Wednesday, November 26, 2014

List Of Shariah Compliant Mutual Funds In India

What is mean of the Shariah-compliant mutual fund?
Islamic law is known as Shariah, and Shariah prohibits interest for Muslims. 
So according to Shariah Muslims also not buy Shares of companies which linked to alcohol, tobacco, gambling and casinos and financial institutions that earn interest. 
BSE launch first Indian Shariah index in may 2013. 
Near about 700-800 companies of the indian stock market are Shariah compliant. 
So today I give you a list of Shariah-compliant mutual funds in India. 
List of Indian Mutual funds and ETF which compliant shariah
There are 2 running mutual fund, one upcoming mutual fund, and 1 ETF in India which name include Shariah but it fact sheet show that this ETF not compliant to Shariah  
1. Goldman Sachs CNX Nifty Shariah Index Exchange Traded Scheme (ETF):- (Not Recommended): - if you read the fact sheet of Goldman Sachs, it clearly states the fund is not Sharia Compliant in Page 8 from the fact sheet: "Investors to note that GS Shariah BeES is not a Shariah compliant scheme."
The link of this .pdf file:
The fact sheet is available on the top right corner from following web page.
Source URI:
2.Tata Ethical Fund 
3.Taurus Ethical Fund 
4.SBI Shariah Equity Fund ( will be launch in December 2014 ) SBI Shariah Equity Fund will be launch from 1 December 2014.
SBI Shariah Equity Fund has got the approval of the All India Muslim Personal Law Board, All India Muslim Personal Law Board is an authority which oversees the observance of Muslim civil laws in India.
Compare Shariah Mutual Funds and ETF in India: - We recommended Tata Ethical Fund (D) among all of these shariah compliant ETF and mutual funds due to largest corpus size and good dividend history. 

Friday, November 21, 2014

How To Become Rich Through Mutual Funds

Mutual funds are very easy tools of wealth creation in a period of time If you adopt a disciplined approach in mutual fund investing then you easily become rich in 10-20 year.
   Today I told you a tested method of wealth creation through mutual funds In this method you require one simple thing ‘’ SAVE 5% OF YOUR EARNINGS ‘’ it mean if your salary is 10000 per month then save only 5% of 10000 (500 rupees)in mutual fund SIP and increase this amount if your salary is increase. 
For example you start a SIP from 500 rupees per month and after 1 year your salary is 12000 rupees then your 5% saving is of 12000 means 600. 
So now increase your monthly SIP amount from 500 to 600 rupees per month. I think saving only 5 % from income is a very easy task it means if you earn 100 rupee then save 5 rupee and spent 95 rupee in your lifestyle maintenance. 
Now I give you a detail illustration that Mr shiv some Sharma was start his job in July 1996 in sale tax department as a clerk and that time his salary was INR 2500 per month. he start save only 5% amount of his salary ( it is INR 125 per month) so he make a SIP in SBI magnum multiplier lius plan 1993 ( this is a real story which inspire me to write this article). 
Now in 2014 he is a accountant and get 31000 per month salary so his salary in increase@15% per annum. He continue save 5% of his salary and invest this amount in above mutual fund scheme (in last of this article I give you a excel file where I show a estimated illustration.). 
SBI magnum multiplier plus give 21.24% annualized return on SIP investment if we divided it from 12 then monthly growth rate is 1.77% Now total value of his holding in near 7 lacks . Since last 18 year of his saving whenever he need money he take it as a loan from his own bank ( Yes he say this is my saving is my bank which give me interest free loan) In September 2004 he want to buy a bike and his holding cost is near 50,000 in September 2004 he sell some of his mutual fund units and get 30,000 ( in 2004 market price of a good bike is 30,000) for his bike. 
Now he assume that he take a interest free loan from his own bank he divided it in 60 installments 30000/60=500 per month now he add additional 500 in his monthly SIP amount means 5 % of his salary + 500 bike loan repaying amount. When he repay his bike loan from his mutual fund saving in September 2009 he again get a loan of 150000 from his saving and buy a residential plot from this 150000 and as I told you earlier he divided this 150000 from 60 as his loan installment 150000/60=2500 per month and repay this 150000 in 60 installments of INR 2500. 
Now his fund value is near 7 lacks and he plan to buy a Maruti swift car from taking a loan of 7 lacks from his own bank of this saving. 
It is also interesting to knew that market value of his residential plot is increase from 150000 to 10,00,000 in last 5 year which he buy from his mutual fund saving.
Here is the link for download estimated investment of shiv som sharma.

