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What is Infrastructure Investment Trust (InvITs)?

An Infrastructure Investment Trust (InvITs) is like a mutual fund, which enables direct investment of small amounts of money from possible individual/institutional investors in infrastructure to earn a small portion of the income as a return.

InvITs work like mutual funds or real estate investment trusts (REITs) in features.

InvITs can be treated as the modified version of REITs designed to suit the specific circumstances of the infrastructure sector.

SEBI notified the Sebi (InvITS) Regulations, 2014 on September 26, 2014, providing for registration and regulation of InvITs in India.

The objective of InvITs is to facilitate investment in the infrastructure sector.

InvITS are like mutual funds in structure. InvITs can be established as a trust and registered with Sebi.

An InvIT consists of four elements: 
  1. Trustee
  2. Sponsor(s) 
  3. Investment Manager 
  4. Project Manager.

The trustee, who inspects the performance of an InvIT is certified by Sebi and he cannot be an associate of the sponsor or manager.

‘Sponsors’ are people who promote and refer to any organisation or a corporate entity with a capital of Rs 100 crore, which establishes the InvIT and is designated as such at the time of the application made to Sebi, and in case of PPP projects, base developer.

Promoters/sponsor(s), jointly, have to hold a minimum of 25 per cent for three years (at least) in the InvIT, excluding the situations where an administrative requirement or concession agreement needs the sponsor to hold some minimum per cent in the special purpose vehicle. In these cases, the total value of the sponsor holding in the primary special purpose vehicle and in the InvIT should not be less than 25 per cent of the value of units of InvIT on a post-issue basis.

The investment manager is an entity or limited liability partnership (LLP) or organisation that supervises assets and investments of the InvIT and guarantees activities of the InvIT. Project manager refers to the person who acts as the project manager and whose duty is to attain the execution of the project and in the case of PPP projects. It indicates that the entity is responsible for such execution and accomplishment of project landmark with respect to the agreement or other relevant project document.

Advantages of InvITs:

1. Diversification:

  • InvITs with multiple assets offer individuals an opportunity to diversify their investment portfolio.
  • Such a feature directly helps lower associated risks and further allows investors to generate steady returns in the long run.

2. Fixed income:

  • The option to redistribute risks and accrue a fixed income serves as a potent alternative for generating fixed income, especially for retirees.
  • Also, including such an investment tool would help those who intend to plan retirement effectively.

3. Liquidity:

  • Generally, it is easy to enter or exit from an infrastructure investment trust, which directly enhances their liquidity aspect.
  • However, small investors may find it challenging to sell a high-valued property quickly.

Disadvantages of InvITs?

1. Regulatory risk:

  • Even the slightest change in the regulatory framework like taxation or policies concerning the infrastructure sector would have a ripple effect on InvITs.

2. Inflation risk:

  • A high rate of inflation has a significant impact on the performance of infrastructure investment trusts.
  • For instance, inflation may increase the sector’s operating cost. Further, an increase in the toll rates would lower the prospect of generating substantial returns.

3. Asset risk:

  • Typically, investment in infrastructure has a long gestation period, and hence the process of generating returns is often delayed.
  • Such a delay not only takes a toll on the cash flow but further hampers profit projections.

What are Exchange Traded Funds?

Exchange-Traded Funds (ETFs) are a type of pooled investment funds which invest in diversified securities such as equities, bonds, commodities that track an underlying index. Most of them are registered with SEBI.

Watch our video to learn about ETF’s

Types of ETFs

There are various types of ETF available for Investors they are:

  1. Bond ETFs: These include government bonds, corporate bonds, and state and local bonds—called municipal bonds.
  2. Industry ETFs:  These ETFs track a particular industry such as banking, technology or the oil and gas sector.
  3. Commodity ETFs: These ETF’s invest in commodities including crude oil or gold.
  4. Currency ETFs:  You can invest in foreign currencies such as the Euro or Canadian dollar.

How ETFs work?

  • ETFs have common features of both shares and mutual funds.
  • They are generally traded in the stock market in the form of shares produced via creation blocks.
  • ETF funds are listed on all major stock exchanges and can be bought and sold as per requirement during the equity trading time.
  • The Price of the ETFs vary as per the asset classes in the ETFs, the price of the ETF would rise if the price of one asset class rises, and vice-versa.

