Guide To Personal Finance

Gold ETFs gain favour; choose ones with low cost, minimal tracking error

More investors now adhere to the principle of asset allocation. "Increasingly, they treat gold as a financial asset in their portfolio rather than just as jewellery," says Vikram Dhawan

Minimising payout on home loan: Boost credit score, prepay, cut tenure

A home loan balance transfer can help move to a lower interest rate

Maharashtra RR rate hike: Choose ongoing projects, women ownership helps

The RR rate is the minimum value at which a property must be registered during a transaction

Dealing with digital arrest: Don't panic; reach out to lawyer, police

Fake arrest warrants and legal notices are sent via SMS or WhatsApp. Some use deepfake videos to replicate a police station setting

China-focused MFs: Take limited exposure, watch out for policy shifts

The stressed real estate sector, a key driver of the economy, has not yet stabilised

MF schemes merger: Stay invested if new fund fits your goal, risk appetite

Fund houses also merge schemes to cut costs and focus scarce fund management resources on their flagship schemes

Momentum funds: Invest if you have long horizon and stomach for volatility

Momentum funds follow a thematic approach, buying stocks in an upward trend and selling when the trend reverses

Income-Tax Bill 2025: File tax return by due date to be eligible for refund

Deductions related to salary, including standard deduction and leave encashment, are now grouped under a single clause

Dividend yield funds: For risk-averse investors seeking lower volatility

The dividend yield acts as a cushion that prevents stocks from falling further

Budget 2025: Tax-free income limit under new regime rises to Rs 12 lakh

Old tax system remains unchanged

Budget 2025: Relief on 2 self-occupied properties, without riders

Annual limit of Rs 2.4 lakh for TDS on rent increased to Rs 6 lakh

Yellow metal: Maintain allocation; tariff battles may sustain bull run

"Central banks usually purchase about 400 tonnes of gold annually. However, in 2022 and 2023, they bought over 1,000 tonnes each year," says Vikram Dhawan

Non-life insurers' profit in green in FY24 after 2 straight years of losses

Net profit of life insurance companies rose by 10.79% Y-o-Y in FY24 to Rs 47,407 crore

Over Rs 20k cr of unclaimed amounts lie with life insurers at end of FY24

Irdai also adopted several measures to reduce existing unclaimed amounts, asking insurers to prompt policyholders to update their contact details at the time of renewal

Say no to NFOs, buy direct plans and seek suggestions from Sebi RIAs

Sebi's new rule is a positive step towards investor protection. It will reduce mis-selling by aligning distributor incentives with investor interests and discourage unnecessary portfolio churn

Algo trading: Understand risks, have realistic return expectations

The circular is expected to provide retail investors access to registered and approved algos, ensuring their interests are protected

Housing in tier-II cities: Assess job prospects, infra before investing

Tier 2 cities are emerging as attractive real estate destinations due to expanding employment opportunities

Align investment horizon with portfolio duration for short-term debt funds

While all investors should have some allocation to shorter-duration debt funds for portfolio stability, the exact proportion should depend on their risk appetite

Reducing home loan: Switch to lower-cost loan if credit profile improves

Until repo rate cuts begin, borrowers can explore other options to lower their home loan burden

Go with regulated entity: Listed bonds subject to ratings, oversight

Unlisted securities, issued by smaller companies, often promise high interest rates of 15-18 per cent to attract investors