Sunday, October 12, 2014


Greetings Sir, I am a follower of your tips and  I wanted  to invest in Parag Parikh Mutual fund , Kindly assist me sir. I am 27 years old and i am planning for my savings ie long term 10 years span. 
Ask by muffi 
1.Mr. Parag Parikh is setup a mutual fund scheme in Oct-10-2012 and within 2 year PPFAS Long Term Value Fund - Direct Plan (G) get AUM of 478.90 cr. This is great. 2.Actually Parag Parikh is a value investor and many of small investors already impressed with theory of Parag Parikh so when he launch a mutual fund scheme then investor happy to invest with his fund. 
3. PARAG PARIKH FINANCIAL ADVISORY SERVICES LIMITED launch only single scheme so this is an easy confusion less mutual fund scheme for small but long term investors. 
4. Parag Parikh Mutual fund performance would be benchmarked against the CNX 500. 
5. Currently, PARAG PARIKH FINANCIAL ADVISORY SERVICES LIMITED offers only the Growth Option in a single scheme name "PPFAS Long Term Value Fund - Direct Plan (G)" 
6. NAV of PPFAS Long Term Value Fund - Direct Plan (G) is 14.577 and scheme give 42.3% return in one year. 
7. ICICI direct still not provide investment option in parag parikh mutual fund scheme. 
8. Overall my view is positive for PPFAS Long Term Value Fund - Direct Plan (G)
9. I have no any unit of Parag Parikh Long Term Value Fund.

Monday, September 15, 2014

Top 3 ELSS Mutual Funds In India

These days I receive many e mails from my followers about best ELSS in India.
In our Union budget 2014 Tax Rebate on 80 G is Raise from 1 lak to 1.5 lak per year so this is best time to invest 40,000 to 60,000 Annually in ELSS for tax rebate or long term equity benefits.
So in this article I tell you top 3 ELSS funds in India.

In my theory make a 1000-1000 rupees per month SIP in each of these ELSS for a wide divercified ELSS portfolio.
If You Follow my method of ELSS investing then:-
  • Your investment is diversified in  3 largest Indian ELSS , because If you read my book then you may knew that I always recommended mutual fund  scheme with largest corpus size.
  • All of my mutual fund holdings are in Dividend fund because In ELSS there are a 3 year lock in period for units but you may enjoy dividends from first year.
  • So when you invest in all of these 3 top equity linked saving schemes in India and each fund declare dividend once a year then you may enjoy 3 dividends per year in your lock in period.
So here are the list of top 3 ELSS funds 2014-2015
1.SBI Magnum Tax Gain Scheme (D):- This is my all time favorite ELSS, Because this fund is still largest corpus size in ELSS group and wide dividend paying history since last 10 year this fund pay 2.70 to 15 rupee per unit dividend (per year) So I will make a INR 1000  per month SIP in this fund for tax gain and tax free dividends+long term capital gain. 
2.HDFC Tax Saver (D):-This fund is second largest corpus size in ELSS group and wide dividend paying history since last 18 year this fund pay 2.00 to 8 rupee per unit dividend (per year) So I will make a INR1000 to 2000 per month SIP in this fund for tax gain and tax free dividends+long term capital gain. 
3.ICICI Prudential Tax Plan (D):- Third largest AUM and since last 11 year pay 1.2 Rupee to 5 rupee dividend per unit per year.
Choose dividend reinvestment instead of dividend payout for reason read this article:-
Which is best in dividend payout and dividend reinvestment?

