I have recently started viewing and listening to your advice. Its not only informative but very useful to all. Request you to come out with a video on the retirement corpus required for a person(say a retiring NRI aged 60 in 2021) assuming that he has finished all his responsibilities, having his own house and his monthly expected expenditure is Rs 50,000/- a month
When we redeem debt funds we pay a lot towards capital gains tax ending up in not more than 7 to 8 % roi...even if FD has low rate now(sub 5 %)..at least its safe upto some value..again govt/SEBI rules keep changing...for FDs Iam referring to NRE account where tax is not applicable on interest and repatriation is easier
I have become a big follower of your channel and try not to miss your video. Lot of doubts have been cleared wrt Debt Mutual Funds . Thank you so much. One request Sir... please cover DTAA . Recently Russian government have started deducting tax on the NRE FD interest money . Their logic is that you have not paid tax on this income in India. Please throw some light on this. Thanks 🙏🏻
I have been following your lectures and they are quite informative. Can you please provide us some suggestions on how to handle a bulk amount of money to get the best low risk returns out of the sum , say e.g. after maturity of a PPF or maturity of a insurance policy
Excellent video and content but the Tax implications for OCI was not discussed. My specific question is - if you put from NRE acc into FD in NRE acc, even if you are not liable to get taxed in India but you are liable to get heavily taxed on Indian FD interest gained in the UK or US but the local tax office. You have not mentioned in your video how to protect ourselves from this punitive tax.
Variance I have explained in video . It could be +/- 0.5%. This variance is net of expenses. Expense ratio of a bank FD is far higher than debt fund. Expense ratio of FD could be 2 to 4%( Lending rate - FD rate otherwise known as NIM or net interest margin) where as in case of debt funds it could be 0.30 to 1% depending on different types of schemes
NRE FDs are not taxed only by Govt of India. Your resident country, however, may tax it. For example, you need to declare it in the US and the US taxes it.
i saw bonds of various banks offering returns from 9 to 13% ; can you give some information on this .Looks like a good monthly income source for returning NRI.
We will do a video on this subject in due course to time . Bonds offered by banks are not their fixed deposits. They could be bonds of other institutions. Higher the yield of a bond , the risker thd bond . Yields rise because of perceived fear of defsult . Bonds have inherent risks in them . Default risk , liquidity risk and interest rate risk is built in. Best to stay away from such high yielding bonds . Please subscribe and keep sharing the videos
I think you missed the point that the people who wants better returns then bank fd can also choose debt funds even if they are below 30percent bracket.
No one can guarantee always positive return in mutual funds ...be it any debt, equity or anything ......but it's not the case with FD ...can someone prove me wrong by providing ur view ????????????
A financial advisor ( FA) gets commission from the debt fund. . That's understandable. After all , the FA is giving us services. The FA is paying GST. The FA has his own expenses. So no issue. Query- How much commission does an FA make? If I invest through an FA today, and he gets commission, does he get commission yr after yr?
@@anandkvk What is your return after inflation adjustment? Have you invested in a short or long term debt fund? Also may I know your debt fund name?
Best solution for NRIs is deposit the bulk amount in NRE fixed deposit monthly payout scheme and transfer the interest amount into any of the very good Equity MFs as SIP. In that case we save our capital amount...at the same time we will get good returns on the MFs. Please correct me my idea is wrong:)
@ flash news .. you have a point . I referred to Indian taxation not taxation of other countries. Most countries do not tax world wide income .. only a few exceptions like US etc . Even there Double Tax Avoidance agreements are there to help such NRIs
Recently Russia has started taxing interest money earned on NRE fixed deposits in India. Their logic is that you have not paid any tax on interest earned.
I think you are not addressing the minimum period you need to put in mutual funds while FD is our choice. Hence my liquidity is affected in case of mutual funds.
I am invested in Relience Nippon life insurence Ltd Rs 2.00 lacs per year for 10 years period - is it worth / how can I concentrate ,I've clear guidence.
Thanks for putting forward your prospective on Debt MF vs Bank FDs. I think when FD interests are diving day by day, Debt MF should be included in our portfolio...Ofcourse to deal DMF is not as simple as for Equity MFs. Otherwise also persons intend to return to India, DMF can be one of the option of Investment (as tax free interest benefit are goint to be forfeited on return to India). My query is regarding Mutual Funds purchased via Demat account as NRI ....how it would affect these MF once we become RNOR or ROR? Pl clarify. Thanks.
Thank you, sir for all the great info. Just to confirm, your NRE FD income is still taxable in the US/considered your global income and taxable in the country of your citizenship? TIA.
You need to declare it in the US and pay tax if you are a tax resident of the US. NRE FD, PF, PPF, all forms of Capital Gains - doesn’t matter - all are part of your global income. Your mileage may vary if you are living outside the US.
Excellent Video. Considering the debt funds are volatile and looking at a 3 to 5 year horizon of investment horizon, Is it better to invest in debt funds as an SIP or lump-sum ? investment?
