Category: Finance

What is SIP?

Systematic investment plan aka SIP is the word of the hour and there are few methods which outweighs its return fetching capability coupled with its risk management. India being a developing country is a very conservative side when it comes to investment in mutual fund. However with the electronic media flourishing in the country, the traditional investment of gold, property or fixed deposits are slowly diminishing. Direct investment in stock market requires immense knowledge and time to watch out for profitable opportunities. However, that is not the case with SIP, as a fixed amount of investment at regular intervals let you work and sleep stress free. Is it why SIP is the latest trend in the market, let us check out few other important reasons for it.If you are still wondering what is SIP and how it can help you? Click here to read more.

1. Demonetization. Like SIP, demonetization is also a word in everyone’s mouth. In order to curb the black money, the government took necessary steps to curb cash transactions and made banking a mandate. This initiative broke the backbone of liquidity and thereby had a major impact on real estate industry. As a result the conservative crowd came forward to explore the investment avenues, paving way for SIP to takeover in the minds of investors. This was because higher returns along with tailor-made investment options (lump sum, daily, monthly etc.), tax benefits and tax-free returns made SIP a very attractive option.

2. Lack of credible options. Traditional investment options such as gold, property or Fds, took a hit at different point of time in every year. Tier 2 cities favorite investment option gold, took a hit with the government regulations stating limits on maximum gold holdings. Fixed deposit, another fan favorite lost its glaze with repeated downfall of repo rates making them below par in terms of return compared to inflation. Demonetization coupled with higher interest rate and heavy down payment made real estate very unattractive option. Due to all these investors were left searching for better, secure and profitable investment avenues. With SIP investors not only got the benefit of secured returns, it also gave investor the option to indirectly invest in gold or real estate with real estate or commodity mutual funds.

3. Timing free investment. Take any investments, each of them needs certain study, and planning in order to time the investment. Investors await for recessionary trend in order in to invest in real estate or commodity market. Inversely some investors invest for exercising tax saving options and buying such instruments at March ending when the whole market is inflated. In SIP, the right time to invest is today. One of the most important feature of SIP is the rupee cost averaging which helps in buying more MF units when the NAV is low and vice versa. This results into averaging the purchase cost and substantially reduce the average per unit cost. No timing or awaiting or last minute rush to save tax, just a simple and much more effective way to earn profits and build wealth.

4. Diversification. The benefits of many into one, is the main feature of SIP. Different instruments have their own plus and minuses therefore scattering the investment in order to safeguard the portfolio. SIP gives investors option of diversification right from the first instance. Mutual fund pools together funds of all investor and invest in different sectors of the economy. In this case if any one sector fails to deliver other one covers its loss and provide with principle protection. In other investment options, due to higher cost of investment, investors are left with little to explore any other avenues. SIPs give diversification with as little as Rs. 100 investment which helps you create a better portfolio and wealth.

5. Tax benefit with power of compounding. This is very important factor why SIP has been the most preferred destination of investors. Government encourages investment in SIPs by providing double benefit. Firstly by way allowable deduction while calculating income tax payable and secondly giving complete tax reliefs on dividend and principle repayment. Tax benefit is the most essential ingredient when it comes to investment and add to that the power of compounding, you get unbeatable combination. Power of compounding is seen when the investment remains invested for a longer period which eventually creates wealth. As a result of this investment of an amount as little as Rs. 100 every month creates huge corpus. Not many investment opportunities give you options like this, which makes SIP an ideal investment option.

SIP makes an all-round investment option for investors which even the government promotes. India being on the course to become an economic powerhouse, there will be no stopping the SIP juggernaut. The above factors for choosing SIP will keep on rising and make other avenues futile to achieve. The shift to SIP has not been a sudden phenomenon, but a gradual rise, which was result of sustainable growth of mutual fund irrespective of ups and downs of Indian market. The returns in SIP may not be guaranteed, but it is a more sensible option to achieve any financial objective.

There are different mortgage options available if you wish to acquire a house. By choosing the right home loan, you can finally make your dream home purchase a reality. But what if you already have a house you acquired through a reverse mortgage houston tx? Can you sell your home or not?