Wednesday, September 3, 2014

Real Estate Investment Trusts (REITs) In India

What is REIT ( Define REIT)

REIT means Real Estate Investment Trusts, these trust works like a company which invest directly in land, house property, commercial property and other real estate.
The REIT was designed to provide a real estate investment fund just like a mutual funds. 
How REIT Work:-REIT is  like a mutual fund which invest in property and REIT unit holder get benefits like a partner of landholder
Difference in Mutual funds and REIT 
REIT funds provide direct investment in property Mutual funds provide for investment in stocks. 
Benefits of REIT funds. 
REITs are just like of mutual funds they collect money from investors and invest this money in property. If anyone want to invest in property then he/she require a higher amount but he/she can enjoy same benefits by buying REIT units in just INR 10 only. 
(REITs) In India. 
In union budget of 2014 Indian Government decided to start REIT in India.
This will attract foreign investment in Indian real estate sector and give a chance to every middle class Indian family to invest in property field.  This is the reason that why I am so bullish on realty sector stocks read my sharegenius blog or fundamental Indian stocks website for more details
The Securities and Exchange Board of India (SEBI) approved the setting up of real estate investment trusts (REITs), 
Indian REITs will be allowed to invest only in commercial properties.
SEBI  also approved allowing infrastructure investment trusts IIT (infrastructure investment trusts) is a REIT-like structure that would allow developers to monetize their infrastructure assets through  stock exchange listing. 
Top REITs in India:- Real Estate Investment Trusts not start in India yet they only get SEBI approval and may start in November 2014 to January 2015

Thursday, July 24, 2014

Reliance Diversified Power Sector Fund - Retail Plan (D)

Best SIP for 2014-15 in long term view
1. Reliance Diversified Power Sector Fund has largest AUM in his peer infra and power sector funds, and if you read my book then you knew benefits of largest AUM fund. 
2.Top 5 holdings of Reliance Diversified Power Sector Fund - Retail Plan (D) are
EquitySectorValue (Rs cr)
KEC IntlEngineering & Capital Goods100.33
LarsenEngineering & Capital Goods98.91
PTC IndiaServices95.68
ICICI BankBanking & Financial Services79.53
CumminsEngineering & Capital Goods76.71
Tata PowerUtilities72.67
Crompton GreaveEngineering & Capital Goods70.85
ThermaxEngineering & Capital Goods70.45
Reliance PowerUtilities70.25
Sesa SterliteMetals & Mining66.61

3. This fund have a good dividend history, here are the past dividend history of Reliance Diversified Power Sector Fund
Record DateDividend (Rs/unit)

4. As I told in point 1 that Reliance Diversified Power Sector Fund manage 2018.62 Cr. 
5. Currant NAV of Reliance Diversified Power Sector Fund is 35.424 
6. If you want to download past NAV history of Reliance Diversified Power Sector Fund then visit this link for more details 
How To Download Past NAV History of Any Mutual Fund

Thursday, June 19, 2014

Smart Systematic Investment Approach In Mutual Funds

1. Stock market is traded on his all time highs and at this time new investor fear to make a new SIP in mutual fund.
2. Many of my friends & co-workers  ask me that " It is safe to make a new SIP in this time? As I always recommended that you must continue make fresh investments in smart stocks or mutual funds in any market condition ( In my book I already describe that how to choose a smart stock for long term or Indian investor may get help from my website ).
3. So in this line I also recommended to make a Smart SIP in any market situation So today I tell my blog readers that how to make a Smart SIP in mutual funds.( Read this article carefully it may change your financial life in long term)
4. For this purpose I Choose " HDFC TOP 200 (G) " as an Example fund to explain you my formula of smart SIP.
5. Suppose you we want to invest 5000 per month in this fund.
6. Ok first month invest whole 5000 in currant NAV .
7. Next month see value of your holding suppose market is up and your portfolio value is 5463 in next month so you are in profit of 463
8. Calculate your profits in percentage term, It is 9.26 %
9. Reduce new month investment amount as per this percentage , so in second month your investment amount is 5000-463 (9.26% of 5000)=4537
10. Next month again see your profit /loss percentage, If you are in loss then increase your investment amount 5000 to 5000+ (net loss percentage of 5000). suppose your portfolio is in 3.5% loss then your fresh investment amount is 5000+ 3.5% of 5000= 5000+175=5175 and If you are in profit then decrease your fresh investment amount 5000 to 5000- (net profit percentage of 5000). suppose your portfolio is in 4.5% profit then your fresh investment amount is 5000- 4.5% of 5000= 5000-225=4775
11. This formula is automatic reduce your SIP amount when market is up and automatic increase your SIP amount when market is down.
12. So this Smart SIP is beaten down any classical SIP where SIP amount is always constant in any market condition.
13. OK at last i tell you reply of one interesting question , when I tell this formula in one investor meeting then a investor ask me what happen if we are in 100 % profit? Will we close this smart SIP after 100 % profit? because as per this formula after 100% profit fresh investment amount is 0.
In reply of this question I tell " please do not forget our formula of profit booking in a mutual fund SIP, Run both formula on your investments and Partially book profits in your SIP when your profit is up to 11 %". 
If you not read my book or my earlier article about mutual fund profit booking then read it here

