Correct. This guy Dhirendra has been misleading people to generate maximum commissions for his employer. Handpick good stocks from within the Index and simply do a buy-and-hold. It will outperform the Index and actively managed funds.
Index Funds are threat to entire mutual fund industry given lowest expense. He did explained that xyz fund outperformed 4% yoy but what about 1-2% fixed commission that funds charges even when funds under perform indices.
Most of the index funds I see are charged at around 0.1-07 %. In fact, index funds usually have lower charges than actively managed funds. So I am curious about what you are saying.
@@SV42165 Well, he was talking about the expense ratio of active mutual funds. But he’s wrong saying 1-2% expense ratio needs to be subtracted from the 4%. Performance data of mutual funds are published after deducting the expense ratio.
I have started investing in mutual funds very recently. What I observed is for Largecap it’s better to invest in index funds. For Mid Cap and Small Cap it’s better to go with Active Mutual funds.
Beware of what this man says! He is completely promoted and funded by the mutual fund companies. There is a serious "conflict of interest" in this case.
As Warren Buffet says correctly, index funds are outperforming active funds. There are a lot of expenses that bring down the net return of active funds that are not being discussed. These people have personal interests attached to active funds.
The data that Warren Buffet uses states that 80% of the funds don't beat the index. But 20% of the funds beat the index and they beat the index by a good margin. So my job as a retail investor is to do my research and find/make a bet on that outperforming 20% instead of being a sheep in a herd and complain.
Dear Innocent Investors, If you don't want to track performance of each fund and switch based performance just blindly invest in index fund. If you want to invest in actively managed you need expertise to analyze. Long term at least 90% of funds will not beat index and point is what are the odds that you end up investing in remaining 10% fund? very less. These ppl want to make money from commission that's all they care.
Sir he asked you a simple question. Answer him in simple words. You talked about everything, literally everything, but you failed to answer his question. You didn't fail, you actually elegantly evaded his question and only confused the audience. "When you cannot answer them, confuse them". But people are not misinformed these days. They know well. You cannot fool them forever. The days of active funds are going away, the sun of index funds is rising.
There has been and there will always be 9-10 active mutual funds in market which will beat index by 3-4 percent. But million dollar question here is, that How any one can predict that which mutual fund is going to beat index after 10 years? Also its a proven thing that index like NIFTY50 beats 80 % of fund manager & that too without much effort or cost.
There is no guarantee that the active funds we have taken is going to beat index in near future....better go for nifty or index fund..relaxed rahoge...
I used to respect him previously..but after gaining some knowledge and experiences regarding mutual funds,my views have chandlged.He is just another agent of AMC'S.
Developing economy means index also develop in rapid manner. Sensex would hit 100000 by 2030. Currently Nifty50 and Sensex Index Fund Outperformed Actively managed Blue chip funds.
Almost 69% LC MFs could not beat their benchmarks. 92% Value Funds failed to beat their benchmarks. Whether it's Global or Indian market, "Index funds" are always better !
90% of active fund managers are never able to beat the index. Of course greedy fund managers will tell you to buy mutual funds so they can make commission
mf like hdfc is giving negative returns...if you invest in index fund, you always get positive returns...more than 12-13 percent in long term...if you want to invest in blue chip fund than index fund is always better
after new rule of SEBI of fund categorization in Nov 2019, Nifty 50 Index will go parallel with Large cap active MF. and index fund has 60% less expense ratio than active MF.. Its perfect time to shift to Index fund
@@crzymanmit Look Manish. The thing is, you should never ever trust a random person in the comment section. If you really want to invest based on my advise, research about the fund on your own. I would suggest Tata Index Sensex direct growth plan.
@@crzymanmit Look for any index fund with low expense ratio, low tracking error and high AUM (more than 1000 cr.). That'd be enough. UTI Nifty 50 and UTI Next50 are solid in terms of all these parameters. Combine the two in either 60% - 40% or 70 - 30% weightage if you can stomach that volatility or 80% - 20%/90% - 10% to shift the weight more towards Nifty50 for less volatility from Next50 If it sounds too complicated then just go ahead with Axis Nifty 100 Index Fund. That should simplify it more. And always remember what John C. Bogle (the father of Index Funds) said: "Time in the market beats timing the market". Never leave the game, always be in - do proper asset allocation and rebalancing with time but don't ever leave the game
One interesting thing I have noticed is all Largecap & Midcap mutual fund return graph looks exactly the same as sensex/nifty graph. Then why to pay 1% extra for active mutual fund?
How else will Dhirendra get a commission if you don't pay extra 1%? They are themselves buying huge real estate with your commissions and brainwashing us to sell our houses and park the money in MFs.