A Reverse Mortgage is called like so since this is a type of home loan wherein the lender pays the homeowner. With a reverse mortgage houston tx, people in their retirement years can borrow money against their property’s value. It won’t require prepayment until the homeowner passed away or when the house is sold. The best thing about this mortgage type is that you get to stay in your house as long as you maintain your home and pays your property taxes and insurance.

But how can you sell your house with a reverse mortgage houston tx? Here’s how.

Know How Much You Owe

The first thing on your list is to check what you owe. When it comes to a Reverse Mortgage, the amount you owe is the amount you received to-date. It’s best to reach out to your mortgage lender and ask them your balanced owed.

Compare The Value Of The House With Your Debt

This is how you can check if you can sell your house with a reverse mortgage or not. Check how much you and the value of your home. If what you owe and your home’s value is almost the same, then selling might not be the best idea. Otherwise, it can make sense of selling your house.

Check Your Mortgage Documents

Knowing if you need to tender any early payoff fees and how much interest rate your lender is charging you is essential as it can help you plan your home sale better.

Ask Your Lender For A Payoff Statement

You will need to check how much the payoff fees you need to settle, so you close your mortgage. Contact your lender they should be able to email you a payoff statement.

Decide Whether Or Not To Hire A Real Estate Agent

Hiring a real estate agent can help you sell your home faster and at a better price. However, many sellers choose to skip the hiring a real estate agent to save money by listing your home yourself.

List Your Home For Sale

Listing your home also requires advertisement and handling all inquiries of potential homebuyers. If you don’t have the time or wants as little interaction with homebuyers as possible, then you’re better of hiring a real estate agent.

Hire A Lawyer

Not all states require you to have a lawyer present during the home purchase transaction. However, having a lawyer is the best way to ensure the transaction goes smoothly and that all parties understand the clauses of the sale.

Good Read: Should I Hire a Lawyer to Help Sell My Home?

Sell Your House

After successfully selling your home, you receive all remaining funds after your lender receives their payment.

More homes with a reverse mortgage are getting sold these days. Follow these tips, and you’ll be able to sell your house the right way. 

Personal loans are one of the most popular loans thanks to its easy availability.The quick processing of a personal loan is also why many people find it simpler. A personal loan is an unsecured loan where you don’t need any collateral or security against the loan. However, the lender has to deal with an increased risk factor because of that. Therefore, they use the online personal loan calculator to calculate your interest on personal loans. To know more about the personal loan calculator, click here.

How Does a Personal Loan Calculator Work?

Easy Monthly Installment or EMI needs to be paid by you whenever you take a personal loan. Lenders use the personal loan calculator to calculate the EMI and interest rate you need to pay. In order to do that, they provide these three details on the personal loan calculator – Principal Loan Amount, which is the amount of borrowed money, Loan Tenure, which is the time period for which the loan is sanctioned, and Interest Rate, which is the rate of interest levied on the principal loan amount.

Once lenders put these three parameters on the personal loan calculator, it shows the EMI amount that needs to be paid each month by you. Here is the formula through which lenders calculate the EMI:

Personal Loan EMI = [P* R* (1+R)^N]/ [(1+R)^N-1]

Here,

P = Principal Loan amount

R = Monthly interest rate charged on the principal

N = Number of instalments to be paid each month

EMI is inversely proportional to the loan tenure. Therefore, the EMI will decrease when you pay the loan amount over a longer period of time, even though the interest amount will increase for the same.

Advantages of using a Personal Loan Calculator:

There are three main advantages of using a personal loan calculator. They are as follows:

Less Time-consuming: The personal loan calculator can calculate the EMIs you need to pay in almost no time. All you need to is enter the details and the personal loan calculator will do the rest. In addition to that, you can do several calculations in a matter of minutes with the help of the personal loan calculator.

Accurate Calculations: Calculating EMIs can be a daunting task if you do it manually. A mistake will lead to incorrect information. This, in turn, can lead to various financial troubles. On the other hand, if you use a personal loan calculator, it will not only save your time but also help you stay on track with your loan repayment by giving you an accurate EMI amount.

Budget Planner: If you want to take a personal loan, planning your budget is one of the key factors. It will make sure your monthly expenses are well-maintained. The personal loan calculator will help you with that. You can check the details regarding your loans instantaneously. This, in turn, will help you plan your budget in a more organized way.