Sunday, May 4, 2014

Birla Sun Life Infrastructure Fund @NAV 12.030

1.Birla Sun Life Infrastructure Fund is rated no# 1 infrastructure fund by Crisil. 
2.In my view under-performance of infrastructure sector provide us a opportunity to get multiple returns when infra sector is start performing again. 
3.India is still a developing country so no one ignore infrastructure companies performance in coming 5 years. 
4.Currant NAV of Birla Sun Life Infrastructure Fund Dividend plan is 12.030. 
5.I prefer a 1000 rupee per month SIP for 60 months in Birla Sun Life Infrastructure Fund Dividend plan because i always like dividend option in mutual fund because if a fund pay dividend then Dividends is give us our partial tax free profit booking. 
6.In my view in a new central government we enjoy infrastructure sector bull run and get tax free Dividends on our holding in this Crisil rank#1 infra mutual fund. 
7.I am hold INFRABEES in my personals holding.

Saturday, April 19, 2014

How to make a full time passive income with help of mutual fund?

Today I tell you something exited about mutual fund.
I always Like Dividend option in mutual fund if you read my book then you already knew about my logic's for a Dividend paying mutual fund. 
So now i tell you a great idea which teach you that " How to make a full time passive income with help of mutual fund?"
 Most of my Friend like Growth option in mutual fund but they are wrong because if Market down NAV of all mutual funds also down with market so all of your profit go away if you are invested in a growth mutual fund or you are choose a dividend reinvestment option in dividend mutual fund. 
So i always advice to book profit in a growth mutual fund with help of my formula of profit booking in mutual funds. New readers first read this formula here 
Now I tell you power of a regular dividend paying mutual fund. 
Suppose we start a 1000 Rupee per month SIP in HDFC TOP 200 FUND ( DIVIDEND ) in January 1999 so as per this dividend history of HDFC top 200 dividend option, since Jan 1999 to April 2014 We get these dividends in this fund
Record DateDividend (Rs/unit)

In these 184 months of 1000 rupee per month SIP  our total investment amount is INR 184000 and we get total INR 411516 tax free dividends in these 15 years.
Apart from dividends value at NAV of our holding investment is 451375 . 
I give you a excel sheet of this calculation download it , and after reading this excel sheet you see that in last 5 years we invest only 12000 in a year and get near 40000 per year as tax free dividends so we get near INR 2350 per month as a passive income
Click here to Download detail excel sheet of this research 

My Dis-closer:- My wife hold and continue a SIP of 1000 per month in HDFC top 200 mutual fund dividend option.

