A presentation on key personal finance topics in India,

1. 1

2. 2
Table of Contents
 Side Pocketing
 Primer on Debt Funds
 RBI Policy (December’18)
 Alternative Investment Funds
 Better Choice-SWP or Dividend

3. Side pocketing is a process of segregating bad quality assets thus creating two different pockets and calculating separate NAV for each
pocket. These two NAVs would be sub sets of the original scheme wherein the NAV of good quality assets will behave like normal
actively managed fund.
Investors can redeem the portion of their investments present in good quality assets
however the portion in the illiquid or bad quality assets will be locked till the resolution
(settlement with issuer in full amount or in parts). This measure is practiced globally to
deal to illiquid instruments.
Visit the below mentioned links to know more about our work on this topic,
• What is Side Pocket? Can it help investors of funds stuck with illiquid assets?
https://www.rupeeiq.com/content/what-is-side-pocket-can-it-help-investors-of-funds-stuck-with-illiquid-assets/
• Axis Mutual Fund’s Devang Shah: Side pocketing is a win-win for both investors and AMCs.
https://www.rupeeiq.com/content/axis-mutual-funds-devang-shah-side-pocketing-is-a-win-win-for-both-investors-and-amcs/
Article Dates : 24th Nov and 17th Dec 2018 Resp.3
Side Pocketing
NAV of Bad
Quality Assets
NAV of Good
Quality Assets
Original
Scheme NAV

4. 4
Primer On Debt Funds
A debt fund or a fixed income fund is a fund that invests in interest bearing securities that generate regular or fixed income. When an
investor subscribes to a debt mutual fund scheme his money is further invested in such interest bearing securities of different maturity
periods. To understand a debt fund and to invest, knowing the underlying securities and dynamics of the asset class are important.
Debt funds have some key parameters that affect the fund performance, which are explained in our article ‘How to choose a debt
fund: A primer’.
https://www.rupeeiq.com/content/how-to-choose-a-debt-fund-a-primer/
A debt security provides regular cash flows to investors at pre-determined rates and intervals. The rates can be fixed or floating. There
are several types of securities available for investment. Get to know about them in our article ‘What are fixed income securities: A
primer’.
https://www.rupeeiq.com/content/what-are-fixed-income-securities-a-primer/
Article Dates : 12th Dec and 14th Dec 2018 Resp.

5. 5
RBI Policy (December’18)
Reserve Bank of India has kept the key policy rates unchanged while it continued with its earlier stance of “calibrated tightening”.
In its fifth bimonthly meeting of the six-member Monetary Policy Committee (MPC) held in 1st week of December, the decision of
which was announced on December 5, the committee has unanimously voted in favour of a pause in repo rate to keep it at 6.5%. The
repo rate is the rate at which the RBI lends to other banks in India.
We have explained what this policy means for your investments in our article ‘RBI keeps key rates unchanged; sets external
benchmark for loans’
Click on the link below and get to know about all of it.
https://www.rupeeiq.com/content/rbi-keeps-key-rates-unchanged-sets-external-benchmark-for-loans/
Article Date : 6th Dec 2018

6. 6
Alternative Investment Funds
Article Dates : 21st Nov and 22nd Nov 2018 Resp.
Alternative Investment Funds are privately pooled investment vehicles incorporated in the form of a trust/ company/ body corporate
or a LLP. AIFs cover Venture Capital funds, Infrastructure funds, Private Equity funds, Hedge funds, Debt Funds (Credit) etc.
AIFs are designed for sophisticated or savvy investors, Indian as well as foreign, whose risk appetite is considerably higher.
These are divided into 3 categories like Category I, Category II and Category III.
Our article ‘What are Alternative Investment Funds or AIFs?’ endeavors to provide overview of the AIF industry and magnitude of its
growth.
https://www.rupeeiq.com/content/what-are-alternative-investment-funds-or-aifs/
Industry experts believe that the size of AIF industry is likely to double over next two to three years supported by increasing number of
wealth investors, family offices and favourable policies by the regulators.
Among the three categories of AIF, category III seems to be receiving major preference from investors fuelled by the long – short funds
which are new to Indian markets. This growth has happened in mere span of 5 years.
‘The long and short of it: Category III AIFs getting boost from long-short funds’.
https://www.rupeeiq.com/content/aifs-in-india-category-iii-aifs-getting-boost-from-long-short-funds/

7. 7
Better Choice-SWP or Dividend
Article Date : 4th Dec 2018
There are two efficient ways of generating regular income from your investments. You can either invest in schemes that are offering
regular dividend or you can opt for regular withdrawals through Systematic Withdrawal Plan (SWP).
Dividends paid by mutual fund schemes are different from dividend paid by companies. Companies pay dividends through their
profits. Where as funds work on the principle of net asset value (NAV) which reflects the valuation of their holdings or the price of
asset(s) a fund may be tracking.
Systematic Withdrawal Plan (SWP) is a facility offered by mutual funds which offers investors with an ease to withdraw a pre-decided
amount of payout at a pre-determined intervals, like monthly, quarterly, half-yearly or annually.
In our article ‘How to get regular income from your investments using SWP or dividend’, we have compared SWP Vs dividend plans.
https://www.rupeeiq.com/content/how-to-get-regular-income-from-your-investments-using-swp-or-dividend/

8. 8
We want to fill the information gap and be a friend to every Indian in finding answers to all their personal
finance questions. We provide objective and unbiased information and content related to personal finance. We
produce this content with only one interest in mind – your interest.
Know more about our work at,
https://www.rupeeiq.com/
Thank You…