Day Trading Stocks & Futures

brokenbull

Well-Known Member
For my account I invest in Axis Long Term Equity Fund from last 5-6 years. Its performance is pretty good.For other accounts in the family I invest in Mirae Asset Taxsaver Fund and Birla Sunlife Tax relief 96 fund.You can see the performance of all 3 and then decide but their performance rank goes up/down every year so dont go on the rank.
I have never invested in any mutual funds so far. Got in to trading stocks when the covid collapse happned in 2020 March/april.
Just curious - Since you say you are in Axis Long term mutual fund last 5 years, Is the fund performance better than Benchmark Nifty index? ( say you bought NiftyBee or Bankbee instead of this mutual fund ) Iam sure some funds having large corpus with superior stock picking + regular trading of options sell put/covered call can beat the index ETF handsomely (not possible for retail invest as each stock futures contract quantity is large )
 
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I have never invested in any mutual funds so far. Got in to trading stocks when the covid collapse happned in 2020 March/april.
Just curious - Since you say you are in Axis Long term mutual fund last 5 years, Is the fund performance better than Benchmark Nifty index? ( say you bought NiftyBee or Bankbee instead of this mutual fund ) Iam sure some funds having large corpus with superior stock picking + regular trading of options sell put/covered call can beat the index ETF handsomely (not possible for retail invest as each stock futures contract quantity is large )
Different products are for different people. I have invested in ELSS fund to save tax.If the amount of Rs 1,50,000=00 invested saves tax and earns 12-14 % I am pretty happy investing in it.I have invested in different asset classes such as Gold( Sovereign Gold Bonds) , Fixed Income, Weath creating stocks, Index Mutual Fund and now started investing in Index ETFs like Nifty Bees and Bank Bees.......with bank interest of 6-6.5 % and inflation at 7-8 % 10-12 % return on large capital is fine for me.

Sensex/Nifty CAGR for 10 years comes to about 10-12 % and Axis Long Term Equity Fund CAGR over 5 and 10 years is 17.39 and 18.1 respectively which I consider as good return along with tax savings......there are other good equity Funds also in my portfolio such as ICICI Bluechip Fund, Axis Bluechip Fund, ICICI Value Discovery Fund, Mirae asset bluechip fund etc.

https://www.moneycontrol.com/mutual-funds/performance-tracker/returns/elss.html
 
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brokenbull

Well-Known Member
Different products are for different people. I have invested in ELSS fund to save tax.If the amount of Rs 1,50,000=00 invested saves tax and earns 12-14 % I am pretty happy investing in it.I have invested in different asset classes such as Gold( Sovereign Gold Bonds) , Fixed Income, Weath creating stocks, Index Mutual Fund and now started investing in Index ETFs like Nifty Bees and Bank Bees.......with bank interest of 6-6.5 % and inflation at 7-8 % 10-12 % return on large capital is fine for me.

Sensex/Nifty CAGR for 10 years comes to about 10-12 % and Axis Long Term Equity Fund CAGR over 5 and 10 years is 17.39 and 18.1 respectively which I consider as good return along with tax savings......there are other good equity Funds also in my portfolio such as ICICI Bluechip Fund, Axis Bluechip Fund, ICICI Value Discovery Fund, Mirae asset bluechip fund etc.

https://www.moneycontrol.com/mutual-funds/performance-tracker/returns/elss.html
Fantastic. !
Basically you invested for 80c ₹150000 exemption to reduce tax burden .
Added bonus your fund has indeed beaten the index performance handsomely + extra benefit by reducing tax burden.( compared to a 5 year Bank Tax FD for 80c exemption )
Me : back in India few years ago after a very long time away. Last tax year I invested ₹150000 in SCSS (senior citizen Savings scheme) for 80c benefits,
This year also FY2020-21 I may do the same SCSS for Rs 1.5 lakhs as well before March 2021.
Intraday gambling (short term trading) Iam using only 10% of my liquid cash net worth. Rest are in Senior citizen FD around 6-7% . yet to get a feel for the market to invest more. In real business where Iam in control , I take a big risk. But the markets operate in a smoke screen where Iam only a pawn & not in charge. so treading with caution.( but slightly bolder in Bankbees/Nifty bees Ticket size wise compared to indivual bluechip stocks)
 

brokenbull

Well-Known Member
Different products are for different people. I have invested in ELSS fund to save tax.If the amount of Rs 1,50,000=00 invested saves tax and earns 12-14 % I am pretty happy investing in it.I have invested in different asset classes such as Gold( Sovereign Gold Bonds) , Fixed Income, Weath creating stocks, Index Mutual Fund and now started investing in Index ETFs like Nifty Bees and Bank Bees.......with bank interest of 6-6.5 % and inflation at 7-8 % 10-12 % return on large capital is fine for me.

