Portfolio Alert for the Week : Dec. 24, 2016 – Dec. 30, 2016

PORTFOLIO ALERT For the Week: Dec. 24, 2016 – Dec. 30, 2016 HERE’S HOW THE MARKETS DID LAST WEEK   Nifty Sensex USD-INR MCX Gold (10g) Brent Crude Close on December 30 8,185.80 26,626.46 68.08 27,596 $57.02 Weekly Change ↑2.50% ↑2.24% ↑0.44% ↑2.44% ↑4.05%   WHAT'S HOT - NEW IDEAS FOR YOUR MONEY FDs no more If you held only fixed deposits (FDs), you did not have a great year. Average FD rates for 1-3 years dropped from 7.4% to just 6.76% today. Interest rates are set to fall further with comfortable inflation and the need to boost economic growth. So be smart in 2017. Invest in debt mutual funds. They invest in papers such as bank bonds, corporate bonds, government papers and so on. These instruments carry higher interest rates, giving you better returns. On holding for more than 3 years, capital gains are taxed at 20% with indexation. This cuts down your tax outgo, a benefit not available with FDs. Invest in any fund from ICICI Pru Flexible Income Plan, HDFC Short Term Opportunities, Birla Sun Life Dynamic Bond, all of which have consistently delivered above-average returns, with a 3-year horizon. EXPERTS SPEAK FundsIndia Views: The equity lessons in 2016 The close of 2016 seems to be echoing the start of 2016, with the stock markets on a downward slide. Sandwiched between these two declining phases was a period of joy ride, especially for mid-cap and small-cap segments of the market. Having contended with several bolts from the blue, the stock markets closed 2016 on a flat note. The stock market and the performance of equity funds in 2016 serve to reinforce the gospels of equity investing. Read more STOCK RECOMMENDATIONS FOR THE UPCOMING WEEK Stock Buy / Sell CMP () Stop Loss () Target () Time Period DHFL 243.7 228 274 3 Months To view our open recommendations, please click here   YOUR PORTFOLIO(S) AT FUNDSINDIA   Want to build wealth? Talk to our expert advisors now!    HIGHLIGHTS OF THE WEEK Fixed income funds may turn boring in 2017; stay with largecap funds - The Economic Times Fixed income funds – especially ultra short term, short term, and corporate credit funds – witnessed large inflows in 2016. On the other hand, investors missed a part of the bond rally as they pulled out money from long bond funds through most of the year on expectations that the bond rally was getting over. Read more Fund managers place their bets on financial stocks for 2017 - Livemint Financial stocks seem to be fund managers’ favourites for 2017, as they place their bets on higher credit offtake after the recent strong inflow of funds on the back of demonetization, and attractive valuations. Auto, textiles, sanitaryware and chemicals also make it to stock pickers’ list of favourites for 2017. Read more Small Savings, big changes – The Hindu Business Line Post office small savings schemes saw big changes in 2016. Key among these was the change in the rate reset mechanism. Early in the year, the government made known its plan to align rates on these schemes with market-linked rates. Read more Tackling the inflation monster – Value Research Inflation will probably continue to remain high in the foreseeable future. What compound interest gives, inflation takes away. Put it another way- inflation is the effectively the reverse, it's like decompound interest. Investors have to find a way to tackle it. Read more FundsIndia explains: What to do if your AMC shuts shop – FundsIndia Marketplace Over the past decade, especially after many foreign players entered the Indian mutual fund space, there have been several instances of fund houses calling it quits and exiting their business by selling their business to other players. In such instances, as investors, the first question in your mind would be what’s going to happen to my money? Read more     Mutual fund investments are subject to market risks. Please read the scheme information and other related documents carefully before investing. Past performance is not indicative of future returns. Please consider your specific investment requirements before choosing a fund, or designing a portfolio that suits your needs. Investments in equity shares, debentures, etc., are not obligations of, or guaranteed by Wealth India Financial Service s Pvt. Ltd., and are subject to investment risks. Wealth India Financial Services Pvt. Ltd. (with ARN code 69583) makes no warranties or representations, express or implied, on products offered through the platform. It accepts no liability for any damages or losses, however caused, in connection with the use of, or on the reliance of its product or related services. Terms and conditions of the website are applicable.