What is Reliance Mutual Fund

Incorporated in 1995, Reliance Mutual Fund is among the fastest growing mutual funds in India. The mutual fund is present in more than 160 cities in the country. It deals mainly in 5 main fund classes – Debt Funds, Equity Funds, Gold Funds, Liquid Funds, and Retirement Funds. There are over 200 schemes available under Reliance mutual fund. In addition to that, investors can choose from more than 800 scheme options.

Reliance Mutual Fund offers products that are innovative meeting the need of the investors. It is one of the most reputed mutual funds in the country, Reliance Mutual Fund is founded as a trust.

About Reliance Mutual Funds

Reliance Mutual Fund (RMF) is one of the top mutual funds in India. It is a part of the Reliance Anil DhirubhaiAmbani (ADA) group. The mutual fund has been founded under the Indian Trust Act, 1882. Reliance Capital Limited or RCL was the Sponsor of the mutual fund, whereas its trustee was Reliance Capital Trustee Co. Limited or RCTC.

Ways of Investing in Mutual Funds

When investing in mutual funds, you should keep some aspects in mind. These are as follows:

Investment Tenure: You should give a considerable amount of thought on your investment tenure. If you want to achieve your financial goal within a span of 5 years, go for debt mutual funds. On the other hand, choose equity or hybrid schemes if you want to invest for five years or more.

Always make sure to check the amount of time you want to invest your money for before choosing a debt mutual fund scheme. In addition to that, check for how long you can invest even when you are choosing equity mutual fund schemes.

Risk Factor: Not every mutual fund has the same risk factor associated with it – be it equity, debt, or hybrid mutual fund. Credit risk schemes have a higher risk factor, whereas liquid mutual funds and overnight funds have the lowest risk factor among all the debt mutual funds. Similar to that, a small cap scheme has a higher risk factor compared to a multi-cap or large cap scheme.

Benefits of Reliance Mutual Fund

Here are some of the benefits of Reliance Mutual Fund:

• Benefits of wide selection, offered by the RMF
• The Reliance fund house has the experience of 20 years in mutual funds.
• The distribution network of RMF is huge and spans more than 160 cities in the country.
• The customer service of RMF is one of the best in the mutual fund industry.
• Reliance Mutual Funds are considered the pioneers in the mutual fund industry

List of top five Reliance Mutual Fund

Five popular reliance mutual fund	One year return	Three-year return	Five-year return	10-year return
Reliance annual interval series	0.64	7.47	7.89
Reliance annual Interval Series	6.64	7.47	7.89	7.97
Reliance Arbitrage Fund	6.24	6.26	7.38
Reliance Banking and PSU Debt Fund	4.93	7.52
Reliance Banking Fund	8.64	13.67	17.09	16.64

Create and achieve non-public finances before creating and executing a substantial financial agreement in support of your life — inconsistency with the goal of the prosperity of a group of people who need a business strategy. As a result, you must control a non-public economic planner who can eliminate the burden of the period required to create and implement your commercial agreement daily.

So, what did you say? Find out what you expect with a financial planner?

The moment you hire multinational financial planning from an economic planner, they want to guess the responsibility of supporting the management and organization of your commercial relationships. They balance their reserves, organize withdrawals, transfer taxes, develop their property, participate in hand luggage, pay their insurance and, most importantly, protect their assets. They want to take control of their current assets and collect almost all forms of paper currency so you can think about the process.

Financial planning services

Financial planning providers can offer a wide range of business advisory and implementation services related to a non-public, family element before problems arise. They allow you to reconcile the modified profitable objectives and help you achieve your goals through the precise management of your finances, since the fundamental monetary purpose and determination are necessary, above all, to achieve excellent material well-being. We offer to save money to support the education of your children before selling them at home.

Financial planning, whether for an individual or a company, is not only intended to achieve short and long-term goals but also provides insurance against the unknown, the invisible. For example, Allan, who ran a small ice cream parlour near Bondi Beach, had protection against theft, so he thought he was safe. But during the recent abnormal weather, his output was hit by lightning, which roasted all this freezing equipment. This not only required expensive repairs, but it also lost all of its ice cream supply that day and had to abandon sales in the next two days.

Financial losses usually happen unexpectedly: there is no business card, and even if you receive a preliminary warning, it is often too late to take any action. When a disaster occurs, the only thing that can bring peace of mind is if there is any financial planning, for example, money reserved to cover unforeseen events. Keep in mind that the loss is still there, but at least you can get up because you have the wealth to keep it. For this reason, financial planning services are not necessary for a positive financial future.

