I have ₹20 lakh to invest but want to do it monthly to manage risk. Where should I keep the money during this period to earn a good interest rate, while being tax-efficient and liquid? I was considering the SBI Magnum Gilt Fund.
If I pledge the amount in SBI Magnum Gilt Fund, will I be able to invest in shares without Kite changing paying the interest?
Thank you,
Sumit
Thank you, Can you tell me one more thing…what’s the taxation on the SBI Gilt fund post-budget…is it slab rate or Stcg 20%…also, how would I know whether sbi fund is right now selling me a rate more than the face value
I am an active investor …already invested 30 lacs …don’t want to invest any more in the stock market in one go…want to do monthly or weekly investments…May you suggest some instrument…
I am sorry for not being clear earlier. I want to invest in debt or a similar fund and want to withdraw it systematically.Nifty50 is already ATH so don’t want to invest in it.
I like Edelweiss crisil index debt fund and sundaram arbitrage fund.
The former is cheaper than all gilt funds and all dynamic bond funds, has sovereign guarantee, is more stable than any long term gilt fund since it has shorter macauley duration, thus less interest rate risk.
The latter is equity taxed, very stable, decent post tax returns but has some different types of risks. Read the SID. Sundaram Asset Management Company Limited
Watch out for funds which claim to be arbitrage but still have unhedged exposure.
I am not affiliated nor a financial advisor; just sharing my conclusions after a few days of research.
Just keep in IDFC saving account giving 7%+ and monthly payout on balance above 7 lakh+. I am doing same and its liquid. I am doing delivery based swing trading in zerodha and transferring to zerodha using imps. And back to idfc using instant payout using upto 1 lakh.
Just check how they are paying interest.
What I get to know from ICICI that they not paying 8% on whole amount.
Example, if I am keeping 10 lakh in ICICI savings account with auto FD feature and expecting 8% plus interest. And after 1 month withdrawal 1 lakh now my balance is 9 lakh.
So previous month they will calculate interest on 1 lakh not 8% instead fd slab which comes in 30 days slab.
So actually you will get 8% on the amount that you keep fulfilling their FD period. May 1+ or 2+ year. While IDFC is true 7%+ either keep 1 month or 1 year.
just spoke to the bank guy…they are going to give 3-4% interest on the first 5 lacs and on the next amount they would give 7.25%…so it’s useless…do you know any account which gives moe interest on the first 5 lacs too?