert and his creator, cartoonist Scott Adams, have any chance, but since the Nobel committee's records are sealed for 50 years our imagination runs free.

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Comparison Chart of Exchange Traded Funds E-mail
The Scott Adams unified theory says that invest 70% of your money in a stock index fund and 30% in a bond fund through any discount broker and never touch it until retirement. Let's check out some important data on expenses and return for the ETFs available in India

 

ETF Report as on November 24, 2007

 

Scheme Name

 

NAV (23-Nov-2007)

 Expense Ratio (30-09-07)

Simple Annualised Return (%)

1 Year

3 Years

Since Inception

Bank BeES

899.50

0.55

44.5

69.2

72.9

Gold BeES

1043.49

1

--

--

14.5

ICICI SENSEX Prudential  ETF

192.92

0.8

37.4

71.2

97.4

Junior BeES

111.39

1

54.8

63.1

110.2

Kotak Gold ETF

1046.57

--

--

--

53.1

Liquid BeES

1000.00

0.7

0.0

0.0

0.0

Nifty BeES

567.06

0.8

40.8

64.5

75.0

PSU Bank BeES

293.74

--

--

--

34522.1

Reliance Gold ETF - Dividend

1039.70

--

--

--

15590.5

Reliance Gold ETF - Growth

--

--

--

--

--

UTI's SUNDER

575.53

0.5

43.5

66.3

108.5

UTI Gold ETF

1045.28

--

--

--

6.6

 

 

 

 

 

 

Indices

 

 

 

 

 

S&P Nifty

5608.60

 

42.1

64.9

 

BSE Sensex

18852.87

 

37.7

70.8

 

Crisil Liquid Fund Index

1348.40

 

7.3

6.3

 

BSE PSU

9502.09

 

51.2

48.2

 

CNX Nifty Junior

10949.10

 

55.0

62.5

 

 Source and thanks to Sunita Pawar, Customer care Manager, Bench Mark Mutual Funds for the immediate response to our email

 

 
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