Equity & Advisory

What are Equity and Advisory?

Equity refers to the funds invested in the shares of various companies. The concerned fund manager diversifies the invested amount in purchasing shares of different companies from various sectors or with variable market capitalization to offer great returns. Equity funds are known to generate higher returns than debt-based funds or term deposits.

The risks involved are marginally high as it directly depends on the market conditions and volatility and hence our advisory serves as the best guidance you can get. Our PMS (Portfolio Management Services) will help you analyse our income, financial goals, financial obligations and your investment.

Types of Equity Funds

The several types of Equity Funds in India are –

Theme and Sectoral Funds

What are Theme and Sectoral Funds?
Theme and Sectoral funds are a type of equity funds that follow a specific investment theme such as emerging market theme or International stock theme and similar others. Investments can be made on a particular sector of the market such as pharmaceutical, telecommunication, IT or more. Since they focus on a specific theme or industry the risk involved is comparatively high.

What are the benefits of Theme and Sectoral Funds?
The benefits of investing in Theme and Sectoral Funds are –

High-profit potential
Tax benefits
Exposure to a particular theme or sector

Who should invest in Theme and Sectoral Funds?
Investors with surplus capital and higher risk tolerance can invest in Theme and Sectoral funds. The returns are expected to be high depending on the market and the performance of the sector or theme. Investors should have adequate knowledge and patience to generate profits from such Investments.

Contra Equity Fund

What is Contra Equity Fund?
Contra Equity Funds are known to possess the quality of investing against the current market trends and purchasing stocks that are currently having a poor performance. The fund manager dealing with Contra Equity Funds generally purchases stocks at a comparatively lower value than the long term expected value. Contra Equity Funds are long-term investments and the stocks need to be held on till the demand increases in the market.

What are the benefits of Contra Equity Fund?
The benefits of investing in Contra Equity Funds are –

Expert fund managers
Higher growth potential

Who should invest in a Contra Equity Fund?
Investors with adequate patience should invest in Contra Equity Funds as they are long-term investment options. The risks of such investments are considerably higher and hence the investor should possess the required risk appetite and tolerance.

Focused Equity Fund

What is a Focused Equity Fund?
Such types of equity fund investments consist of a smaller diversification in stocks. Focused Funds concentrate on a selected variety within a few actors instead of investing in a diverse mixture of different positions in equity. The primary goal of such funds is to generate maximum returns through investments made in high performing assets.

What are the benefits of a Focused Equity Fund?
The benefits of investing in Focused Equity Fund are –

Tax benefit
Higher return
Investment in selected securities
Researched investments
Nullifies Mutual Funds limitations

Who should invest in a Focused Equity Fund?
Veteran investors or investors with a high-risk appetite and tolerance can choose Focused Funds. The investor should have proper knowledge of the volatile market and should possess the patience required to let the companies or stocks to perform well.

Small-Cap Funds

What are Small-Cap Funds?
Small-cap Funds Investments that invest a major portion of their corpus in equity or equity-related financial instruments of small-cap organisations. As per SEBI (Securities and Exchange Board of India) small-cap investors need to invest 80% of their corpus in small-cap organisations. These investments hold high risk as these are completely dependent on market volatility.

What are the benefits of Small-Cap Funds?
The benefits of investing in Small-Cap Funds are –

Capital gain tax benefits
Yields higher returns
Long-term investments

Who should invest in Small-Cap Funds?
Invest in small-cap funds only if you have a higher risk appetite and tolerance. It is recommended that you dedicate a small part of your portfolio to small-cap to reap higher returns. Such investments are best if invested for a longer period and hence only invest if you have the patience.

Mid-Cap Funds

What are Mid-Cap Funds?
Mid-cap funds are investments made in equity or equity-related financial instruments of mid-cap organisations or companies. Although mid-cap funds offer higher returns than large cap-funds they have lower stability and high risk. Alternatively, they are much stable than small-cap funds but yield lesser returns.

