Zerodha MF platform !

[Fundootrader]

Liquid MF will have higher return vs liquid bees. Bees has much higher fees + dividend tax( which may not be bad thing if you are in 30%). Also, no fractional units. Liquid Bees will also have transaction charges from broker ( maybe STT too but dont remember if its exempted). Anyway, its better than nothing if you have decent amount with broker.

myCams is pretty good and free for CAMS managed fund. We can also get consolidated reports every month for all MF and all Demats.
MF Utility might give access to all but i haven't tried it ... You can always use a portfolio manager ( like value research ) or your own excel for basic pnl monitoring.

I think people who use liquidbees or other instruments for margin - they don't buy and sell these instruments - so trading cost is minimal consideration factor

They use this to park money safely - to hedge large capital against broker collapse/misdeeds.

If return from liquid funds is significantly higher - say 2% then it makes sense for it as compared to liquid bees as platform/broker fees for liquid bees will be Rs. 20 versus 1% or 0.5% (Not sure of broker fees for liquid funds?) in case of MF platform

 

[bpr]

Ok found article dated 2011
LiquidBEES dividend is tax free. I think it still holds.

http://www.greenworldinvestor.com/2...ividendtaxationperformance-historynse-symbol/


Liquid Funds on the other hand are taxable.

This is a nice article which compares LiquidFunds vs Saving account.

http://fundsketch.com/liquid-fund-vs-savings-account-which-is-better/


So LiquidFunds they give 8 to 9 % return with tax.+ Fees zero (not sure)
LiquidBEES ETF gives 5 to 6 % without tax. + you have to pay fees STT etc... while buyings and selling.
You have to decide which is better for you.

 

[comm4300]

So LiquidFunds they give 8 to 9 % return with tax.+ Fees zero (not sure)
LiquidBEES ETF gives 5 to 6 % without tax. + you have to pay fees STT etc... while buyings and selling.
You have to decide which is better for you.

from a pledging and getting margin prespective, one has to decide:

1. If the capital indeed is for trading and not investing.
2. haircut that zerodha may provide for such debt funds. For now, zerodha considers liquidbees as good as cash and hence provides 90% margin. will the same rule apply to liquid funds purchased via mf.zerodha.com remains to be seen.

In my case, my entire trading capital is parked in liquidbees and margin is used for FnO trading.

for mid-long term investment, i park my money in liquid fund using direct method (online login and pwd received from Fund house itself) and time my entry into the EQ (or ELSS) funds using Switch option.

 

[bpr]

from a pledging and getting margin prespective, one has to decide:

1. If the capital indeed is for trading and not investing.
2. haircut that zerodha may provide for such debt funds. For now, zerodha considers liquidbees as good as cash and hence provides 90% margin. will the same rule apply to liquid funds purchased via mf.zerodha.com remains to be seen.

In my case, my entire trading capital is parked in liquidbees and margin is used for FnO trading.

for mid-long term investment, i park my money in liquid fund using direct method (online login and pwd received from Fund house itself) and time my entry into the EQ (or ELSS) funds using Switch option.

another point

Liquid funds might have advantage of long term tax with indextation if held for more than 3 yrs
where as Liquidbees won't

Again profit from Liquidfunds can be adjusted against any short term trading loss which may not work for Liquidbees.

 

[TracerBullet]

I think people who use liquidbees or other instruments for margin - they don't buy and sell these instruments - so trading cost is minimal consideration factor

They use this to park money safely - to hedge large capital against broker collapse/misdeeds.

yes, correct. transaction fees will impact only For short term.
Are you sure about the safety? I have heard a few times that bad brokers selloff holdings too. Maybe you mean to get refund from NSE ?

If return from liquid funds is significantly higher - say 2% then it makes sense for it as compared to liquid bees as platform/broker fees for liquid bees will be Rs. 20 versus 1% or 0.5% (Not sure of broker fees for liquid funds?) in case of MF platform

MF wont have Transaction charges. They have higher (annual) expense vs DIRECT but even so LiquidBees has much higher expense ( 0.1-0.2% vs 0.5% )

Ok found article dated 2011
LiquidBEES dividend is tax free. I think it still holds.

http://www.greenworldinvestor.com/2...ividendtaxationperformance-historynse-symbol/

Yes, dividend is tax free in hands of investor just like stocks. Its taxed at source. The tax rate is pretty high at 28%, so those under 10,20% brackets pay extra. In addition, if you hold normal liquid funds for 3+ years, then you can get indexation against inflation so tax rate would be much lower vs Bees.

Liquid Funds on the other hand are taxable.

This is a nice article which compares LiquidFunds vs Saving account.

http://fundsketch.com/liquid-fund-vs-savings-account-which-is-better/


So LiquidFunds they give 8 to 9 % return with tax.+ Fees zero (not sure)
LiquidBEES ETF gives 5 to 6 % without tax. + you have to pay fees STT etc... while buyings and selling.
You have to decide which is better for you.

The rate itself depends on current market rates . there was time when liquid gave lower too ( then bees will be even lower as bees is also a liquid fund )

Liquid Bees is option for every demat, Other MF is only for Zerodha + Zerodha demat. Both are better than nothing for large holdings for decent amount of time ... chalo