Sunday, March 16, 2014


1. Goldman Sachs launches CENTRAL PUBLIC SECTOR ENTERPRISES ETF ( CPSE ETF ) at 18 March 2014 and NFO closes at 21 March 2014. 
2. Goldman Sachs central public sector enterprises ETF ( CPSE ETF ) is based on CPSE index which contains India largest 10 public sector companies. 
3. Before we continue here are the detail constitution of CPSE index 
ONGC 26.72% 
GAIL 18.48% 
Coal india 17.75% 
Reral electrification corporation ltd 7.16% 
Oil india ltd 7.04 % 
Indian oil corporation ltd 6.82 % 
Power finance corporation ltd 6.49% 
Container corporation of india ltd 6.40% 
Bharat electronics ltd 2%
 Engeniers india ltd 1.13% 
4. Government plan to rise 3000 crore from this ETF this is a new style of disinvestment because in currant scenario of Indian political corruption no one like to buy a stake in public sector companies. 
5. For attracting funds govt declare 5 % flat discount for all investors it means unit allocated you at discount of 5% from reference market price of underlying CPSE index. 
6. Other new concept is loyalty bonus which is a new concept for Indian markets in loyalty bonus if you hold this ETF units from allocation date to one year then government may give 1 extra loyalty bonus unit for every 15 units held. 
7. Currant dividend yeild for CPSE indiex is near 3.77% 
8. So if we invest in this ETF we get 5 % immidiate discount 3.77 % dividend yeild 6.67 % loyalty bonus That’s great because generally I do not sell stocks below 1 year so if we hold it and sell after getting loyalty bonus of 6.67% then we may get income tax free return ( capital gain tax after one year holding is nil ) 
9. Generally I do not like public sector companies but my view is positive for this CPSE ETF because it may be diversified my portfolio in navaratna nad miniratna govt companies because my currant holding in govt companies is nil and if any nationalist party win this election and if our economy feel good after a new nationalist govt then returns in this fund are unbelievable.

Monday, March 3, 2014


It is very hard for a small investor to locate authenticate NAV and NAV history of a mutual fund
Per day i got many e mails of my blog reader and they ask me sir what is currant NAV of Reliance infra sector fund? because many investor put most of his money blindly in this fund. 
When Reliance infra fund IPO is come then every analyst say Infra sector is a golden sector for India and it will multiplier your capital like a magic.
Ok, for help of those investor and other blog readers who want to locate their fund NAV and NAV history i give you direct link of AMFI website where you see and download NAV of your funds. 
Please note that Reliance Infrastructure Fund has been merger with Reliance Diversified Power Sector Fund effective from September 7 2013 so search Reliance Diversified Power Sector Fund NAV instead of Reliance Infrastructure Fund

Sunday, January 26, 2014

How to Invest in European Markets with Indian Mutual Funds?

1. These day 2 New mutual fund NFO in launch in indian market which invest in european stock markets. 
2. Actually these 2 funds are fund of funds means they not invest directly in european markets they invest in european mutual funds. 
3. these 2 new NFO are Religare Invesco Pan European Equity Fund and JPMorgan Europe Dynamic Equity Offshore Fund 
4.Religare Invesco Pan European Equity Fund is an Open-ended fund of fund scheme. 
5. This fund will investing in Invesco Pan European Equity Fund (Underlying Fund) which is a Luxembourg domiciled fund, which invests primarily in equity securities of European companies . Invesco Pan European Equity Fund  launched in 1991 with assets under management of EUR 2.23bn (USD 3.03nm, INR 18,922 crores) 
 6.JP Morgan Europe Dynamic Equity Offshore Fund is also a fund of fund which invest in JP Morgan Europe Dynamic Fund 
 7. In my view i like Religare Invesco Pan European Equity Fund instead of JP Morgan Europe Dynamic Equity Offshore Fund because i already tell in point 5 that Invesco Pan European Equity Fund (Underlying Fund) is a Luxembourg domiciled fund, which invests primarily in equity securities of European companies with assets under management of EUR 2.23bn (USD 3.03nm, INR 18,922 crores) 
So due to this good track record i like this fund over JP morgan. 
8. But i did not advice you to invest directly in NFO ( New fund offer) because as my past experience say mutual fund NAV down after new NFO in 90-98% NFO So we will start a SIP in this fund if fund NAV is down below 9 after his listing. 
 9. Those who not belive me or my new readers please read this article to knew that how i recommended Birla Sun Life International Equity Fund - Plan A (G) at NAV of 8.51 and book 46.23 % profit in 3 year of SIP 
10. So please wait once NAV is down below 9 then i republish a fresh article and also start a SIP with you but please note that it is not sure that NAV down below 9 it is just my guess and past experiance in mutual fund NFO,s you may also read this past story where i recommended reliance infrastructure fund at NAV of 8.81 
( For knew latest NAV of Reliance infrastructure mutual fund you may remember that Reliance Infrastructure Fund has been merger with Reliance Diversified Power Sector Fund effective from September 7, 2013.)

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