What are the benefits of Mid-Cap Funds?
The benefits of investing in Mid-Cap Funds are –

Yields higher returns
Adds diversity to financial portfolio
Investments for 8-10 years
Dividend Distribution Tax (DDT) benefits
Capital Gain Tax benefits

Who should invest in Mid-Cap Funds?
Mid-cap funds are the best investment options for those with high-risk appetite and tolerance. With both advantages and disadvantages, Mid-cap Funds offer lucrative opportunities for wealth creation. Make sure you have the proper market knowledge and the will to do adequate market research before you make your investments. With a high-risk tolerance and competent fund manager, you can make the best use of Mid-cap Funds.

Large-Cap Funds

What are Large-Cap Funds?
Large-cap funds are investments made in equity and equity-related financial instruments of large-cap companies. Large-cap funds invest a larger portion of their capital in organisations or companies having large market capitalization. Such organisations have an excellent record of helping their investors generate wealth for over a long period and are highly reputed for this reason. They offer a steady compounding of wealth and generate regular dividends and have a lower risk than small-cap funds and mid-cap funds.

What are the benefits of Large-Cap Funds?
The benefits of investing in Large-Cap Funds are –

Low risk
Regular dividends
Steady compounding
Long term investments

Who should invest in Large-Cap Funds?
Investors with a low-risk appetite and tolerance can invest in Large-cap Funds. These investments have the capability of withstanding slowdown in the market while offering good capital appreciation. They study and have a lower amount of risk.

Multi-Cap Funds

What are Multi-Cap Funds?
Multi-Cap Funds are Investments made in equity and equity-related financial instruments of companies having varying market capitalizations. Multi-Cap Funds invest in Large-cap, Mid-cap as well as Small-cap funds. Varying capitalization offers a balanced risk and diversified portfolio. Multi-Cap Funds allow fund managers to leverage investment opportunities across the market.

What are the benefits of Large-Cap Funds?
The benefits of investing in Multi-Cap Funds are –

Expert fund managers
Portfolio diversification
Yields higher returns
Moderate risk
Tax benefits

Who should invest in Multi-Cap Funds?
Multi-Cap Funds are investments suited for those with moderate risk tolerance. Investors with the aim of creating wealth through long term Investments might find it preferable to invest in Multi-Cap Funds. With a diversified approach to investing these funds offer the best investment opportunities.

Large and Mid-Cap Funds

What are Large and Mid-Cap Funds?
Large and Mid-Cap Funds invest in equity or equity-related financial instruments of companies with large scale and mid-cap market capitalization respectively. They offer a diversified portfolio with a stable and moderate risk. These are open-ended equity schemes that make investments in the stocks of the companies with large and medium-sized capitalizations.

What are the benefits of Large and Mid-Cap Funds?
The benefits of investing in Large and Mid-Cap Funds are –

Tax benefits
Long-term investments
Balanced risk
Diversified portfolio

Who should invest in Large and Mid-Cap Funds?
Investors having patient and risk appetite and tolerance can invest in Large and Mid-Cap Funds. These investments have a longer investment option with a span of 3-4 years. These investments have steady to moderate risks and can be considered for wealth creation.

Non-Tax Saving Equity Fund

What are Non-Tax Saving Equity Funds?
Every equity investment apart from the Equity Linked Savings Scheme (ELSS) are known to be Non-Tax saving equity funds. These offer returns that are subjected to capital gains tax. They have a variable market capitalisation and a varying risk depending on the scheme chosen by the investor. Investors have a diversified portfolio. Besides, these funds have a high capital appreciation and long-term investment horizons.

What are the benefits of Non-Tax Saving Equity Funds?
The benefits of investing in Non-Tax Saving Equity Funds are –

Diversified portfolio
Balanced risk
Yields considerable corpus
Expert fund managers

Who should invest in Non-Tax Saving Equity Funds?
Investors with high-risk tolerance and appetite should invest in Non-Tax Saving Equity Funds. Also, the investor should have the adequate market knowledge and the capability to research the volatility of the market before making the investments.

Equity Linked Savings Scheme (ELSS)

What is the Equity Linked Savings Scheme (ELSS)?
Equity Linked Savings Scheme or ELSS funds are a type of equity fund that makes Investments into equity or equity-related financial instruments with a major portion of their corpus. These are known as Tax saving schemes offering tax exemption of up to Rs. 1,50,000 under Section 80C of the Income Tax Act. They have a lock-in period of 3 years and the corpus generated will be known as Long term capital gain.

