Bajaj Finance Limited (“BFL”) is a Non-Banking Financial Company carrying the business of acceptance of deposits, providing lending solutions to Retail & Corporate customers, and is a Corporate agent of various insurance Companies. BFL is also registeredwith the Association of Mutual Funds in India (“AMFI”) as a distributor of third party Mutual Funds (shortly referred as ‘Mutual Funds’).
BFL does NOT:
(i)provide investment advisory services in any manner or form;
(ii)perform risk profiling of the investor;
(iii)carry customized/personalized suitability assessment;
(iv)carry independent research or analysis, including on any Mutual Fund schemes or other investments; and provide any guarantee of return on investment.
In addition to displaying the Mutual fund products of Asset Management Companies, some general information is sourced from third parties, is also displayed on ‘As-is’ basis, which should NOT be construed as any solicitation or attempt to effect transactions in securities or the rendering any investment advice. Mutual Funds are subject to market risks, including loss of principal amount and Investor should read all Scheme /Offer related documents carefully. The NAV of units issued under the Schemes of mutual funds can go up or down depending on the factors and forces affecting capital markets and may also be affected by changes in the general level of interest rates. The NAV of the units issued under the scheme may be affected, inter-alia by changes in the interest rates, trading volumes, settlement periods, transfer procedures and performance of individual securities. The NAV will inter-alia be exposed to Price / Interest Rate Risk and Credit Risk. Past performance of any scheme of the Mutual fund do not indicate the future performance of the Schemes of the Mutual Fund. BFL shall not be responsible or liable for any loss or shortfall incurred by the investors. There may be other / better alternatives to the investment avenues displayed by BFL. Hence, the final investment decision shall at all times exclusively remain with the investor alone and BFL shall not be liable or responsible for any consequences thereof.
Bajaj Finserv Direct Limited, (“BFDL”), a wholly owned subsidiary of Bajaj Finserv Limited (is a Registered with SEBI as an Investment Advisor with Registration no. INA000016083). BFDL enables resident Indian customers to directly invest in third party mutual funds through its online platform. BFDL entered into a referral arrangement with BFL, whereunder, BFL may, without risk or responsibility on its part, refer the resident Indian customers who are interested in placing their investments in Direct Mutual Funds through BFDL online platform. Investment by a person residing outside the territorial jurisdiction of India is not acceptable nor permitted.
Disclaimer on Risk-O-Meter:
Investors are advised before investing to evaluate a scheme not only on the basis of the Product labeling (including the Riskometer) but also on other quantitative and qualitative factors such as performance, portfolio, fund managers, asset manager, etc. and shall also consult their financial advisers, if they are unsure about the suitability of the scheme before investing
FAQs
These funds are also known as equity funds or growth funds. They are designed for investors who are willing to take on more risk in exchange for the potential of higher returns. High-risk mutual funds invest in companies that have the potential for high growth but also carry a higher risk of failure.
What is the problem with taxation of mutual funds? ›
When looking at the 10 largest mutual funds by asset size, the turnover ratio is almost 75% (1). This means investors will pay higher taxes in the form of distributions due to mutual fund managers selling or buying 75% of the stocks that make up their fund annually.
What are the tax considerations for mutual funds? ›
You must pay taxes on dividends, interest, and capital gains that the fund company distributes to you, in addition to capital gains on sale or exchange of shares in your account. Reinvesting distributions in more shares of the fund does not relieve you from having to pay taxes on those distributions.
What are some high-risk funds? ›
5 Best High-Risk Investments
- Initial public offerings (IPOs)
- Venture capital.
- Real estate investment trusts (REITs)
- Foreign currencies.
- Penny stocks.
Here are 5 top high-risk mutual funds in the Indian market currently:
- PGIM India Midcap Opportunities Fund Growth.
- Kotak Small Cap Fund Growth.
- Nippon India Small Cap Fund Growth.
- ICICI Prudential Smallcap Fund Growth.
- DSP BlackRock Small Cap Fund Growth.
Systematic Withdrawal Plan (SWP): Set up an SWP to automatically redeem your mutual fund units regularly. By keeping withdrawals below Rs. 1 lakh per year, you may avoid LTCG tax altogether.
Are mutual funds tax friendly? ›
While this may be a convenient source of regular income, the benefit may be outweighed by the increase in your tax bill. Most dividends are considered ordinary income and are subject to your normal tax rate. Mutual funds that do not pay dividends are thus naturally more tax-efficient.
Are mutual funds taxed differently? ›
Mutual fund taxes typically include taxes on dividends and earnings while the investor owns the mutual fund shares, as well as capital gains taxes when the investor sells the mutual fund shares. The tax rate (and in turn the tax on mutual funds) depends on the type of distribution and other factors.
How do mutual funds generate taxable income? ›
When you sell or redeem (or cash in) the units or shares, you are taxed on the gain, if any. This is usually a capital gain because your mutual fund investment is usually considered capital property for tax purposes.
Are mutual funds taxed twice? ›
Mutual funds are not taxed twice. However, some investors may mistakenly pay taxes twice on some distributions. For example, if a mutual fund reinvests dividends into the fund, an investor still needs to pay taxes on those dividends.
The primary reason why mutual funds are considered to be risky deals is due to the fact that the returns they offer are not stable or guaranteed. Since the performance of the fund is linked to the movement of the market, mutual funds only offer returns if the market performs well.
Should I invest in high risk funds? ›
High-risk investments may offer the chance of higher returns than other investments might produce, but they put your money at higher risk. This means that if things go well, high-risk investments can produce high returns. But if things go badly, you could lose all of the money you invested.
Are mutual funds high risk? ›
No investment is risk-free and while mutual funds are generally low-risk because they invest in low-risk securities, they are not completely risk-free.
What is the safest mutual fund? ›
Money market mutual funds = lowest returns, lowest risk
They are considered one of the safest investments you can make. Money market funds are used by investors who want to protect their retirement savings but still earn some interest — often between 1% and 3% a year. (Learn more about money market funds.)
What is safer than mutual funds? ›
A mutual fund is an investment in a selection of securities like stocks and bonds. Their returns fluctuate with the markets but there are many choices that aim to minimize the risk of losses. In general, CDs are safer than mutual funds, but mutual funds have the potential for significantly higher returns.
Which mutual fund is best to invest in 2024? ›
When returns matter!
| Name of the mutual fund | Type of fund | 5-year returns (in %) |
|---|
| Nippon India Multicap Fund | Multi-cap fund | 128.22 |
| Mahindra Manulife Multi Cap Fund | Multi-cap fund | 113.68 |
| Bank of India ELSS Tax Saver | ELSS fund | 116.05 |
| SBI Long Term Equity Fund | ELSS fund | 115.88 |
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Mutual funds invested in government or municipal bonds are often referred to as tax-exempt funds because the interest generated by these bonds is not subject to income tax.
Why are ETFs more tax-efficient than mutual funds? ›
Although similar to mutual funds, equity ETFs are generally more tax-efficient because they tend not to distribute a lot of capital gains.
Are tax saving mutual funds risky? ›
ELSS is suitable for investors with higher risk tolerance as it invests its assets predominantly in equity and equity-related securities. ELSS is an excellent investment for those in the higher income tax brackets. ELSS has the shortest lock-in period among Section 80C investments.
What are the disadvantages of mutual funds IRA? ›
Potential Cons
Mutual funds have expenses, typically ranging between 0.50% to 1%, which pay for management and other costs to operate the fund. Some mutual funds have sales charges, or "loads," that investors pay when either buying or selling a mutual fund. Market risk.