Advantages of ETFs

Cost Efficient

  • The biggest advantage of investing in ETFs is their cost-efficient. The expense ratio of an ETF is usually less than 0.5% compared to 2-2.5% for actively managed equity funds. 

Liquid

  • ETF can be bought and sold at any time in the day (during market) it is more liquid compared to other investment products such as mutual funds or PPF. 

Transparent

  • As ETFs track an underlying index, you know beforehand which stocks it will hold and in what proportion.
  • For example, the SENSEX is composed of the 30 largest listed companies in India by market capitalisation.
  • An ETF tracking the Sensex will hold these exact companies and in the same weights as the Sensex. 

No involvement of Fund Manager –

  • Since an ETFs tracks an Index, it does not rely on active investment calls provided by a fund manager. Hence it is not affected by the errors that a fund manager might make. 

Disadvantage of ETFs

Requires Demat and Trading account

  • Unlike Mutual Funds, ETFs requires a Demat and Trading account and cannot be traded without them.

Trading costs –

  • If you invest small amounts frequently, there may be lower-cost alternatives investing directly with a fund company in a no-load fund

Tracking error

  • While ETFs generally track their underlying index fairly well, technical issues can create discrepancies

Settlement dates –

  • ETF sales are not settled for 2 days following a transaction; that means as the seller, your funds from an ETF sale aren’t technically available to reinvest for 2 days.

What is a Real Estate Investment Trust (REIT)?

  • A real estate investment trust (REIT) is a company that owns, operates, or finances income-generating real estate.
  • Similar to Mutual Funds REITs pool the capital of numerous investors.
  • This makes it possible for individual investors to earn dividends from real estate investments—without having to buy, manage, or finance any properties themselves.

How REIT works?

  • Most REITs operate along with a straightforward and easily understandable business model – By leasing space and collecting rent on its real estate, the company generates income which is then paid out to shareholders in the form of dividends
  • REITs must payout at least 90 % of their taxable income to shareholders—and most payout 100%. In turn, shareholders pay the income taxes on those dividends.
  • The Properties in a REIT portfolio may include apartment complexes, data centres, healthcare facilities, hotels, infrastructure etc.
  • In general, REITs specialize in a specific real estate sector.
  • However, diversified and speciality REITs may hold different types of properties in their portfolios, such as a REIT that consists of both office and retail properties. 
  • Many REITs are publicly traded on major securities exchanges, and investors can buy and sell them like stocks throughout the trading session.
  • These REITs typically trade under substantial volume and are considered very liquid instruments. 

Types of REITs

Majorly there are three types of REITs they are:

1. Equity REITs:

  • These structures generate money when owners lend spaces such as large residential townships, office spaces, shopping malls to tenants on lease.
  • The generated income is then divided among investors through dividends.

2. Mortgage REITs:

  • Under this structure, there is no concept of an owner.
  • This arrangement means the finances taken against debt to develop real estate projects.
  • Typically, mortgage REITs generate income through EMIs that are further distributed among investors through dividends.
  • Hybrid REITs. These REITs use the investment strategies of both equity and mortgage REITs.

Advantages of REITs: 

Investors can benefit from investing in REIT in these ways:

1. Dividend income:

  • As dividend is nowadays considered as the greatest passive income source, investors can benefit as REIT provide substantial dividend income and steady capital growth for the long term.

2. Transparency:

  • As REITs are regulated by SEBI they are transparent.

3. Liquidity:

  • Most REITs trade on public stock exchanges and hence are easy to sell and buy, which makes them liquid assets.

Limitations:

1. No tax-benefits:

  • When it comes to tax-savings, REITs are not of much help.
  • For instance, the dividends earned from REIT companies are subjected to taxation.

2. Risks:

  • One of the major risks associated with REITs is that it is susceptible to market-linked fluctuations.
  • Investors should always invest as per their risk appetite

3. Low growth:

  • Capital appreciation is quite low in the case of REITs.

John Bogle commonly referred to as “Jack” was born on May 8th 1929, he was an American investor, businessman and Philanthropist. He was the founder and chief executive of the famous American registered investment advisor – The Vanguard Group. Read the full blog to know about the 5 investments lessons from Jack Bogle

Jack was an avid investor and preached investments over speculations (trading), long term over the short term. He also created the first index funds.

Today let’s discuss the 5 investments given by him to his fellow investors and followers.

1. While investing keep emotions at bay:

  • He used to believe that “Impulse is your enemy” and no investor should allow emotions to come into the picture while investing. He quotes “Eliminate emotion from your investment program.
  • Have rational expectations for future returns and avoid changing those expectations in response to the ephemeral noise coming from Wall Street.”

