Let us do Role Play with #SEBI officials (SO) - they play the role of Investors and we of course are MFDs
SO 1) How much amt shd I invest? 2) Which Asset Class shd I invest? 3) For how long shd I invest? 4) Which AMC & Schemes shd I invest? 5) When shd I exit?
MFD response👇
MFD Response: 1) Spk with RIA 2) Search in Google 3) Search on Social Media
Following queries are compiled based on past experiences. Not to demean anyone. Just bear with the examples as they are only to showcase the futility of current MFD vs RIA notification.
An update by @FTIIndia . Do not believe unsubstantiated claims by unknown entities like CFMA.
By their own admission, none of their Members were Unit Holders of affected schemes. On what basis are they mis-guiding Investors and getting involved? Only Investors are suffering
When will Investors realise the futility of the legal path they are pursuing instead of letting the Fund House manage winding up of schemes and start repaying
It is visible for all to see that these schemes are now cash +ve with almost 8000 crs having been raised till now
Following these unknown entities who claim to be working in their interests is the biggest folly of Investors.
Wake up to reality, remove all legal cases, start receiving your funds and move on in life.
There is very heated debate on Low Cost vs High Cost, DITECT vs REGULAR etc. There are passionate views on both sides.
I was an Advisor till some time ago. No longer. So I have seen both sides of the coin. My thoughts on this debate:
There is No Black & White in any profession or business. Most models work at different times, for different people. Both can co-exist based on one's perception.
This debate and differentiation was created only post SEBI introducing DIRECT option in 2013. Till then the debate was Upfront vs Trail, High Expense vs Low Expense etc and no one doubted the importance of intermediaries in the Mutual Fund practice.
SEBI seems to be forgetting that they are Market watchdogs and not Fund Managers.
Too much of such tinkering can have devastating effects on various schemes.
Judge the impact based on this break up of Large, Mid and Small Cap exposures in current Multi Cap schemes.
At current market levels, there will be buying in Small Caps and selling in Large Caps - which is not advisable from any angle.
There will be major chaos in current Multi Cap schemes. Those who invested with an aim to have Large & Mid Cap exposure will have to bear the burden of Small Caps as well going forward.
Current liquidity will chase quality large cap stocks. A trend of past few years both globally as well in India.
Emkay's 12 is most ideally suited product under current market conditions.
12 Equi-weighted stocks with no Allocation and Selection bias of Fund Managers
On top of that, created under Smart Solutions of #MisterBond. Right allocation to Equity at Right Valuations with in built profit booking/Exit strategy.
Ensuring we do not create Abhimanyus getting stuck in Equity Chakravyuha.