Sensex/Nifty CAGR for 10 years comes to about 10-12 % and Axis Long Term Equity Fund CAGR over 5 and 10 years is 17.39 and 18.1 respectively which I consider as good return along with tax savings......there are other good equity Funds also in my portfolio such as ICICI Bluechip Fund, Axis Bluechip Fund, ICICI Value Discovery Fund, Mirae asset bluechip fund etc.

https://www.moneycontrol.com/mutual-funds/performance-tracker/returns/elss.html
moneycontol dot com site link for ELSS funds (for 80c exemption for tax return ) is very useful . If some one wants to invest for 80c exemption ,compared to 5 year tax FD (non senior citizen) or SCSS for senior citizen this ready reckoner helps to decide.
Click on the aum arrow down/up you get the top 5 AUM players(axis is no 1) Funds with highest corpus are the safest . there is also CRISIL rank. but one can not go wrong with large aum players. safe if some shock comes in to system.
 

raju.vzm

Well-Known Member
Different products are for different people. I have invested in ELSS fund to save tax.If the amount of Rs 1,50,000=00 invested saves tax and earns 12-14 % I am pretty happy investing in it.I have invested in different asset classes such as Gold( Sovereign Gold Bonds) , Fixed Income, Weath creating stocks, Index Mutual Fund and now started investing in Index ETFs like Nifty Bees and Bank Bees.......with bank interest of 6-6.5 % and inflation at 7-8 % 10-12 % return on large capital is fine for me.

Sensex/Nifty CAGR for 10 years comes to about 10-12 % and Axis Long Term Equity Fund CAGR over 5 and 10 years is 17.39 and 18.1 respectively which I consider as good return along with tax savings......there are other good equity Funds also in my portfolio such as ICICI Bluechip Fund, Axis Bluechip Fund, ICICI Value Discovery Fund, Mirae asset bluechip fund etc.

https://www.moneycontrol.com/mutual-funds/performance-tracker/returns/elss.html
Hi ST sir,

Why most of the guys nowadays talking about index funds & Nifty Etfs. They are suggesting to invest in Nifty index funds rather than on large cap funds. One thing that favours this choice is less expense ratio of index funds.

But imo, as we are in uptrend market from the past 1 year, index funds returns are more than large cap funds. But in sideways market few nifty stocks will raise and rest of them usually stuck there. So I feel investing in large cap funds will give better result than investing in index funds in the long term point of view.

Please correct me if my assumption is wrong.

Sent from my Realme1 using Tapatalk
 
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Hi ST sir,

Why most of the guys nowadays talking about index funds & Nifty Etfs. They are suggesting to invest in Nifty index funds rather than on large cap funds. One thing that favours this choice is less expense ratio of index funds.

But imo, as we are in uptrend market from the past 1 year, index funds returns are more than large cap funds. But in sideways market few nifty stocks will raise and rest of them usually stuck there. So I feel investing in large cap funds will give better result than investing in index funds in the long term point of view.

Please correct me if my assumption is wrong.

Sent from my Realme1 using Tapatalk
In my experience good large cap fund will beat index fund returns in the long term.Index fund has advantage of low fund management charges,passive investing where as good large cap fund has higher fund management charges .As the stock markets mature, it becomes difficult for the large cap funds to beat index funds by large margin consistantly, so the investors who dont want to continuously monitor performance of their large cap funds, prefer to invest passively in an Index Fund.....but if the large cap fund has nifty constituent stocks which out perform the index, that fund will definately beat index fund.....but that is in theory. In practical situations many large cap funds have accumulated lots of dead stocks or Kachra on the way and that brings down the overall return of the fund.

But as we are in an uptrending market, for next 3 years I expect both Index funds and large cap funds to do well with periodic corrections of course.Best returns will come from a portfolio of wealth compounding stocks.

Smart_trade
 

travi

Well-Known Member
Hi ST sir,

Why most of the guys nowadays talking about index funds & Nifty Etfs. They are suggesting to invest in Nifty index funds rather than on large cap funds. One thing that favours this choice is less expense ratio of index funds.

But imo, as we are in uptrend market from the past 1 year, index funds returns are more than large cap funds. But in sideways market few nifty stocks will raise and rest of them usually stuck there. So I feel investing in large cap funds will give better result than investing in index funds in the long term point of view.

Please correct me if my assumption is wrong.

Sent from my Realme1 using Tapatalk
I would like to add that there is a 10% Cap on single weightage of stock holding in a managed MF( Eq MF in general ).

If you remember when RIL rallied from 1K to 2K in a few months, this kind of movement makes Index funds that are passive shiny.
But it is not going to happen all the time. The 10% specific rule is what really makes a big perf difference( esp in short-term ) in returns and that is what you can focus on if u want to split the two.

Otherwise if u see, top 10 NS stocks will hold around 60% weightage & top 20 is ~80%,
so in that sense both Index ETF( 50 stocks ) or LC MF is carrying a lot of deadweight but it doesnt really matter. Over a long period "I feel" returns wont be very different.( without any real backtest )
 

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