But MTNL and Hind motors are long gone from index...nifty companies always changes with performances....and after the new classification of funds by SEBI,it is more difficult to beat index.And in near future ,it will be impossible..
You are right, now instead of large cap we should invest part of it in Nifty 50 index and second part in a Large and Midcap fund instead so fund manager have more flexibility to balance funds and get some alpha returns and more variety to choose from 250 stocks basket.
Agree with Dhirendra Kumar. Index ETF is crowded trade. Performance of index ETF depends on the committee that selects the constituents of the index. When Satyam scam broke out, all active fund managers immediately sold off the shares, but ETFs had to wait until the committee met and dropped it from the index. By this time the share had already lost significant value
But Indices are a collection of stocks and a single stock doesn't impact the gains much unless it has sufficient market cap to impact it. And if such big stock goes down usually all the stocks of that particular sector goes down . And also mutual funds aren't that good at generating gains cuz they can't keep sufficient money in cash even when they know that market is in a turmoil. When the pros and cons are compared , index funds are better in many ways albeit few funds do outperform sometimes
@3:95 He says "Can you imagine indian railways being part of stock exchange" We now have Irctc listed in nse and its one of the most sought after stock by most AMC fund managers
The fact remains that the fund managers do not invest in their own funds...Why? It is not only Buffett but Jack Bogle who was the first one to go against these managed funds who only make money for themselves and for the fund but not for the investors.
When one is giving money to mutual fund ,one relies on research,management ,expertise to hold ,buy or sell .in index fund it is ready made.one or two multibaggers are enough to lift the fund.i will go for active fund .
I'm 24 and started 2 SIPs in Index Nifty and Next 50 mainly for retirement last year. Planning to get 1 active this year. Then will mostly focus on getting equities. I think 2-3 MFs is more than enough.
see no number like 2-3 can be fine. Always try to diversify your portfolio among different domains like Small cap, Mid Cap, Large and Mid Cap, Flexi Cap , etc... you may choose some or many based on balanced diet you want to have and increase proportion of small and mid caps to increase returns with increasing risks and vice versa
Passive index funds charge as low as 0.17% . Active mfs charge upto 1.7 % to 2% per year. So in this context, active funds charge 10 times more than passive funds. So MF industry people will always support active finds because thats where they get their commission.
Tata nifty index fund has an expense ratio of 0.05%. Now compare that to an active fund charging 1 to 3 percent expense ratio. So 3 - 0.05 = 2.95 which is a whole 295 bps lower. So instead of me getting say a 10% cagr, I will b happier to get 12.95% cagr. Or should I say, my return of 1 crore in 30 years via active fund investing becomes 1 crore 29 lakh in the same term via passive index fund. I am not dumb to pay 29 lakh to a fund manager as commission just for him breathing in and out for 30 years.
Good to see so many people trust index funds...apart from few very good fund houses, others are a bunch of idiots who don't even know proper basics of stock picks
Both works in its extend Index investing has got advantages and disadvantages. I hear all these guys regularly I do mix both so I don’t worry about one side argument. After all money is to enjoy, not to compete 🤞
...even better, just handpick companies from the Index and filter out the bad ones (PSU companies, oil companies, steel, cement, etc), and you are left with 15-20 good companies. These top 15 companies from within the Index will outperform the Index of 50 companies.
Mutual funds are just legal Ponzi schemes. Please do your own research and invest directly in markets with proper research. Don’t shy away from hardwork. Plz also learn hedging and keep your portfolio hedged . I am working for a big company and I know this scam.
Noooooooooo. Wrong man. Invest in index and forget for 30 years. After 30 years you will get compounded assured returns. As indian economy is growing your money will grow
@@ramprasath9965 Japan is a developed country and india is a developing country So there is a huge way for development in india So we can't expect same to happen in india
Index fund is simple and invests in india economy. Even government is believing the index and investing public money in it. Can this guy recommend a mutual fund which can last for next 25-30 years. He encouraging people to invest based on past records?
Chirag Malik This guy only talks short term and last 10 years was the longest bull market, we don’t know if they can outperform in a span of 25-30 years
No mutual funds can beat an Index fund over a period of 30 years. PERIOD. Every actively managed fund which are in market today will vanish by 2050 and new bullshit comes. Blindly invest in Index funds which have low expense ratio. Peaceful life.
He has a point. Only index that's hard yo beat is the s&p 500. Everything else is crap index. Better allocate 75% in S&P, 15% in 3 individual bets in india and 10% in US treasury bonds.
He makes a living out of recommending , reviewing and reselling MFs. No need of advisory for index funds. So he will never agree. When he has to advocate Index MF he will say indian mkt is much smaller than US mkt so if US mkt is well researched then it doesn;t make sense to believe that indian mkt is unresearched.
Index fund fund is always the best choice . Mutual funds returns are not consistent. Mutual funds never follow sensex or nifty . Mutual funds managers cannot invest more than 5% in any good stock...so they end up in average returns . Mutual funds expense ratio is 2% which is eating your returns even when funds don't perform . Mutual funds still charge you when you are at loss.
Haha... 2-3% churning,tax incurred, active management fees . Over the period of years they will mean revert to the index return. One great bear market is all you need for active managed mutual fund to revert to the mean. I suggest pay for an advisory that is very reputed and gives you 10 stocks or so and has a proven track record or so. Buy these 10 stocks as SIP and you will beat any mutual fund even if you get same return you earn about 2-3% more than that mutual fund. Remember even if you get 1% less over the period of 30 year. Compounded, you half the amount that you could have earned with that additional 1 %
This person is Misguiging people.. Don't listen to him. Index funds always beat active mutual funds.. Better you go with stats.. He is speaking for is own profit motive.
Index funds are discouraged by active fund managers and big investors because these people have self interests by making tons of money from expense ratios in active funds. VR also has interests not encouraging index funds as they won't be able to sell their magazines or premium services, because at the end every fund manager, analyst ties the results back to index.
for large cap index fund do wonders only index funds for midcap its 50 50 save that damn expense ratio for small cap mutual fund is way way way better than nifty 250 tri
I am planning to invest for 15+ years in mutual funds Mirae emerging bluchip Axis mid cap Sbi small cap Should I take 1 specific large cap or large and mid cap ( mirae emerging blue chip) will be OK for my portfolio
He is right. The data that Warren Buffet uses states that 80% of the funds don't beat the index. But 20% of the funds beat the index and they beat the index by a good margin. So my job as a retail investor is to do my research and find/make a bet on that outperforming 20% instead of being a sheep in a herd and complain of getting slaughtered. I try to do that and learn each day and each day I become more knowledgable with the goal of beating the index every year by selecting the right mutual funds each and every time. I think finding the 20% outperforming funds is not as difficult as people think it is.
Can you suggest an actively managed fund which can beat Nifty Midcap 150 index fund in the next 30 years.I am starting to do SIP till 2050.I am working in another field,and I just want to invest without research and headache. There is no actively managed fund which will beat Nifty index for long term. All high performing funds will vanish by 2050,or they will have to Rebalance and charges are incurred,expense ratio of funds.So it's best for ordinary people for long term they can blindly invest in index funds.
I’d like to see the data that shows that mutual funds (after expenses) beat index funds by 4%.. this guy is just selling mutual funds so that he doesn’t lose his job.. btw, a 4% additional return over 16% when compounded would result in a lot more than 25% more money, so he doesn’t even know basic financial math
Don't outright reject his words...Just find it and compare it with TRI index.Know why TRI index is important while comparig with index fund. Why people don't generally invest in gold fund which has low expense ratio ,...Just find it. Gold also gave equivalent or superior return in comparison to sensex but lagged behind if compared with TRI index. You people have mind washed by groww and etmoney apps.🤣
Developing economy means index also develop in rapid manner. Sensex would hit 100000 by 2030. Currently Nifty50 and Sensex Index Fund Outperformed Actively managed Blue chip funds.
It will be less until 6.582 years, then it will be more. After the first year, "mutual fund" would have 120% original capital while "index fund" would have 116% of original capital. "Mutual fund" would be 3.448% richer. After six years, "mutual fund" would have 298.984% while "index fund" would have 243.640% of original capital. "Mutual fund" would be 22.716% richer. After seven years, "mutual fund" would have 358.318% while "index fund" would have 282.622% of original capital. "Mutual fund would be 26.783% richer. I don't think anyone trusts this guy to give investment advice 🤣
He’s trying to populating active mutual funds schemes. Who ever be patience to invest in index funds in longer horizon those 😊will get good and decent returns.
This gentleman admits that when the markets perform poorly, the index fund does better than most actively managed funds because there are plenty of actively managed funds compared to passive funds. While that might make sense because he's attempting to make a numbers comparison. The handful number of passive funds vs. the huge ocean of actively traded MFs. However, he doesn't explain how Index Funds can be a lot safer to invest in because the least they can do is generate suitably more certain returns compared to a Bank FD in the longer run. Look at the bright side. You are capable of owning equity in firms that are performing very well in the market. Trying to say that a Nifty index must represent each and every sector in the country would be a little harsh on the companies that are not capable of performing as well as those currently in the NIFTY 50. I can understand that most of these companies, despite lesser sales or operating profit must be a part of the NIFTY, demeaning the index as a flawed metric is simply foolish for the novice retail investor.
Wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong Conman All funds cannot beat the market. 4% more than 16% is 25% more profit not 25% more money.
And I'm in the UK! Actually im emerging markets even less fund managers beat their index! But for Indian investors, beware, your economys rapid growth does not mean Indian stock indices will also do well. If I lived in India I would hold 100% in a global index fund. Indias stock market is new, untried and untested and right now it's very over valued.
@@tc9634 Unfortunately Indian investors do not have the opportunity to invest in global index funds which typically follow the MCSI world or some other index. We have just index funds which follow the Indian index sensex or nifty. We have a NASDAQ ETF available but that has liquidity issues. Indian mutual fund industry does not want to promote index investing as active management still gives them more commission.
Index will not work as it won't give you a commission
Correct. This guy Dhirendra has been misleading people to generate maximum commissions for his employer.
Handpick good stocks from within the Index and simply do a buy-and-hold. It will outperform the Index and actively managed funds.
@Councilman Les Wynan it will if you know what you are getting into.
Correctly said bro
index fund long time best active fund wrong
Right
Index Funds are threat to entire mutual fund industry given lowest expense. He did explained that xyz fund outperformed 4% yoy but what about 1-2% fixed commission that funds charges even when funds under perform indices.
Most of the index funds I see are charged at around 0.1-07 %. In fact, index funds usually have lower charges than actively managed funds. So I am curious about what you are saying.
@@SV42165 Well, he was talking about the expense ratio of active mutual funds. But he’s wrong saying 1-2% expense ratio needs to be subtracted from the 4%. Performance data of mutual funds are published after deducting the expense ratio.
@@SurajInd89 exactly performance of mutual funds is post expense ratio
@@malvinkeone2446 There is also a possibility (arguably with higher probability) of getting beaten by the index
I have started investing in mutual funds very recently. What I observed is for Largecap it’s better to invest in index funds. For Mid Cap and Small Cap it’s better to go with Active Mutual funds.
Yes
Right
This year mid cap and small cap index funds beat active funds by a big margin. Look it up
@@AP-qu8sl True. We have to see for next 5 to 10 years. We also have few new options like smart Beta ETFs for Midsmall and Small.
Y don’t u do a one on one with Varun Malhotra...?
In the last 10 yrs majority of the funds have failed to beat their index.
are you talkin about in India or USA?
Correct indian market is now efficient
@@arjunratnadev India.
Majority? What if i choose my index fund wisely? Profit!
@@nusarratshaikh4893 Noone in this world predict the market including Warren Buffett.
Beware of what this man says! He is completely promoted and funded by the mutual fund companies. There is a serious "conflict of interest" in this case.
Right
There can be a conflict of interest, but what he said about the index constituents and the buying in select stocks is 100% correct.
As Warren Buffet says correctly, index funds are outperforming active funds. There are a lot of expenses that bring down the net return of active funds that are not being discussed.
These people have personal interests attached to active funds.
The data that Warren Buffet uses states that 80% of the funds don't beat the index. But 20% of the funds beat the index and they beat the index by a good margin. So my job as a retail investor is to do my research and find/make a bet on that outperforming 20% instead of being a sheep in a herd and complain.
@@shyamfootprints972 l
Dear Innocent Investors, If you don't want to track performance of each fund and switch based performance just blindly invest in index fund. If you want to invest in actively managed you need expertise to analyze. Long term at least 90% of funds will not beat index and point is what are the odds that you end up investing in remaining 10% fund? very less. These ppl want to make money from commission that's all they care.
Perfectly said
90% of active funds will beat index if you are picking up from top 5 amc
He must himself be holding Index funds in his personal portfolio 😀
th-cam.com/video/WQ5xD-sPcVE/w-d-xo.html
Correct brother
Heheee
As far as I know, indices are designed on the basis of free float market capitalization rather than following a sectoral approach.
Sir he asked you a simple question. Answer him in simple words. You talked about everything, literally everything, but you failed to answer his question. You didn't fail, you actually elegantly evaded his question and only confused the audience. "When you cannot answer them, confuse them". But people are not misinformed these days. They know well. You cannot fool them forever. The days of active funds are going away, the sun of index funds is rising.
There has been and there will always be 9-10 active mutual funds in market which will beat index by 3-4 percent. But million dollar question here is, that How any one can predict that which mutual fund is going to beat index after 10 years? Also its a proven thing that index like NIFTY50 beats 80 % of fund manager & that too without much effort or cost.
There is no guarantee that the active funds we have taken is going to beat index in near future....better go for nifty or index fund..relaxed rahoge...
I used to respect him previously..but after gaining some knowledge and experiences regarding mutual funds,my views have chandlged.He is just another agent of AMC'S.
Same here
Correct observation...Even I think so
सत्यवचन
True
What about good small cap mutual fund vs nifty 50 index fund?
Developing economy means index also develop in rapid manner. Sensex would hit 100000 by 2030. Currently Nifty50 and Sensex Index Fund Outperformed Actively managed Blue chip funds.
Almost 69% LC MFs could not beat their benchmarks. 92% Value Funds failed to beat their benchmarks.
Whether it's Global or Indian market, "Index funds" are always better !
"The aggregate of mutual funds will always lose to an index fund." - Warren Buffet
90% of active fund managers are never able to beat the index. Of course greedy fund managers will tell you to buy mutual funds so they can make commission
Many funds have beaten index fund over 10 year period. From where did u got this conclusion.
@@subodh5890 same place where you got your stats
mf like hdfc is giving negative returns...if you invest in index fund, you always get positive returns...more than 12-13 percent in long term...if you want to invest in blue chip fund than index fund is always better
Exactly
stats said for large cap index is better for midcap index is neutral for small cap index is worst
after new rule of SEBI of fund categorization in Nov 2019,
Nifty 50 Index will go parallel with Large cap active MF.
and index fund has 60% less expense ratio than active MF..
Its perfect time to shift to Index fund
Which is the best nifty 50 index fund to start investing in the mode of sip 🤔
@@crzymanmit any index fund, with least expense ratio
@@joshuafernandes3829 any good name to suggest as i haven't invested yet in index fund 🤔
@@crzymanmit Look Manish. The thing is, you should never ever trust a random person in the comment section. If you really want to invest based on my advise, research about the fund on your own.
I would suggest Tata Index Sensex direct growth plan.
@@crzymanmit Look for any index fund with low expense ratio, low tracking error and high AUM (more than 1000 cr.). That'd be enough.
UTI Nifty 50 and UTI Next50 are solid in terms of all these parameters. Combine the two in either 60% - 40% or 70 - 30% weightage if you can stomach that volatility or 80% - 20%/90% - 10% to shift the weight more towards Nifty50 for less volatility from Next50
If it sounds too complicated then just go ahead with Axis Nifty 100 Index Fund. That should simplify it more.
And always remember what John C. Bogle (the father of Index Funds) said: "Time in the market beats timing the market". Never leave the game, always be in - do proper asset allocation and rebalancing with time but don't ever leave the game
One interesting thing I have noticed is all Largecap & Midcap mutual fund return graph looks exactly the same as sensex/nifty graph. Then why to pay 1% extra for active mutual fund?
How else will Dhirendra get a commission if you don't pay extra 1%?
They are themselves buying huge real estate with your commissions and brainwashing us to sell our houses and park the money in MFs.
I am happy with 4% less returns coz i know my fund will survive no matter what.
But MTNL and Hind motors are long gone from index...nifty companies always changes with performances....and after the new classification of funds by SEBI,it is more difficult to beat index.And in near future ,it will be impossible..
Are they nervous that people will know about their truth? 🤔
You are right, now instead of large cap we should invest part of it in Nifty 50 index and second part in a Large and Midcap fund instead so fund manager have more flexibility to balance funds and get some alpha returns and more variety to choose from 250 stocks basket.
Looked at top left logo. Done watching video
Index funds are always good...
I prefer index funds and direct stock instead of active funds.
east or west index are the best
Agree with Dhirendra Kumar. Index ETF is crowded trade. Performance of index ETF depends on the committee that selects the constituents of the index. When Satyam scam broke out, all active fund managers immediately sold off the shares, but ETFs had to wait until the committee met and dropped it from the index. By this time the share had already lost significant value
But Indices are a collection of stocks and a single stock doesn't impact the gains much unless it has sufficient market cap to impact it. And if such big stock goes down usually all the stocks of that particular sector goes down . And also mutual funds aren't that good at generating gains cuz they can't keep sufficient money in cash even when they know that market is in a turmoil. When the pros and cons are compared , index funds are better in many ways albeit few funds do outperform sometimes
IRCTC has been listed in market..RVNL also listed and other one will also list..Index will always do rock
Oho...Wait for 10 years, IRCTC and all this crap will destroy your wealth 😂
Say enough to mutual funds, stick to Index funds. You’re set for your life!
I will invest in both Index & Active Funds (different categories), just so that I have best of both worlds
There is no best in active fund. Its like finding a whale poop in the ocean.
Index can beat large cap active funds but not midcap and small cap funds
@3:95 He says "Can you imagine indian railways being part of stock exchange"
We now have Irctc listed in nse and its one of the most sought after stock by most AMC fund managers
That's just railway kitchen and other small business units in Railways. Not the entire Indian Railway corporation.
The fact remains that the fund managers do not invest in their own funds...Why? It is not only Buffett but Jack Bogle who was the first one to go against these managed funds who only make money for themselves and for the fund but not for the investors.
Parag Parikh invests in his own fund
He is saying “sectors are not properly synced” then what is the issue in investing in Nifty index fund?
When one is giving money to mutual fund ,one relies on research,management ,expertise to hold ,buy or sell .in index fund it is ready made.one or two multibaggers are enough to lift the fund.i will go for active fund .
If everyone will start investing in index funds …. These mutual fund companies will end up in bankruptcy 😂…..
HIS PAIN & IRRITATION IS VISIBLE 😂
Every fund is binded by sebi guidelines. So can't possible.
I'm 24 and started 2 SIPs in Index Nifty and Next 50 mainly for retirement last year. Planning to get 1 active this year. Then will mostly focus on getting equities. I think 2-3 MFs is more than enough.
see no number like 2-3 can be fine. Always try to diversify your portfolio among different domains like Small cap, Mid Cap, Large and Mid Cap, Flexi Cap , etc... you may choose some or many based on balanced diet you want to have and increase proportion of small and mid caps to increase returns with increasing risks and vice versa
But large cap cannot beat nifty 50...for midcap ,we have niftynext50
Fr smallcap
Is nifty next 50 better index fund than nifty 50
@@kaushik3995 depends
Passive index funds charge as low as 0.17% . Active mfs charge upto 1.7 % to 2% per year.
So in this context, active funds charge 10 times more than passive funds. So MF industry people will always support active finds because thats where they get their commission.
Tata nifty index fund has an expense ratio of 0.05%. Now compare that to an active fund charging 1 to 3 percent expense ratio. So 3 - 0.05 = 2.95 which is a whole 295 bps lower. So instead of me getting say a 10% cagr, I will b happier to get 12.95% cagr. Or should I say, my return of 1 crore in 30 years via active fund investing becomes 1 crore 29 lakh in the same term via passive index fund. I am not dumb to pay 29 lakh to a fund manager as commission just for him breathing in and out for 30 years.
Time has changed... Like dinasour vanished... Mutual fund companies will be vanished soon....
No matter he will promote mutual fund industries.... They only care for commission... Nothing else....
सारी रामायण सुना दी लेकिन मतलब की बात नही करी.
Good to see so many people trust index funds...apart from few very good fund houses, others are a bunch of idiots who don't even know proper basics of stock picks
On the top of video you can see Quantum mutual fund which itself a Active fund then how the hell can they praise Index funds, it need guts😁
Both works in its extend
Index investing has got advantages and disadvantages.
I hear all these guys regularly
I do mix both so I don’t worry about one side argument.
After all money is to enjoy, not to compete 🤞
No disadvantages. I am a regular investor in Nippon India Nifty Bees (ETF)
What the hell is he explaining? I’m sure no one understood the last 2 mins. He is just throwing all the terms he learnt in his finance class.
🤣🤣🤣🤣🤣🤣🤣🤣🤣
If u cannot convince then confuse..that's what we do in advocacy profession.
Buffet says the probability of a fund beating the index is like flipping a coin. So u are at less risk investing in index than a fund.
...even better, just handpick companies from the Index and filter out the bad ones (PSU companies, oil companies, steel, cement, etc), and you are left with 15-20 good companies. These top 15 companies from within the Index will outperform the Index of 50 companies.
So true!❤️
I agree with him. He isn't wrong
Mutual funds are just legal Ponzi schemes. Please do your own research and invest directly in markets with proper research. Don’t shy away from hardwork. Plz also learn hedging and keep your portfolio hedged . I am working for a big company and I know this scam.
Noooooooooo. Wrong man. Invest in index and forget for 30 years. After 30 years you will get compounded assured returns. As indian economy is growing your money will grow
Do u know about Nikkei225 1989 crash??
@@ramprasath9965 Japan is a developed country and india is a developing country
So there is a huge way for development in india
So we can't expect same to happen in india
Index fund is simple and invests in india economy. Even government is believing the index and investing public money in it. Can this guy recommend a mutual fund which can last for next 25-30 years. He encouraging people to invest based on past records?
Exactly, 95% of the mf will not be their after 25 years
Chirag Malik This guy only talks short term and last 10 years was the longest bull market, we don’t know if they can outperform in a span of 25-30 years
No mutual funds can beat an Index fund over a period of 30 years. PERIOD.
Every actively managed fund which are in market today will vanish by 2050 and new bullshit comes.
Blindly invest in Index funds which have low expense ratio.
Peaceful life.
He has a point. Only index that's hard yo beat is the s&p 500. Everything else is crap index. Better allocate 75% in S&P, 15% in 3 individual bets in india and 10% in US treasury bonds.
S&p 500 is not growing........Investors need good returns......Better to invest in Nifty 50
@@naveenjose7710 Rupee depreciates compared to dollar. Take that into account as well.
How many investor's return beat index returns... Everyone is speaking just about fund returns but not investor's return
He think he is having much more knowledge than warren buffett but time will tell him his mistake very soon.
"It's amazing how difficult it is for a man to understand something when he's paid a small fortune to not understand it" - Upton Sinclair
He makes a living out of recommending , reviewing and reselling MFs. No need of advisory for index funds. So he will never agree. When he has to advocate Index MF he will say indian mkt is much smaller than US mkt so if US mkt is well researched then it doesn;t make sense to believe that indian mkt is unresearched.
2:00
"Indexes are very stupid..." - Dhirendra Kumar 🙄
But for smallcap MF actively managed funds are better than index funds right?
Inki dukaan par Fark padta hai bhaai isliye index fund sahi nahi hai
Awesome 😂😂😂😂😂
Index fund fund is always the best choice . Mutual funds returns are not consistent. Mutual funds never follow sensex or nifty . Mutual funds managers cannot invest more than 5% in any good stock...so they end up in average returns . Mutual funds expense ratio is 2% which is eating your returns even when funds don't perform . Mutual funds still charge you when you are at loss.
Index funds are best... Their charges are even low 0.1
Maybe in India index is not good yet but in USA index is great
Crash can happen at any time to any fund at then how Index fund are bad and MF is good, anyways listen to everyone and take ur decision wisely
Index fund is most stable form of fund
Buffet is wrong, this clown is right 😂😂
Bhai😀😀😀😀
He never said Buffer is wrong. What he said Buffet can buy rail road stocks but indian investors can't
hahah...
Haha... 2-3% churning,tax incurred, active management fees .
Over the period of years they will mean revert to the index return.
One great bear market is all you need for active managed mutual fund to revert to the mean.
I suggest pay for an advisory that is very reputed and gives you 10 stocks or so and has a proven track record or so. Buy these 10 stocks as SIP and you will beat any mutual fund even if you get same return you earn about 2-3% more than that mutual fund.
Remember even if you get 1% less over the period of 30 year. Compounded, you half the amount that you could have earned with that additional 1 %
@sandesh pawar. Can you name some advisory services which can give 10 or lesser, best stock for long-term investment.
Mr Dhirendra Kumar is an encyclopedia of Equity . Amazing confidence . Very crisp and very well researched .
Thank you. Keep watching!!
Direndra is a rubbish🗑
Index fund is better than active fund
This person is Misguiging people.. Don't listen to him. Index funds always beat active mutual funds.. Better you go with stats.. He is speaking for is own profit motive.
ye harshad mehta hai bhai...
So he is technically saying he knows better than stock market genius warren buffet.
He is just saying it doesn't work in India
Quantum fund is not beating index and companies such as mtnl,ge shipping done badly so they are out of index
Index funds are discouraged by active fund managers and big investors because these people have self interests by making tons of money from expense ratios in active funds. VR also has interests not encouraging index funds as they won't be able to sell their magazines or premium services, because at the end every fund manager, analyst ties the results back to index.
His explanation is so confusing..his speech is missing full stops
Watch varun malhotra videos. If i is so easy to make money using mutual fund PM will invest all of his money in mutual funds. Stop misguiding people.
Index will give us decent return in longer term horizon when you compare to active fund.
for large cap index fund do wonders only index funds for midcap its 50 50 save that damn expense ratio for small cap mutual fund is way way way better than nifty 250 tri
I am planning to invest for 15+ years in mutual funds
Mirae emerging bluchip
Axis mid cap
Sbi small cap
Should I take 1 specific large cap or large and mid cap ( mirae emerging blue chip) will be OK for my portfolio
No matter how expert you are,
You will not be able to beat the averages- the index..
Thats a mathematical certainty.
How can this chap debate Warren buffet?
Paise ka chakkr😂
Aap jante hai angrejo ne bharat par raj kyo kiya ? In jaiso ki vajah se. Abe warren buffet galat aur tu sahi ?
Great insights for direct equity investors. They will appreciate why their portfolio could not beat indices like Sensex or Nifty.
A K Asnani it goes the same for AMC’s Fund Managers not being able for beat their respective indices.
I unsubscribed this channel after watching this video
You cannot beat index by investing in index funds...
Sometimes you can. Because the tracking difference of many funds these days are so varying from the index they track.
The engineering student who have explained in viva can relate this
LOL 😄
What is he talking about !? 🙄
He has conflict of interest with his business ans hence is against index. Index is the best way of investing for comman investors.
He is right. The data that Warren Buffet uses states that 80% of the funds don't beat the index. But 20% of the funds beat the index and they beat the index by a good margin. So my job as a retail investor is to do my research and find/make a bet on that outperforming 20% instead of being a sheep in a herd and complain of getting slaughtered. I try to do that and learn each day and each day I become more knowledgable with the goal of beating the index every year by selecting the right mutual funds each and every time. I think finding the 20% outperforming funds is not as difficult as people think it is.
Can you suggest an actively managed fund which can beat Nifty Midcap 150 index fund in the next 30 years.I am starting to do SIP till 2050.I am working in another field,and I just want to invest without research and headache.
There is no actively managed fund which will beat Nifty index for long term.
All high performing funds will vanish by 2050,or they will have to Rebalance and charges are incurred,expense ratio of funds.So it's best for ordinary people for long term they can blindly invest in index funds.
I’d like to see the data that shows that mutual funds (after expenses) beat index funds by 4%.. this guy is just selling mutual funds so that he doesn’t lose his job.. btw, a 4% additional return over 16% when compounded would result in a lot more than 25% more money, so he doesn’t even know basic financial math
Don't outright reject his words...Just find it and compare it with TRI index.Know why TRI index is important while comparig with index fund.
Why people don't generally invest in gold fund which has low expense ratio ,...Just find it. Gold also gave equivalent or superior return in comparison to sensex but lagged behind if compared with TRI index. You people have mind washed by groww and etmoney apps.🤣
US market is more mature market then us so index fund is good for them but not for us as we are developing country
index funds work well in all markets because of the saving in fees
Index fund outperforms 90% of actively managed MFs
Pls go and read good books on investing, issue settled unless you r from mutual fund industry.
Developing economy means index also develop in rapid manner. Sensex would hit 100000 by 2030. Currently Nifty50 and Sensex Index Fund Outperformed Actively managed Blue chip funds.
At 1:29 by mistake he said impact will be total 25%, in fact it would be much much more due to compounding.
A K Asnani no bec many mutual funds will underperform the index
It will be less until 6.582 years, then it will be more.
After the first year, "mutual fund" would have 120% original capital while "index fund" would have 116% of original capital. "Mutual fund" would be 3.448% richer.
After six years, "mutual fund" would have 298.984% while "index fund" would have 243.640% of original capital. "Mutual fund" would be 22.716% richer.
After seven years, "mutual fund" would have 358.318% while "index fund" would have 282.622% of original capital. "Mutual fund would be 26.783% richer.
I don't think anyone trusts this guy to give investment advice 🤣
He’s trying to populating active mutual funds schemes. Who ever be patience to invest in index funds in longer horizon those 😊will get good and decent returns.
Not any logical point to comparison with index fund vs mutual fund.
Only index fund best long time I am 10 years investment all category fund but best suitable only index fund best
Dude atleast remove the Quantum mutual fund watermark
This gentleman admits that when the markets perform poorly, the index fund does better than most actively managed funds because there are plenty of actively managed funds compared to passive funds.
While that might make sense because he's attempting to make a numbers comparison. The handful number of passive funds vs. the huge ocean of actively traded MFs.
However, he doesn't explain how Index Funds can be a lot safer to invest in because the least they can do is generate suitably more certain returns compared to a Bank FD in the longer run.
Look at the bright side. You are capable of owning equity in firms that are performing very well in the market.
Trying to say that a Nifty index must represent each and every sector in the country would be a little harsh on the companies that are not capable of performing as well as those currently in the NIFTY 50. I can understand that most of these companies, despite lesser sales or operating profit must be a part of the NIFTY, demeaning the index as a flawed metric is simply foolish for the novice retail investor.
Index fund in India...i mean loom at Nifty . bc ab tak usme Coal India, Hindustan Copper, IOC NTPC jaise kachre daale hue hai... 🤣🤣
Bhai thoda kum joot bol
Fund manager they own do not invest in the fund they manage. Bhai commion ke liye kitna joot bologe.
He was so wrong about psu 5 years back....😂
Wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong wrong
Conman
All funds cannot beat the market.
4% more than 16% is 25% more profit not 25% more money.
And I'm in the UK!
Actually im emerging markets even less fund managers beat their index!
But for Indian investors, beware, your economys rapid growth does not mean Indian stock indices will also do well. If I lived in India I would hold 100% in a global index fund. Indias stock market is new, untried and untested and right now it's very over valued.
@@tc9634 How to invest in Global Index fund ?
@@tc9634 Unfortunately Indian investors do not have the opportunity to invest in global index funds which typically follow the MCSI world or some other index.
We have just index funds which follow the Indian index sensex or nifty.
We have a NASDAQ ETF available but that has liquidity issues.
Indian mutual fund industry does not want to promote index investing as active management still gives them more commission.
@@sutchak can you buy ETFs?
@@tc9634 Yes but those ETFs have to be listed on the Indian stock exchanges.
We don't have much to choose from when it comes to global diversification