debt to equity
Yes shifting will attract short term capital gain tax. So we should not shift for minor corrections like 5% etc.I generally switch when market falls atleast 10%. again i dont switch fully from debt to equity. I switch 20 % of debt money to equity when market falls 10-15%. So u can set your own triggers. Simple example if ur SIP is 1000 then increase to 1200 when market falls 10-15%. Why because falling market may fall further. No body can predict. so keeping triggers can eliminate our emotions and avoiding frequent shifts from debt-equity-debt( which is never be a good concept)
Yes shifting will attract short term capital gain tax. So we should not shift for minor corrections like 5% etc.I generally switch when market falls atleast 10%. again i dont switch fully from debt to equity. I switch 20 % of debt money to equity when market falls 10-15%. So u can set your own triggers. Simple example if ur SIP is 1000 then increase to 1200 when market falls 10-15%. Why because falling market may fall further. No body can predict. so keeping triggers can eliminate our emotions and avoiding frequent shifts from debt-equity-debt( which is never be a good concept)