or multi-asset mutual fund which includes different factor indexes, gold ETF, short/medium debt index with fixed percentage of allocation something similar (or better) than vanguard target funds!!
1 Like
@Nitin Being retail investor here are few problems that I see from mutual fund industry
-
Most of the index funds are getting launched with low expense ratio . After AUM grows they are increasing expense ratio which is not fair
-
I need Mutual fund that is Tax efficient and mimics All Weather Portfolio / Permanent portfolio that generated inflation beating returns post tax.
Boss you tagged wrong person. Spelling error.
1 Like
The issue for the MF industry is that the product is commoditized. Which means, very hard to differentiate from others. So to make it attractive people take the route of having lower fees, but it can hardly sustain given the shallowness of our markets and the dependency on distributors for getting AUM.
I don’t think we will take the route of wanting to be an AMC which will charge the least, as it is not sustainable and sets a wrong expectation as well.
The idea is to keep it passive only and keep it simple. And of course as tax efficient as possible.
6 Likes
What makes you feel we changed the stance that we won’t be a passive-only AMC? None of us has mentioned it.
The idea remains the same, and the partnership with smallcase is because they have experience in building passive products, which we don’t have. And this, we have tried to collaborate wherever possible in the journey 
Yep, we have a 7% stake
2 Likes
smallcases are passive investment products, each smallcase is essentially a portfolio of stocks on a certain theme or idea. If a smallcase didn’t perform well, maybe it also has got to do with the fact that the idea didn’t work out well?
This issue can happen even if someone ended up investing in sector funds (Bankex, CNXIT).
Rewards are higher, but so is the risk.
smallcase would have worked much better if fractional holding of shares was possible in India like in the US.
But a lot of these limitations can be gotten around through the mutual fund route.
4 Likes
@nithin I am eagerly waiting for your products . Any idea by when SEBI will give final approval . Approximate guess is also fine .
would be a game changer. it would be pretty easy to rebalance portfolios at individual level.
what would people do to rebalance midcap select index. MRF is in it. 
Ah no idea.
https://twitter.com/ZerodhaAMC?t=cYPO25rvBR4qm1cyUfFLHw&s=09
Is it authentic Zerodha AMC twitter handle 
Looks like that.
Yeah. The AMC bit is now going to be managed by the smallcase team. The idea is to build it as a separate brand, maybe a separate brand name as well.
5 Likes
Nothing yet. We’re still awaiting the final approval.
1 Like
Any update on the AMC approval?
We’re expecting the final approval in a few weeks.
3 Likes
I remember back in 2015, when you guys went all in with the discount broking concept, it broke monopolies. Helped many aspiring traders like me.
Now when @nithin is saying about affordable and tax efficient… I can see what’s coming up 
Can’t wait
2 Likes
Can I assume funds will be launched this year
1 Like
We’re hoping so 
1 Like
I am in need to good fund that combines power of indexing + debt (Zero credit risk) + Yearly rebalancing + Tax efficient . All hybrid funds in market today lack power of indexing .