Sectoral winners and losers of Union Budget 2021
Experts point out that health and infrastructure are the keys to economic growth and the government s emphasis on them will drive growth, increase employment and boost overall consumption. February 02, 2021 / 02:44 PM IST
The Union Budget 2021 pleased the market as the equity barometer the Sensex and the Nifty rose about 5 percent on the Budget day.
The absence of negative surprises cheered the market. There was no wealth or super-rich tax, direct tax tweak, long-term capital gains tax, securities transaction tax, or a COVID tax in the Union Budget 2021.
Moreover, the Budget was seen as a long-term positive for the economy.
Nifty Bank rallies over 10% post Budget: Here are 5 reasons why the index is rising
Motilal Oswal picks ICICI Bank, SBI, Axis Bank, and AU Finance as top picks while ICICIdirect is positive on Axis and SBI post Budget 2021. February 02, 2021 / 01:28 PM IST
The S&P BSE Sensex rallied 5 percent on Budget Day to post its best performance in percentage terms in the last 22 years while Nifty Bank hit a record high. Privatisation of two public sector banks, PSU recapitalisation, construction of bad bank, a growth-oriented Budget are some of the factors fuelling the rally in the banking space.
The Nifty Bank has rallied by about 10 percent post Budget and majority of gains were seen in strong retail banks such as ICICI Bank, HDFC Bank, Kotak Mahindra Bank, SBI, and IndusInd Bank.
Synopsis
Index funds folios double to 8.11 lakh in 13 months; AUMs up 95% to Rs 14,794 crore.
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Decades ago, US President John F Kennedy had underlined the importance of a healthy broader economy in wealth building through his now-famous words: A rising tide lifts all boats. It is the latest investment approach in India, where passive index funds tracking the broadest indices are gaining an edge over active stock pickers.
Data from mutual fund industry body AMFI show that the number of folios in index funds doubled from 4.05 lakh to 8.11 lakh in the last 13 months. During the same period, assets under management (AUM) of index funds surged 95% to Rs 14,794 crore. By contrast, the total AUM of the mutual fund industry moved up 15% - from Rs 26.94 lakh crore to Rs 30.96 lakh crore.
Updated Dec 23, 2020 | 13:55 IST
Small-cap stocks have outperformed large-caps in 7 out of 14 time periods by a significant margin after big corrections. Representational image
New Delhi: Mutual fund investors can potentially earn higher return by investing in schemes that invest in small-cap stocks as they have underperformed vis-à-vis their larger peers while a low interest rate environment have boosted their prospects, say analysts. Although most of the small-cap stocks have more than doubled from their March lows, fund managers say there is still room for upside in 2021 and beyond. According to wealth planners, an investor should hold up to 20% of his/her equity portfolio in small-cap stocks.
Synopsis
The NFO is currently open and closes on December 18. The scheme, a feeder fund, will invest Invesco Global Consumer Trends Fund, a 22-year-old fund with assets of $2.6 billion that invests 70% - 100% of its assets in consumer discretionary companies.
ThinkStock Photos
MUMBAI: Investors looking to bet on the ongoing digital revolution in consumer spending could consider the New Fund Offer of Invesco India - Invesco Global Consumer Trends Fund of Fund. But, investing lumpsum in this product could be avoided at this juncture given the run up in shares of many of such companies. Wealth advisors said investors could opt for the Systematic Investment Plan (SIP) route till share prices correct.