2. Stick to your own investment Plan:

  • Bogle advised his investors that they need to “Stay the Course” even at the most challenging times. Changing your strategy at the last moment can be more devastating. 
  • “Wise investors won’t try to outsmart the market,” he says. “They’ll buy index funds for the long term, and they’ll diversify.”

3. Stay away from the experts: 

  • He believes if money managers can miss the signs of the 2008 financial crisis then, in that case, stays away from them.
  • His famous quote “How could so many highly skilled, highly paid securities analysts and researchers have failed to question the toxic-filled, leveraged balance sheets of Citigroup and other leading banks and investment banks?

4. Don’t overspend, keep the cost down: 

  • He says “In investing, you get what you don’t pay for. Costs matter. So intelligent investors will use low-cost index funds to build a diversified portfolio of stocks & bonds.
  • And, they will stay the course. And they won’t be foolish enough to think that they can consistently outsmart the market.

5. Own the entire stock market:

  • John Bogle was the leading proponent of structuring an investment portfolio, to mirror the performance of a market yardstick, like the S&P 500 stock index.
  • Though every retail investor won’t totally agree with all his investment lessons, when followed in the right manner can help them to create a huge wealth in the long term.
  • If you are looking for a long term investment option, you can invest in StockBasket, India’s first long term buy and hold investment platform.
  • We recommend you 4XTarget in 10 Years which on holding for at least 10 years can give your 4X returns.

Why 4X Target in 10 Years StockBasket?

Using “Buy right and hold tight” – John Bogle – Vanguard’s philosophy, investors can make up to 4 times returns if they invest now and hold tight for 10 years as it is crafted with companies that are strong brands with years of experience, efficient managements, wide network and lot of room for growth.

One must buy and forget this basket for 10 years as by then their portfolio is expected to multiply. At the end of 10 years, the value of this basket is expected to be around Rs. 600,000.

What if I would have invested as per him,

What if I would have not bought that thing and many such what-ifs,

We all have regrets in our life, but none have quite the emotional sting of financial regrets. Money is now considered as the new happiness, as with more money you can do more things.
At the same time, we can also say that losing or missing the opportunity to earn more can also be regarded as one of the biggest regrets of all time.

Financial regrets are like the ex that your friends and family warned you about, but you hardly paid any heed to their warnings, and then later after 5-10 years, you think about it and say why I did this or that.

Today we are going to discuss these financial regrets that people have all their lives:

1. Not buying a home at the right time

  • People always debate on whether it is good to buy a home to stay in a rented home. Sioukas says. “In a normal economy, if you don’t buy, you’re going to regret it.
  • When you look back at how much you’ve spent on rent or how much the home you passed up has appreciated, that’s when you’re going to feel the pain.”
  • In addition to lost money, there’s the intangible benefit of pride of ownership, and the relief of not having the looming fear of “What if the landlord raises the rent?” he says.
  • How to Prevent: Our point is to try to buy a home when you can balance the EMI in your salary. Buying a real estate can always be considered as a hedge at the time of inflation.

2. Taking a huge Education loan

  • Education cost is on the rise and parents cannot escape from this huge debt. If not planned well, this trap can make your life hell as at this stage you are also paying your home loan.
  • How to Prevent: Plan your Child’s education loan well in advance and try to create a huge corpus.

3. Barriers to investing

  • Many of us wait and think about what is the right time to invest money is it when you get your first job or after your marriage, they often regret this later when they feel that have invested very little and they could have invested more if they had planned it better.
  • How to Prevent: Warren Buffett got into the investing game early. He bought his first stock, shares of Cities Service for $38 apiece at age 11.
  • Following this popular Chinese saving “The best time to plant a tree was 20 years ago.
  • The second best time is now.” so don’t wait and invest as early as possible.

4. The Credit Card Debt

  • If you’ve got more than one credit card with outstanding balances, you may end up with big financial regrets. The credit card debt can so dangerous that it can soon destruct all your savings.
  • How to Prevent: Recalling a discussion with one of his woman friends, who came for his advice on what to do with the money she had.
  • Warren Buffett said, he asked her what she owes to her credit card. The interest rate the woman was paying on her credit card was around 18%, recalled Buffett.
  • “I don’t know how to make 18%. If I owe money with 18% interest, the first thing I would do with any money I have is to pay it (credit card due).
  • It’s gonna be way better than any investment idea I have got,” he said. To prevent the Credit Card Debt just avoid using them

5. Poor Investment Decisions

  • If you’re unsure of where to invest your money, whether it’s paying off your mortgage, putting it into savings or choosing some investment funds, do not go blindly into any investment decision if you don’t fully understand what you’re doing.
  • How to Prevent: Do some research on your own or consult a financial advisor.

