a charge added on to the price of a mutual fund when you buy it.
securities and exchange board of india established under securities and exchange board of india act, 1992.
schemes of mutual funds that invest predominantly in a particular industry or sector of the economy such as information technology, pharmaceuticals, fast moving consumer goods etc. these funds tend to be more volatile than funds holding a diversified portfolio of securities across many industries, but may offer greater potential returns. these funds should be considered only if one has a relatively higher risk appetite.
the holdings of a mutual fund, such as stocks or bonds. stocks are securities representing ownership shares. bonds are securities representing a contractual debt obligation of the issuer to repay the holder, with interest.
the owner of shares of stock or shares of a mutual fund.
units of ownership in a corporation or a mutual fund. in a mutual fund, the value of each unit is calculated by dividing net assets by the number of shares.
statistical measure of a portfolio's historic "risk-adjusted" performance. calculated by dividing a fund's excess return by the standard deviation of those returns. this is a measure of return of a portfolio given the risk taken by it. the higher the ratio, the better the portfolio.
s & p 500 stocks (standard & poor, composite index of 500 stocks)
market value-weighted index that measures stock market price movements, based on the aggregate performance of 500 widely held common stocks.
this is a measure of deviation or historic volatility of a portfolio. it measures the dispersion of a fund's periodic returns from its mean value. the wider the dispersion, the higher the standard deviation and thus higher the risk. lower standard deviation is therefore preferred.
stocks represent a part equity ownership of a corporation. when someone holds stocks of a certain company, it means that he/she owns shares of that company and therefore becomes a part owner of that company in proportion to his/her holding. these securities generally have the most potential for capital appreciation, but their rights are subordinated in the event of a company liquidation or bankruptcy.
it is the transfer of one's investment from one scheme to another.
systematic investment plan (sip)
a systematic investment plan allows an investor to buy units of a mutual fund scheme on a regular basis by means of periodic investments into that scheme in a manner similar to instalments paid on purchase of normal goods. the investor is allotted units on a predetermined date specified in the offer document of the scheme. here the plan allows the investor to take advantage of the rupee cost averaging methodology.
Systematic encashment/Withdrawal plan (SEP/SWP)
a systematic encashment / withdrawal plan permits the investor to receive a pre-determined amount / units from his investment in a mutual fund scheme on a periodic basis. retirees in need of a regular income often opt for this.
systematic transfer pan (stp)
an stp allows the investor to transfer a pre-determined amount from his investment in a mutual fund scheme to another mutual fund scheme (of the same company) on a periodic basis. this plan is generally used to transfer sums from a money market / liquid / cash scheme to another scheme.
securities transaction tax (STT)
tax levied on your equity mutual fund investment, equity shares and derivatives.