Use Zerodha multi asset fund for timebeing
The conservative funds are taxed at slab rate, which is preferable by retired people. A passive fund in this category is not available in market.
Your house already have a debt passive fund and 250 index fund. The best combination at 70:30 ratio.
Sir, in the passive multi-asset fund, we get a Rs.1.25 lakh tax exemption on profits if booked after 2 years, right?
Yes you do
you may not.
From Capital gain tax perspective multiasset fund has been most confusing category.
If you are talking about zerodha-multi-asset-passive-fof … there is no 1.25 L tax exemption.
from Zerodha Multi Asset Passive FoF - Invest Now
To my understanding this is because equity < 65%
Yes, the Zerodha Multi Asset Passive FoF is considered as “hybrid” for taxation purpose and therefore qualifies for the long-term capital gains after 2 years. Rgds
Hi, your suggestion is noted. We are hoping the hybrid passive category will open up in the coming year and are excited on this category. Rgds
I looked over the latest portfolio for commodity cases and it seems you’re long on ETCDs. How do you decide ETCD positions? Is it because you think a particular commodity is going to rise or is it when you expect more silver to come in but it hasn’t like pending obligations?
It also looks like current/liquid assets is negative in gold/silver. Why is that?
In commodity ETFs, there is a 3% GST component which stands as “receivable” in the books creating a drag. The objective here is to ensure closer tracking and not to take an active directional call. In other words, it more for reducing tracking error. With respect to your observation on negative current assets, thanks for highlighting this, there seemed to be some error in the uploaded file, the same has been rectified and available under the portfolio disclosure section on our website, (Disclosures - Zerodha Fund House).
Hi @VishalJain, I see you have filed for Zerodha Nifty Short Duration G-Sec Index Fund - I did not know 1 to 3 years even exist in GSEC. Also there is a medium duration GILT that Nippon has in ETF format.
Any plans on introducing medium duration GILT and short duration GILT in ETF format? Given interest rates are stabilizing on the lower end, medium and short are likely to fetch better returns.
Short duration gsec i think the market just abandoned after MF reclassification. Good if its an option again.
I hope index fund does not mean that the fund expires at some time. That adds to taxation liability.
I would like an indefinite version of short term gilt.
IIUC, this index includes even purchases from the secondary markets, not just primary RBI auction. So a 10 year GSEC that was issued 8 years ago, and is set to mature in 2 years from now, will qualify for this short-duration index (1-3 years maturity).
Also, just FYI there are a bunch of other (some even shorter duration) GSEC indices.
Source: NIFTY G-SEC Indices
Hi, we would like to launch passive gilt index funds/etfs across the maturity spectrum. However, liquidity in many of the maturity buckets can pose a challenge to manage a passive product effectively and so we are launching it in an index fund format to start with. We will launch in other maturity buckets and formats in a phased manner. Rgds
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Yes, this is not a target maturity product which expires but a constant duration one which is indefinite. Rgds
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Great Thank you. In the ETF for Nifty we are missing Nifty Next 50 from Zerodha. Any plans. I know you have the Nifty 100 but asking specifically about Next 50
No immediate plan, feedback noted. Rgds
For asset allocation and rebalancing purpose within my portfolio, how should I treat this scheme? Like equity? Some pointers would be appreciated, thank you,
Hey Rahul, the taxation for the Zerodha Multi-Asset FOF is 2 years LTCG at 12.5%. Rgds
Thank you. One more question please. For windfalls, equity investments are usually staggered over 12–15 months using STP. If I want to invest a windfall into this scheme, should I invest the entire amount at once, or follow a staggered approach?
hi @VishalJain any idea by when SML100CASE will be eligible for pledging? currently we aren’t able to pledge this ETF