A client started his portfolio with Truemind 4 years ago. His portfolio was earlier managed by the wealth management team of a big MNC bank in India. Because of a long-standing relationship with the relationship manager at that bank, he moved only 50% of the portfolio to us. A few days ago, I got his call informing me that he is going to liquidate the entire portfolio with the bank and move it to Truemind.…
There are more than 4 crore unique mutual fund investors in India, but only 1,000 SEBI Registered Investment Advisers (RIAs). Shockingly, the number of SEBI RIAs has decreased over the last few years despite the regulations introduced in 2013, and in this write-up, I want to discuss why. First, a quick background: SEBI introduced RIA regulations in 2013 to address the challenges investors face from conflicting advice – agents want to maximise commissions, while investors…
Having a seamless ecosystem for investing globally has made investing more interesting. It enables us to invest in themes that are highly promising but are not available through Indian mutual funds. We already know that, because of the cap by the RBI on Global investing through MFs, almost all the options for investing in international funds have been closed. The only way to invest globally is through the Liberalised Remittance Scheme (LRS), which permits resident…
First, some background. The entire NRI community is now aware of the high-interest-rate Foreign Currency Non-Resident deposit scheme enabled by the Reserve Bank of India. Many banks have raised interest rates on these deposits after the RBI decided to cover hedging costs for 3 to 5-year FCNR Bank accounts until September 30, 2026. Although a lot of details and clarification is awaited from RBI, I am writing this based on the circulated information. The key proposition is that you deposit X amount,…
Global diversification has moved from being a luxury to becoming an essential component of wealth creation. Indian investors today have multiple avenues to access international markets, helping them diversify across geographies, currencies, sectors, and some of the world’s most innovative companies. However, not all international investing routes are created equal. Each option differs in terms of regulation, taxation, operational ease, product availability, and investor responsibilities. Broadly, Indian residents can access global markets through three routes:…
India is in a tough spot. Investors are a worried lot, and that is reflected in a major decline in equity mutual fund inflows. India is facing challenges from multiple fronts. India’s story is primarily driven by the consumption story on the back of the demographic dividend. Major concerns are emerging: – Elevated crude prices leading to currency depreciation and increasing inflation pressure, threatening demand destruction – The number of net job creations has been…
War in the Middle East and possible investment implications The war has shaken the global economic equilibrium and threatens to cause stagflation, which means lower growth and higher inflation all across the world. With my limited understanding, I am sharing three possible scenarios and how these will have an impact on different asset classes: Scenario 1 (Best Case): Ceasefire announced shortly, and the initiation of talks to reach a solution. This scenario has a higher…
What is happening in the Middle East is a stark reminder that nothing in the world, even what is assumed to be the safest in the world, should get your significant portfolio allocation. UAE has been a high conviction bet for a lot of smart, affluent people, and for me. I still believe that it will rise again and be a great beneficiary of the changing world order. Despite this, I will not risk putting all my…