Nice presentation. I was wondering if one could remain invested in Short term/ Ultrashort term/low duration funds for 5 -10 - 15 yrs (like in equity funds) ?? Any harm/disadvantage or negative aspect ?
NRE FD is tax free . NRO FD has TDS. Edit your message and use proper language. You will be reported for abuse over social media. You can comment and disagree. You have no business to get abusive . Mind your language .
👏👏👏 Awesome and very practical. Will serve as a tool for people who are planning to return to their homeland.
Thank you so much for your feedback. Please keep sharing the videos
I have already returned 5 years ago
Sir, how do your read my mind...you have covered all the topics/questions which usually comes to my mind.
Thanks sir, for providing such valuable information.
Useful information. Well presented. Tq
Really informative. Thank you for sharing different risks & comparison between FD and Debt funds.
Glad it was helpful!. Please keep sharing the videos
I put my in fixed account for six months, I am I in the correct path?
I have recently started viewing and listening to your advice. Its not only informative but very useful to all. Request you to come out with a video on the retirement corpus required for a person(say a retiring NRI aged 60 in 2021) assuming that he has finished all his responsibilities, having his own house and his monthly expected expenditure is Rs 50,000/- a month
When we redeem debt funds we pay a lot towards capital gains tax ending up in not more than 7 to 8 % roi...even if FD has low rate now(sub 5 %)..at least its safe upto some value..again govt/SEBI rules keep changing...for FDs Iam referring to NRE account where tax is not applicable on interest and repatriation is easier
Excellent Video, Dr. CB
Thank you so much for your kind words . Please subscribe and keep sharing the videos
I have become a big follower of your channel and try not to miss your video. Lot of doubts have been cleared wrt Debt Mutual Funds .
Thank you so much. One request Sir... please cover DTAA . Recently Russian government have started deducting tax on the NRE FD interest
money . Their logic is that you have not paid tax on this income in India. Please throw some light on this. Thanks 🙏🏻
There is video on DTAA on this channel
Good content
I have been following your lectures and they are quite informative. Can you please provide us some suggestions on how to handle a bulk amount of money to get the best low risk returns out of the sum , say e.g. after maturity of a PPF or maturity of a insurance policy
Excellent video and content but the Tax implications for OCI was not discussed.
My specific question is - if you put from NRE acc into FD in NRE acc, even if you are not liable to get taxed in India but you are liable to get heavily taxed on Indian FD interest gained in the UK or US but the local tax office. You have not mentioned in your video how to protect ourselves from this punitive tax.
You covered each n every query and answered all the questions with amazing clarity as always 🙏
Excellent. Especially capital gains indexation benefits in
DEBT MF.
Sir, How much % VARIANCE DIFFERENCE OF Int. Rate FD VS DMF....
1. NOT MENTIONED EXPENSE RATIO CHARGES. OF DEBT MUTUAL FUNDS.
2.
Variance I have explained in video . It could be +/- 0.5%. This variance is net of expenses. Expense ratio of a bank FD is far higher than debt fund. Expense ratio of FD could be 2 to 4%( Lending rate - FD rate otherwise known as NIM or net interest margin) where as in case of debt funds it could be 0.30 to 1% depending on different types of schemes
thxs for the valuable information....sir I read that covered bonds are safe....whether regulatory permission available.....
Sovereign gold bond. What are they ?
nice video sir. NRE FD are tax free. In such case is it not better to choose NRE FD over debt fund
NRE FD is the most preferred, simpler and easy product and it scores much higher being tax free to other options
Regarding the long term capital gain of debt funds, is it 3 years or one year? (you said that it is 3 years. But for equity funds, it is one year)
Can you tell more about Resident but Not Ordinarily Resident (RNOR), Resident and Ordinarily Resident (ROR) status for NRE returnees
Excellent presentation
Thank you so much for your kind words. Please keep sharing the videos
Excellent analysis
NRE FDs are not taxed only by Govt of India. Your resident country, however, may tax it. For example, you need to declare it in the US and the US taxes it.
i saw bonds of various banks offering returns from 9 to 13% ; can you give some information on this .Looks like a good monthly income source for returning NRI.
We will do a video on this subject in due course to time . Bonds offered by banks are not their fixed deposits. They could be bonds of other institutions. Higher the yield of a bond , the risker thd bond . Yields rise because of perceived fear of defsult . Bonds have inherent risks in them . Default risk , liquidity risk and interest rate risk is built in. Best to stay away from such high yielding bonds . Please subscribe and keep sharing the videos
@@NRIMoneyClinic Thank you very much , my interest was to generate a comfortable fixed income on returning to India with the corpus saved.
With safety of the corpus
With such bonds , your corpus is never safe . It will be more riskier than equity itsef
I think you missed the point that the people who wants better returns then bank fd can also choose debt funds even if they are below 30percent bracket.
Please also discuss about FDs in NBFCs with good ratings in your upcoming videos sir.