Financial planners

To become a financial planner, you must first know what you said. His choral profile is. Financial planners help you determine cash income to meet your operational program. They also help predict how these food desires will be satisfied with the internal generation of funds, and what did you say? The sphere in which you want to be alive is found in external sources. The task of cash planners is to develop an unbeatable strategy to achieve the necessary external financing. Besides, they help create and be inflexible concerning a financial control system to support the distribution and use of funds.

The cannabis industry is stuck between federal prohibition and state legalization, and it has been forced to be cash-only operations. Even for businesses with a good relationship with big banks, the decision by major debit and credit card companies to reject any card transactions for the federally illegal substance, putting the transparent, legitimate and cashless purchases seems an impossible task.

But because of recent events, a lot of businesses are finding new ways to solve this dilemma. In a surprising move in the marijuana industry, the State of Hawaii announced last 2017 that they will be opening medical marijuana dispensaries that will accept cashless payment. They adopted mobile debit applications like CanPay, to provide the cannabis industry a cashless payment solution. To know more about cannabis legalization in the United States, you can visit https://en.wikipedia.org/wiki/Legality_of_cannabis_by_U.S._jurisdiction.

It is the only the state-approved cashless solution in Hawaii’s medical marijuana dispensaries. Despite some confusion about whether cannabis dispensaries can still accept cash payments or if they are offering a state-sanctioned cashless alternative, the announcement has gained a lot of attention in the United States cannabis industry.

According to experts based in Hawaii, the cashless alternatives provided patients, who do not want to carry cash, a state-approved and great option when paying for their purchases. More or less 10% of all the dispensary transactions are paid using these cashless alternatives, and that is with clients aged 55 years old and above.

These people like to stick by the rules and want to do everything the legal way. It is imperative that they have alternative options sanctioned by the United States government. Cash-only transactions do not only affect how the dispensaries operate, but they can also affect the customer and the patient’s convenience when making their purchases.

As the cannabis industry becomes more competitive, consumer experiences have become very important. Consumers are looking for the same frictionless and ease when it comes to the consumer experience. They are looking for an enjoyable and hassle-free purchase of their favorite legal cannabis products.

According to most business experts, traditional payment methods are business owner’s right for the cannabis industry and most businesses strive to provide alternative payment method services to their clients. Most of these dispensaries accept cash, even though most of them have a marijuana dispensary ATM outside their shops.

They also accept payments using a mobile application. You want people to have other modes of payment other than paying cash. In today’s digital world and economy, it is quite rare that someone pays for services using cash payments outside of purchasing cannabis in legitimate dispensaries. Some dispensaries implement digital payment options offered through applications like Hypur. It shows that it is a lot convenient for most patients, and helps cut out bank fees. 

Walking through cashless alternatives

For marijuana dispensary owners looking for cashless payment options, working through it is not that simple. Along with legit, transparent cannabis payment services, the cannabis industry is overflowing with services that take advantage of business owners, and they were putting the already-volatile relationship between the bank and dispensaries at risk. Listed below are some of the examples of the most common alternatives; both good and bad. 

Third-Party merchant account

It involves paying a third-party service or create an assumed business name and disguise your connections to cannabis and get a merchant account to process all major debit or credit card transactions via Mastercard, Visa, American Express and other credit or debit card issuers. The money will go to the third-party merchant account first before going to your dispensary account.

Sooner or later, card issuers will discover that you are misrepresenting your nature of business and will shut down the arrangement. If you are going to process a debit or credit card, and it is not under your company name, even if your businesses are legal, at the bank or the card issuer’s point of view, it will look like you are just laundering money.What is a merchant account? Click here to find out more.

Cashless Automated Teller Machine Voucher

Using this service, the card terminal in the cannabis dispensaries will produce ATN vouchers instead of cash. It will register as ATM withdrawals instead of a debit card purchase related to cannabis. But like all Automated Teller Machine withdrawals, these vouchers are in set increments, a multiple of $5 or $10. Because these vouchers are not for the exact purchase amount, the cannabis dispensaries need to make a change. Client ATM fees, as well as the time for electronic deposits to reach their account, can vary significantly.

