Page 38 - Investment

Realty check

Insider trading: Employees will have to be more careful

Mutual Fund: Nimesh Shah

Uneven results of a rate cut

A sudden rise in crude oil prices, or a deeper slowdown in China or a recession in America could hurt

Don't get lured by exotic structures

Invest in such products only if a mutual fund or direct equity investment can't do the job

SBI launches loan resolution scheme

But use the extension of tenure option carefully, as it can be done only once

Service tax: Once in, never out

Even if entrepreneurs bill less than Rs 10 lakh after the first year, they will still have to pay tax

Participate in car recall to avoid claim rejection

Insurance can repudiate claims or make part payment if there's an accident

Don't buy MF schemes for bonus, dividends

Choose growth option that will help multiply money due to compounding

Case study

Neeraj is a manager (sales) in a real estate company. His wife, Ishita, is a homemaker

Readers' Corner: Taxation

There is no tax on making gifts

Boisar: An upcoming residential hub in Mumbai's outskirts

Boisar is currently governed by a gram panchayat, to soon be converted into a nagar palika (a municipality)

How to make gold monetisation scheme work

A lot of issues with the GDS had to do with incentives to a bank for this scheme

You can afford a yacht

Companies offer partial ownership and timeshare, beside other combinations

Address structural issues for infra boost

Govt's focus area is infra, which is underperforming. Incremental approaches haven't paid off so far

Use SIPs to enter long-term bond funds

Investors can hope to get double-digit returns over 12-18 months if interest rates fall 50-100 bps. There are options if this doesn't work out

Fine print in govt-promoted insurance schemes

Personal accident cover is good but life insurance plan isn't cheap and pension plan is rigid on withdrawals

A tax checklist for returning NRIs

Disclose foreign assets, redesignate NRO a/c and open a Resident Foreign Currency a/c to park forex earnings

Arbitrage funds can be a better alternative to FMPs

If an investor remains invested for more than a year, he doesn't have to pay tax. For the short term, an investor can go for dividend option

Retail investors should stay away from F&O

However, problem for savvy individuals, and on liquidity