Sure. Thank you very much for suggesting the topic. Will do a video on it in due course of time . Please subscribe and keep sharing the videos
No one can guarantee always positive return in mutual funds ...be it any debt, equity or anything ......but it's not the case with FD ...can someone prove me wrong by providing ur view ????????????
Sir, Is there sovirin gold is best option for NRI?
A financial advisor ( FA) gets commission from the debt fund. . That's understandable. After all , the FA is giving us services. The FA is paying GST. The FA has his own expenses. So no issue.
Query-
How much commission does an FA make?
If I invest through an FA today, and he gets commission, does he get commission yr after yr?
He does get a retainer fee of paltry less than 0.5% from where he has to pay all his expenses. He gets paid with this fee every year
Informative too
Sir, Why did the debt fund return negative from last 6 to 8 months? Is it continue the same or is it good to do the fresh investment in fixed deposit?
Who said its negative. I am getting positive returns in my two different funds.
@@anandkvk
What is your return after inflation adjustment? Have you invested in a short or long term debt fund? Also may I know your debt fund name?
Best solution for NRIs is deposit the bulk amount in NRE fixed deposit monthly payout scheme and transfer the interest amount into any of the very good Equity MFs as SIP. In that case we save our capital amount...at the same time we will get good returns on the MFs. Please correct me my idea is wrong:)
You are definitely not wrong. It is very valid and logical argument. Please subscribe and keep sharing the videos
@@NRIMoneyClinic NRI needs to pay income tax for the FD gains from India in US. So it is not exactly tax free for NRIs. US taxes worldwide income.
@ flash news .. you have a point . I referred to Indian taxation not taxation of other countries. Most countries do not tax world wide income .. only a few exceptions like US etc . Even there Double Tax Avoidance agreements are there to help such NRIs
Recently Russia has started taxing interest money earned on NRE fixed deposits in India. Their logic is that you have not paid any tax on interest earned.
What are the tax implications in India and UK if I put my funds in debt funds or a mutual funds or FDs in Indian bank in INR( repatriable funds)
Ur language is super
Thank you for your feedback . Please subscribe and keep sharing the videos
Excellent
Thank you so much for your kind words
Sir what is best investment for 20 lakhs fd or debt funds
Are your services free of cost or it attracts some payments?
I think you are not addressing the minimum period you need to put in mutual funds while FD is our choice. Hence my liquidity is affected in case of mutual funds.
Nice clip
I am invested in Relience Nippon life insurence Ltd Rs 2.00 lacs per year for 10 years period - is it worth / how can I concentrate ,I've clear guidence.
Sir I am fan of you
Thanks for putting forward your prospective on Debt MF vs Bank FDs. I think when FD interests are diving day by day, Debt MF should be included in our portfolio...Ofcourse to deal DMF is not as simple as for Equity MFs. Otherwise also persons intend to return to India, DMF can be one of the option of Investment (as tax free interest benefit are goint to be forfeited on return to India). My query is regarding Mutual Funds purchased via Demat account as NRI ....how it would affect these MF once we become RNOR or ROR? Pl clarify. Thanks.
New tax law.. any update?
Can You review SBI saral pension plan
Can we invest in gold jewelry, gold coins????
You can , but keep exposure small . Please subscribe and keep sharing the videos
sir I want make welth from stp ple sug good deft fund
Thank you, sir for all the great info. Just to confirm, your NRE FD income is still taxable in the US/considered your global income and taxable in the country of your citizenship? TIA.
You need to declare it in the US and pay tax if you are a tax resident of the US. NRE FD, PF, PPF, all forms of Capital Gains - doesn’t matter - all are part of your global income. Your mileage may vary if you are living outside the US.
please let us know the good debt funds
Send message on number shown on the channel page . Please subscribe and keep sharing the videos
debt funds are riskier than PSU banks
How much is your fees ?
Excellent Video.
Considering the debt funds are volatile and looking at a 3 to 5 year horizon of investment horizon, Is it better to invest in debt funds as an SIP or lump-sum ? investment?
As per your convenience . Thank you for your feedback . Please subscribe and keep sharing the videos
Nice presentation. I was wondering if one could remain invested in Short term/ Ultrashort term/low duration funds for 5 -10 - 15 yrs (like in equity funds) ?? Any harm/disadvantage or negative aspect ?
but there is answer to my question in the video
NRI FD interest is Tax free . Pls check and confirm.
In case of NRE FDs tax is absolutely free.wrongly guided
Why do you think so ? Let me know if there are mistakes at pur end ?
Franklin tempelton defaulted and all debt funds seiged
It did not default . It froze
Never invest through banks.
You have a point . Please subscribe and keep sharing the videos
Why....??
you are fraud, where is tds for NRI
NRE FD is tax free . NRO FD has TDS. Edit your message and use proper language. You will be reported for abuse over social media. You can comment and disagree. You have no business to get abusive . Mind your language .