- here is a small group of products that I am comfortable with: there are index funds (both open-ended funds and ETFs) and there is Quantum Mutual Fund. I like the Nifty and Nifty junior ETFs from Benchmark Mutual Fund, which are the lowest-cost index funds around.
- I would encourage customers to avoid the fund management products sold by insurance companies: Buy pure insurance products from insurance companies if you really need insurance, and avoid the bundling of fund management with insurance.
- In all cases, I would encourage the customer to avoid distributors, be very conscious about the grand total fees and expenses being inflicted on you, and pay as little as you possibly can to financial firms. Fund management is a rare field where paying more generally gives you lower quality products.
- Avoid all `New Fund Offerings' (NFOs); do not churn.
- Become a customer of the New Pension System, which is phenomenally low cost, when you get the opportunity. The NPS has no NFOs, no innovative product development, no distributors, just honest down-to-earth low cost fund management.
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