In this article, we will discuss in detail about Digital India – StockBasket, and why every retail investor should think about investing in it.

The launch of Digital India Campaign by the Prime Minister on 15th July 2015 is to ensure that the government’s services are available to citizens electronically by improvising online infrastructure and by increasing Internet connectivity or digitally empowering the country in the field of science.

India will be a global player in the digital economy”  – Sundar Pichai, CEO, Alphabet & Google

  The objective of this campaign is to improve digital infrastructure, digital literacy and digitally delivering services.

After the launch, of this Campaign, the government of India has taken numerous steps to push the use of technology to connect and empower people in areas relating to health, education, labour and employment, commerce, etc. 

To implement these plans the government requires technology, research, and IT support, this is where the leading Indian IT companies come into play. 

Companies like TCS and Infosys are helping the government in implementing projects like e-governance, Tax E-filing, Passport services, setting healthcare platforms, financial inclusiveness and access, utilities and agricultural and livestock production. 

Leading Indian IT firms like Infosys, TCS, and L&T infotech, are diversifying their offerings and are coming up with technological developments in software, IoT and artificial intelligence

These companies would play a key role in making India a Digital Economy. Investors who also want to be a part of these top companies can invest in them through StockBasket.

What is StockBasket?

StockBasket as the name suggests is an expert-curated basket of stocks or portfolios. The baskets are curated after considering 60+ Intelligent Stock Rating Parameters and evaluating over 2 crore data points. StockBaskets are categorised as per an individual’s financial goals, long term themes, risk appetite and time horizon.

To be a part of India’s Digital growth story retails investors can Digital India StockBasket. A basket which comprises Stocks of those companies that benefited as India becomes a Digital Economy.

Why Digital India StockBasket?

The Modi Government from day one has evidently supported the Digital India Movement. This basket is crafted by including companies that going to benefit from Government’s push to make India a Digital India. These companies continue to generate superior long term returns for its shareholders on the basis of its timely, reliable and efficient delivery of IT solutions to large corporations across the world and helping them to innovate, drive down the cost and help them become leaders in their respective operations. Their sustainable business model offers sufficient growth opportunities for the long term shareholders.

How to start with StockBasket?

Investing in StockBasket is a very simple process all you need to follow is this 3 step process:

  1. Download the StockBasket app.
  2. Login with your existing Samco client ID and trading password.
  3. Go to the “Explore” page and select the basket as per your need, click on “Invest” to buy the basket.

You can start your wealth creation journey by investing in our Beginners Basket – Lite just for Rs. 3500.

In this article, we will discuss an in detail comparison of StockBasket vs Mutual Fund and would try to find out which is the better investment among them.

Economic theory says human beings are rational agents and their investment ideas are goal-oriented, evaluative, consistent and free from emotions.

However, in reality, the investment behaviour of investors can often be irrational and mostly emotion-based.

Retail investors often find it difficult to make money in direct equities. Their investment behaviour holds the clues, the two biggest mistakes that retail investors make is:

  1. They buy wrong stocks
  2. They don’t hold good stocks for the long-term.

Today we will compare StockBasket with Mutual funds, but before this, we will first identify the difference between investing in equity, Mutual fund and StockBasket, so basically Equity is an instrument for investments and Mutual Fund and StockBasket are mediums to invest.

So Retail investors  have 3 options to invest in Equities:

  1. Direct Equities
  2. Mutual Funds
  3. StockBaskets
So let’s discuss in detail about them

Direct Equities: A retail investor can buy the stocks of any listed company through his Demat and Trading account (Samco offers one), and he can directly buy and sell the stocks in direct equities. 

The advantage of direct investing is that the investors have full control over his investment and he can anytime buy or sell the stocks. It requires good fundamental and technical knowledge to identify good stocks that can give superior returns, many investors make select bad stocks and thereby end up with a loss.

Mutual Funds: Mutual Funds are a collection of stocks and bonds. Fund managers in an Asset Management Company (AMC) manage these funds . If it is an equity mutual fund, it will contain stocks, while debt mutual funds will contain government bonds and securities. Investors don’t have any control over their investment. A team of professionals manage your money and invests them in various funds. The returns generated by Mutual Funds are about 12-15%. Mutual funds are over diversified, which reduces the risk of your investment but it also reduces the return on investment.

StockBaskets: StockBasket is an expert-curated ready-made basket of stocks. Each basket may have 5 to 15 stocks. For investing in StockBasket a user must have a Samco trading and Demat account. We can categorise these baskets in StockBasket in various categories on the basis of:

  1. Financial goals
  2. Risk appetite
  3. Long term theme
  4. Time Horizon

For investing in StockBasket a user must have a Samco trading and Demat account. 

How investing is StockBasket is better than direct equity?

When we compare StockBasket with direct equities, the main difference is that when we invest via direct equity, we don’t follow  any weighting system or mechanism while investing in a single stock at a single point of time.

StockBasket actually correctly identifies the weights in which the investor should invest in these individual stocks so that the risk is reasonably diversified. StockBasket gives returns up to 15-17% p.a, which is more than any other investment option in India. 

How StockBasket is better than Mutual Funds?

To diversify the investment, equity mutual fund schemes invest in over 50 stocks. This hamper the potential returns. Whereas, the baskets that our experts curate for Stockbaskets have a range of 5 to 15 stocks giving the optimum level of diversification.

Mutual Funds as a statutory requirement cannot keep cash over a certain part of their investment forcing them to invest even when the time or opportunities are not right, whereas in StockBasket an investor needs to just invest the amount as per the basket and hold them for 5 years for the magic of compound to come into play and to earn superior returns on your investment.

 Also, a benefit that you get only with StockBasket is that the dividends you earn, which is a one of the best passive income options, StockBasket directly transfers them into your bank account.

Conclusion – StockBasket vs Mutual Fund: After comparing StockBasket with direct equity investing and Mutual funds. we can say that StockBasket is “The Better Investment” and if you invest in these top quality companies of StockBasket you can definitely grow your wealth in the long term.

StockBasket is Samco’s flagship investment platform, and is India’s first long-term buy and hold investment platform, it consists of expert-curated ready-made baskets of stocks.

We design these baskets for investors to achieve their financial goals.

Though we do not recommend you to sell your StockBasket. But, in some emergency, if you need to, you can follow these below simple steps to sell the StockBasket even if you haven’t submitted the POA.

Steps :

  1. Go to star.samco.in, login with your Samco account and trading password (in case if it is your first login your default password will be your PAN number).
  2. To place the release to sell request, click on StockBasket and select the Active Baskets option, you will see the Baskets and the list of stocks in them.
  3. Click on Release to Sell button. A pop-up will appear that will alert you to redirect to the CDSL website.

Step 4: Click on Continue to CDSL website. You will land on CDSL website where you will have to your enter your t-Pin and click on verify. It will then redirect you to the star.samco.in website.

Step 5: You will see that your request was successful, after half an hour you can sell your Basket from the StockBasket app.

Indians have always been investing in gold for a long time, but now the trend is changing, and it is witnessing a gradual shift to investing in financial assets, today lets compare StockBasket vs Gold to know which asset class can help you to create real wealth in the long term.

When comparing gold with the stock market, we need to consider many aspects. In both cases, investors invest heavily when the prices are low and hold them till the prices rise to their expected value.  There is always an Inverse relation between gold and stocks. It is observed that when the prices of gold go up, the stock markets fall and when the prices of stocks go up the prices of gold falls. The reason behind this can be that when the stock market is in loss gold is considered to be the Safe Haven in investing. 

Gold

Let’s discuss some of the advantages and disadvantages of investing in Gold:

Advantages:

  1. Liquidity: Gold has high liquidity as compared to other investment options, it can be easily  converted into cash
  2. Gold as a commodity: Gold is considered as the most favourite Commodity to buy for men and women in India it represents the wealth of an individual in India
  3. Gold as a hedge fund: Gold as historical performed well during inflation when people fear to invest in stocks and debt funds.
  4. Stable Investment option: Gold is not involved in any inflations and is a safe and stable investment. Hence, during inflations, gold offers a much more stable investment than other investments.

Disadvantages:

  1. Not a Passive investment: Gold cannot be considered as a passage in management as it does not gives you a regular income in the form of interest or dividends like Stocks and bonds.
  2. The Issue of price correction:  At the time of heavy fall the market people open rush to buy gold as a safe investment but as markets become stable and the gold price corrects itself, might lead to a big loss for the investor
  3. Storage problem: Buying gold storing and then storing it can be a big issue, also if you are planning to keep into locker you need to pay and extra yearly charge for it

StockBasket

StockBasket is India’s first buy and hold long-term investing platform, it operates under the Samco brand. It has a pool of expert-curated ready-made basket of stocks designed as per the investor’s financial goals like International Vacation, Retirement plans, or saving for one’s child education. Investors have to hold the basket for at least 5 years for wealth creation.

Let’s have a look at some of the Advantages and Disadvantages of StockBasket :

Advantages:

  1. High Returns on Investment: The average return on investment on StockBasket are very high. The CAGR of average StockBasket lies between 15-17% which has the potential to double your investments in just 5 Years
  2. High Inflation Beating Capacity:  As the Compounded annual growth return is very high it can easily beat the inflation and give you some staggering return on investment.
  3. Dividends: With StockBasket you get the benefit of dividends which are directly credited to your bank account.

Disadvantages:

  1. Dependent on Market forces: Like other investments in Stocks, StockBasket is also dependent on the market forces, but due to the selection of top companies in the basket, they usually have less impact of the market corrections on them.
  2. Penalty on Early Exit: StockBasket charges twice the exit fee if the investors sell his StockBasket before 5 years, this policy is purposely made to bring discipline in investors to stay invested for at least 5 years for long-term wealth creation

 Summary

StockBasket vs Gold: Although Gold is one of the safest investment for the investor it does not have the power to beat the inflation thereby giving low returns to the investor, wherein StockBaskets give optimum returns to the investors thereby helping them to start their wealth creation journey.  

Nowadays people expect that their investment option should help them in getting higher returns, save their tax and should also have low-risk of investing in them, keeping these factors in mind lets explore StockBasket vs Public Provident Fund in detail. PPF and StockBasket both qualify in this criteria but let’s see which is the best investment option among them.

Public Provident Fund

Public Provident Fund (PPF) is a savings-cum-tax saving investment instrument, it helps the investor to build a retirement corpus while saving on his annual taxes. It was introduced in India by National Savings Institute of the Ministry of Finance in 1968. PPF is considered to be the safest bet in the long-term. Now let’s have a look at the performance of PPF with respect to the below criteria’s:

Return on Investment

The interest rate on PPF is revised every quarter, the current rate for April 2020 quarter is 7.1%. The biggest advantage of PPF is it gives fixed returns over the period of time. The below table shows the interest rate (p.a) of PPF from 2015 to the current quarter. 

PPF rates

Though the interest rate is stable it does not have the capacity to beat the inflation rate.

Risk factor in PPF

Though PPF is a government-backed scheme, it is not a 100% risk-free investment instrument. PPF can be prone to default risk and re-investment risk. Default risk can happen in case of the government’s inability to pay the amount of money invested by investors, a reinvestment risk can occur when the rate of Interest offered on PPF does not remain the same after the tenure of 15 years for which the PPF was opened. 

Tax savings

PPF enjoys the EEE benefit (Exempt Exempt Exempt) i.e The Principal invested in PPF enjoys a tax deduction under Section 80C, up to a maximum of Rs 1.5 lakhs a year.

StockBasket

StockBasket is India’s first buy and hold long-term investing platform, it operates under the Samco brand. It has a pool of expert-curated ready-made basket of stocks designed as per the investor’s financial goals like International Vacation, Retirement plans, or saving for one’s child education. Investors have to hold the basket for at least 5 years for wealth creation.

Return on Investment:

The average return on investment in StockBasket is very high. The CAGR of average StockBasket lies between 15-17% which has the potential to double your investments in just 5 Years.

Risk factor in StockBasket:

Like other investments in Stocks, StockBasket is also dependent on the market forces and has the same risk, but due to expert-selected stocks of top companies in the basket, they usually have less impact of the market corrections on them.

Tax savings: The only benefit that you get by StockBasket is dividends are not taxed and they are directly credited to your bank account.

Summary

We can clearly say that though PPF’s are safe bets for investors, they have a low return on investment and because of which it has the moderate inflation-beating capacity, whereas in the case of StockBasket the investor the pleasure of high return on investment which thereby helps him to generate long term wealth creation.

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