Seeking for the loan broker in the UK? Then, don’t go away from the Clever Loans. This company is the best in the UK for providing brokerage services to customers. In this company, any individual can apply for the personal loan by filling the application form. Once the application form is submitted in this platform, then they will send that application to the lender. It is necessary because the lender has the full rights to know about the borrower current situation and why he/she wants a personal loan for which work.  It all depends on the lender whether he approved or rejects your application form. If your application is approved by the lender, then they will send you the notification that you are applying for the loan. After the notification, your money will send to your bank account within 15 minutes which only take more time because of the policies and procedure of your bank.

• Find Great deal: Hiring the brokers for the personal loan is good because they will find a great and suitable deal for your personal loan. They search the maximum number of loan provider and only send your application form to the trustworthy and reliable lender who has great respect and popularity in the market. They know the value of money and find the lender who charges less interest rate as compared to other lenders in the market.
• Meets your need: Finding a reliable platform where you get the help for your personal loan is very simple, now you can visit the platform of Clever Loans which is a leading company in the UK. They schedule the appointment with the lender and borrower so that they will easily get the personal loan with ease. The professional broker from the Clever Loans will help you in finding a reliable lender who gives you the loan with the cheap rates. At Clever Loans your entire personal details about bank are safe and secured in their 256-bit security network.
• Saves time: When you take help from the broker for your personal loan, then you only have to fill one application form as compared to fill the numerous lender’s application firm. Once you write down the application form, then this company will send your application form to the different lenders. They have a deal with the trusted and reliable lenders which knows the value of money and provide the loan at a very cheap rate of interest.
• Works in entire paperwork: Take the help of Clever Loans worker for the personal loan which also helps you in the peace of mind that you don’t have to take care of the entire paperwork. The loan broker of this platform will help you in each step on the process, so you don’t have to face any problem in the future. Taking the help of these brokers will make sure that the paperwork will handle with the professional, so there is no problem which is faced by you in the whole process of personal loans.

The main benefit of a discount broker is they are unbiased. As they do not offer any advice, no stock is good or bad in their eyes and they are not going to force you in buying one. They are a one stop solution to the higher costs prevailing in the financial domain. Pretty much they operate on the lines of a low cost airline. The top discount brokers are going to provide a platform where you can go on to execute transactions on your behalf. Just like the objective of a low cost airline would be to make you reach your destination, low bottom brokerage costs makes a lot of difference. The research or on call facilities are available through the internet and a host of other platforms. Even many content providers are going to provide you trading advice. All of them are undertaken at a fixed fee.

The main difference between a full time broker and a discount broker is in terms of options trading. If you are trading below a particular price the brokerage firms are going to charge on the stocks. In case of options trading most brokerage firms have a flat rate of commission on the stocks. The way by which you calculate brokerage has a considerable impact on the profitability of the client.

The benefit of a discount broker is that they are unbiased. As they are not going to make you buy or sell a stock you are free to take your own decisions. This type of broker works well for an individual who has considerable experience in the domain of stock market. They are not going to bother you with research calls or any trading calls.

The financial market has undergone a drastic change in the last few years. A lot of credit goes to the electronic sector that has brought about a level of transparency in the market dealings. The trust aspect goes on to increase at a considerable level. With the evolution of the internet a lot of low cost brokers have emerged who provide bottom rates in terms of transactions. The broking house provides a platform for you to transact. In case of traditional brokers they are going to charge more as apart from the platform they provide you with research based inputs. To the extent that a full time service may go on to claim that they calls are being made by a well formulated research team. They have the expertise and know how to deal with finance matters.

For each and every transaction in the financial domain, is it equities or commodities various costs come into account. The insurance companies or the financial institutions go on to incur such costs and this irrespective of the size of your transactions. There are some fixed costs that are set up the government whereas the nature of other costs does depend upon the finance or broking house. What it would mean is higher the brokerage cost, higher charges are expected to be levied.

Share market is an avenue where one can see the ups and downs in the rate of shares of companies that are listed. The movement in prices is as per the demand and supply as well as the updates from the concerned company and market. For many people, such ups and downs prove much helpful as they can help them get profit in intraday trading in the market. However, it is not a game free from risks and hence only those who know the game can play it safely.