What are the benefits of Equity Linked Savings Scheme (ELSS)?
The benefits of investing in Equity Linked Savings Scheme (ELSS) are –

Tax benefits
Minimum investment amount
No maximum tenure

Who should invest in Equity Linked Savings Scheme (ELSS)?
Investors seeking diversification in their portfolio with a minimum investment amount can consider Equity Linked Savings Scheme or ELSS is a significant investment option. These funds have no minimum tenure except a lock-in period of three years.

Passive Funds

What are Passive Funds?
Passive funds are types of schemes that keep track of the market index of a segment that determines the list of stocks the scheme can invest in. For such schemes fund managers hold no active participation in the selection of the stocks. These funds work on the principle of maximizing returns by minimising buying and selling. Passive funds have long-term investment horizons with minimal trading in the market. Investing in passive funds offers a diverse portfolio via indexing.

What are the benefits of Passive Funds?
The benefits of investing in Passive Funds are –

Long-term investments
Expert fund managers
Maximum returns

Who should invest in Passive Funds?
Investors wishing to bring in a diversifying portfolio, however, subjected to total market risk, can invest in passive funds. They are long term Investments and hence the investor should have the required patient.

Active Funds

What are Active Funds?
Funds managed actively by a fund manager resistant to be an Active Fund. The dedicated fund manager is given the authority to make all the decisions regarding the investment in the fund's capital and trading of stocks. The responsibility of the active fund managers is to brainstorm research and select profitable investments for the investor intending to execute a stock that is outperforming the specific index or benchmark.

What are the benefits of Active Funds?
The benefits of investing in Active Funds are –

Expert fund managers
Maximum returns

Who should invest in Active Funds?
Investors having the capability of bearing a higher expense ratio. A lot of research and studies are put together to make the investments profitable and hence the cost of such investments are high.

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Benefits of Equity and Advisory

Some of the benefits of equity are –

Tax Exemption under Section 80C
Lower Expense Ratio
Higher returns
Portfolio Diversification
Convenient
Liquidity
Flexibility

Some of the benefits of our advisory are –

Expert management
Systematic investment
Goal-based investment
Portfolio management

Invest In Equity Fund

Who should invest in Equity and Advisory?

Age – To start investing in equity in India, the investor is required to be at least above the age of 18. To trade in equity, a Demat account and PAN card is a must. However, you should have the required risk tolerance and finances. In case you just started your career you can look out for other safer investment options.

Career – Both businessmen and professionals can opt for equity investments. Income and risk tolerance plays a pivotal role. You are required to have the required time to keep a track on the market fluctuations and the required investment amount. Young professionals (who are just starting their career) are advised to opt for other safer options.

Citizenship – NRIs and PIOs can invest in equity in India (except some of the prohibited activities or sectors), under the Foreign Exchange Management Act. The transactions will take place through NRO savings account.

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How to start investing?

First and foremost assess the risk, your financial obligations and income before you decide to invest. Get in touch with our advisors to understand which share or equity will suit you the best. In case you do not have the risk tolerance or the time to keep a track of the market volatility, it is recommended that you invest in equity mutual funds to lower the risk.

To start your investments online, fill up the application form with all the necessary details such as your personal and income information, choose the share you want to purchase and initiate the payment online. Our advisors can help you if you have any doubts.

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Why choose us?

We help your money grow and your dreams too! At Money Assist, we introduce you to the most reliable and profitable financial tools that would support your financial situation and aim for higher. Right investment is our core vision and we cater to individuals from all financial strata and age groups ranging anywhere between 0 and 100.

We are a core team of 19 warriors (and counting...) to suffice the several financial needs one may have. Rendering proper customer service is our mission and we are committed to it. We stand among the leading investment platforms that not only serve as a quality financial advisor but also help in managing the portfolio, investment and savings.

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Equity & Advisory

Equity & Advisory

What are Equity and Advisory?

Types of Equity Funds

Benefits of Equity and Advisory

Who should invest in Equity and Advisory?

How to start investing?

Why choose us?

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Equity & Advisory

Equity & Advisory

What are Equity and Advisory?

Types of Equity Funds

Benefits of Equity and Advisory

Who should invest in Equity and Advisory?

How to start investing?

Why choose us?

About us

Useful Links

Useful Links

Useful Links

Most Popular on Money Assist

Mutul Funds Companies: