Prudent Money Manager

In this article, I am covering the recent developments in the space of P2P Lending in India and have explained the recent developments in P2P lending in detail. In the month of January 2018, India's leading peer-to-peer lending companies have come together to form the Association of P2P Lending Platforms. The first-of-its-kind association will act as a representative for its members, as well as the country's P2P lending industry. In addition, the association will work in conjunction with the government and regulatory authorities in matters of compliance, and to further the cause of financial inclusion in the country.  The association will actively work towards creating awareness about online P2P lending in India and promoting its merits as an innovative and high-yield asset class among individual and institutional investors. In line with this aim, the association will enter into strategic partnerships and collaborations with other stakeholders or industry players, org...

With the increase in financial awareness and internet usage in India over past few years, more and more trading is being done online. Many investors are looking for saving their transactional costs. This has given rise to the concept of Discount brokers. Discount brokers offer very competitive brokerage rates as compared to traditional full service brokers. What are Discount Brokers? The discount broking is a concept where a broker charges relatively lower commissions as compared to market norms and attract the existing clients of other firms in the field. They usually offer their services online to keep their costs low. Discount brokers do not charge an annual service fee or maintenance fees which typically cost up to Rs. 300 to Rs. 1000 in case of full service brokers. Discount Brokers in India Discount broking is a very recent trend that started just five years back in 2010. Discount brokers charge a reduced commission and do not provide investments advice. The best k...

Since Indian markets (SENSEX and NIFTY) are making new high every day, suddenly there is enormous interest in investing in direct equity or in equity mutual funds. In this article, I am not going to discuss about the right time to invest or how to invest (through direct route or indirect route using mutual funds), but I will discuss the investment approach followed by famous investor of all the time - Warren Buffett. I believe that, after reading this article, most of the readers will able to make some judgement about the current market scenario and will able to keep aside the noise generated by various day to day news and will able to focus on the investing approach narrated here. Warren Buffett is one of the most successful stock market investors of the past several decades. His entire approach is to focus on the value of the business and its market price. Once Buffett finds a business he understands and feels comfortable with, he acts like a business owner rather than a ...

In this article, I will cover various types of Debt Funds and how these can be useful for your different investment needs. Different Types of Debt Funds Let me discuss different types of Debt Funds and how they address your different financial needs, based on your investment horizon. Long term Debt Funds (Dynamic Bond Funds): These funds invest in Government securities with varying maturities. Since these funds invest in Government securities there is no credit risk. However, they can be susceptible to interest rate risks, depending on their average durations. Over a long investment horizon of 5 years or more, long term debt funds can give higher returns as compared to other types of debt funds. Investor should have at least 2 to 3 years or more as investment horizon for investing in Long Term Debt Funds or Dynamic Bond Funds. Income Funds: Income funds invest in a variety of fixed income securities such as bonds, debentures and government securities, across different mat...

During last year, while planning our family vacation, we realized that, if we follow some simple rules; then we can save substantial amount on flight tickets in India. This article covers this aspect of Managing money prudently – Save money prudently! Saving money by booking tickets on Tuesday & Wednesday Some of you might be aware about this fact that, if you book air ticket during week-ends or on Monday/Friday; it costs you more as compared to booking air ticket on Tuesday and Wednesday. Always, do not forget to check prices on Tuesday and Wednesday for all your air ticket bookings within India on various web sites of Aggregators and also individual air lines web site. You can easily save up to Rs. 4000 by doing this, based on the distance and city where you are travelling. At times, the price of air tickets on the website of Airlines is cheaper than the Aggregator web sites like makemytrip, cleartrip and ezeego and also the convenience charges of airline website is genera...