For such traders, the brokerage is an important term as well as the expense that they need control and therefore they try to have the account with the broker who charges them the lowest. Though the market has no specific standards and hence any broker can charge any amount as brokerage services, there are also some brokers who offer a grand discount in brokerage. Hence working with them can prove cost-effective to such traders as they do not charge heavy amount. Hence an account with such discount broker can be much helpful to such bulk traders. One can find several discount brokers in India who offer amazing services at discounted rates and hence it is necessary to know a few things about them.

The role of a broker:

Truly speaking the broker is the person who can facilitate the trader for the trading in the stock market. He offers the services with the help of which one can trade in the intraday as well as delivery based trading. However, here one must note that the rate of the brokerage in both of these segments is different. In intraday trading, the brokerage is lower compared to that in the delivery based. For a trader who loves to go for trading in any of these segments once or twice in a week it does not matter much whatever the brokerage charge he has to pay but for those traders who deal daily in the market and that too in a huge volume this rate becomes much important as at higher rate of brokerage he has to spend more amount which can reduce his overall profit significantly. Hence for such a trader who takes it as a business, it becomes troublesome to manage the show and hence normal broker cannot be allowed.

Why is it important to avail of this service?

Though the broker has a good role in market technically, in reality, he is just a facilitator for the trader, and therefore the bulk traders love to go for the broker who offers a discount in brokerage or one can say offer services at a low cost of brokerage. It helps the trader to save a huge amount of daily basis which can lead to an increase in his overall investment in the market. It leads to more volume and therefore more amount of profit and a strong portfolio.

The traders who deal in bulk knows the system well, and they hardly need any assistance from the broker other than the payout regularly.

Entrepreneurs face a common dilemma after expanding their commercial operations up to a certain point. They have a very difficult time deciding whether to offer sweat equity shares to their top executives. At the end of the day, these are individuals who assist these proprietors in the decision-making process. They’ll obviously do whatever they can to make them happy and content with their jobs. This implies adequately rewarding these employees for all the effort and time they devote. However, these businessmen are reluctant to take such a step for one important reason. It means forgoing full ownership and control of their establishments. They may not be acceptable to them.

Arnon Dror LinkedIn – Why should entrepreneurs offer sweat equity shares to their top executives?

Very few financial executives can boast of achieving the same accolades as Arnon Dror. This master graduate in business administration is cut above the rest in the business world. His illustrious career expands 20 years. During this time, he has a distinction of occupying the office of Vice President in many companies. Xerox, Creo Inc., Scitex, Kodak, Creo Americas and Presstek are just a few of them. In each of these establishments, the officials say he is the architect of their concern’s transformation. They acknowledge his exceptional track-record in the area of internal reconstruction. Many of them even regard him as specialists in many diverse fields. These include internal control, international taxation, cash flow management, ERP integration, corporate mergers, and strategic management. Entrepreneurs just need to browse through the Arnon Dror LinkedIn profile to know more about him.

This financial expert says entrepreneurs go out of their way to hire the right professionals. They are aware that these are individuals who can help them achieve their organizational goals. Losing them can be detrimental to their businesses over time. However, these employees also expect the owners to reward them for their loyalty and contribution. This is where offering them sweat equity shares comes into the picture. This professional state the following 2 important reasons why the proprietors should consider taking this step:

1. Retaining the best brains and talent

Entrepreneurs formulate and implement a retention strategy for their workforce for a purpose. They want the important members of their staff to think twice before handing in their notices. The owners are aware that these individuals are very difficult to replace. They have knowledge, skills, and talents which make them stand out in the job market. Offering them sweat equity shares at reasonable prices enables the proprietors to achieve this objective. It gives the top executives a feeling that employers recognize their contribution.

2. The employees assume greater responsibilities

After receiving sweat equity shares from their owners, the employees take up more responsibilities. They strive towards assisting the proprietors in achieving their organizational objectives. They focus all their efforts at enhancing the bottom-line profits of the businesses which hire them. To outsiders, they behave more like owners than staff members. This is a fact which entrepreneurs can afford to overlook.

Issuing sweat equity shares to important employees can work wonders for entrepreneurs. The above 2 important reasons to take this step proves this fact beyond any doubt. The owners just need to look at the Arnon Dror Video on the internet. With time, he comes to know it’s the right decision to take.