A winning case for SIPs

Systematic Investment Plan (SIP) is an investment avenue where the investor builds a portfolio through specific sums invested at regular intervals that may be monthly, quarterly or annually. By the very nature of being a systematic mode of investment distributed over an extended period of time, SIPs have an innate advantage of remaining immune to market-induced fluctuations.

GSecs

In general, SIP requires a fixed amount to be invested periodically. Clearly, this is a convenience to investors who are beginners and those who prefer to invest in small pockets.

For investors who prefer to ‘step up’ their installment amount at defined intervals, there exists the option of Step-up SIPs, hosted by several CAMS serviced funds.

In the wake of many such advantages, it comes as no big surprise that nearly 27% of mutual investors prefer to invest through SIPs (Source: SEBI). According to recent data that was shared in the Parliament of India, SIPs in mutual funds have witnessed a growth of 124% in the last two and a half years.

Accordingly, between March 31, 2014, and October 31, 2016, SIPs rose from 60 lakh to a whopping 134.5 lakh. The object of real interest rests with the fact that more than 46% of the SIPs as measured on end of October 2016 are those from B15 towns.

According to MFDEx CAMS data bureau services, which tracks about 92 per cent of the MF industry, there were 1.02 crore live SIP accounts for the funds that it services, at the end of July 2016. This corresponds to a growth of 16.5 per cent from 87.51 lakh SIP accounts at the end of December 2015. CAMS data also showed that it counted 53.71 lakh accounts in June-2014, suggesting that the number of SIP accounts has nearly doubled in two years.

N K Prasad
Mr. N. K. Prasad, President and CEO, CAMS

Mr. N. K. Prasad, President and CEO, CAMS attributes the SIP growth to AMC initiatives on investor education and awareness bearing fruit. ‘Investors are increasingly adopting systematic investments to optimize investment returns from the volatile equity asset class,’ he expressed.

As mentioned above, it is heartening to see that smaller cities have taken a great interest to SIPs too. ‘Investors in B15 cities too are adopting systematic investment habits and account for over 40% of new systematic registrations. We look forward to MF industry helping retail investors create wealth over long term via regular and systematic investments in Mutual Funds,’ stated Mr. Prasad.

About CAMS

CAMS Logo High ResolutionComputer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment funds. To know more visit http://www.camsonline.com

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Weekly Roundup – December 3

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CAMS brings you a weekly glimpse at the key happenings in the BFSI sector, in India and abroad. Regulatory updates or important news, here are some which might have had an impact on the sector.

OECD takes an optimistic stance with respect to the US economy; the organization affirms that a thriving US economy would also accelerate growth at a global level.

Mutual Fund SIP

Experts at Goldman Sachs stand by their opinion that rise in oil prices would trigger better growth prospects for the world economy.

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Hon’ble Finance Minister of India stays positive about launching GST on schedule; also affirms that cash crunch is expected to settle down by end of 2016.

RBI

RBI revises the ceiling of market stabilization scheme bonds to INR 6 Trillion, corresponding to rising liquidity in the country’s banking sector.

Central Ministry confirms that India’s Central Bank is all set to specify limits pertaining to cash withdrawals from banks and ATMs.

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SEBI decrees stock exchanges to provide services for direct connectivity to mediate co-location facility of bourses. A quarterly report of compliance needs to be submitted by each exchange to SEBI with respect to the same.

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SEBI in conjunction with IOSCO might soon open up facilities for selling Indian Mutual funds in the rest of Asia.

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IRDAI authorizes insurers to join the Joint Lender’s Forum (JLF); governed by guidelines decreed by the RBI, JLF address issues pertaining to stressed accounts.

About CAMS:

CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit http://www.camsonline.com

CAMS wins Dun & Bradstreet Business Excellence Award 2016

1 2016 has been an exciting and rewarding year for CAMS. We are wrapping up this calendar year with a prestigious award – Dun & Bradstreet award for ‘Business Excellence – Mid Corporate Segment’ in the IT/ ITeS sector.  At a grand felicitation held on November 29th at Taj Palace New Delhi, the awardwas presented by Honorable Minister of State for Finance & Corporate Affairs Shri Arjun Ram Meghwal and Honorable Minister of State for Micro, Small & Medium Enterprises Shri Haribhai P Chaudhary.  The event was themed as “It’s Time to Let the World Know”.

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The nomination for the “Business Excellence – Mid Corporate Segment” award was subject to rigorous evaluation by an eminent jury that included, Mr. M.V. Tanksale, Former Chief Executive of Indian Banks Association and Chairman Central Bank; Mr. P. Dalal, Former Executive Director EXIM Bank, and Mr. Bhushan Gagrani, Former Vice Chairman and Managing Director CIDCO.

CAMS ranked high across all of the following eight parameters to win the award:

  • Business Model
  • Operational Excellence
  • Sales and Marketing
  • Product/Service Quality
  • Innovation
  • Digital Adoption
  • Human Resource Management
  • Customer Service Excellence
  • Corporate Social Responsibility
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The award was received by N K Prasad, President & CEO, CAMS.

Coinciding with the award function, Dun & Bradstreet launched a publication ‘Leading 100 SMEs/ Mid Corporates of India 2016’. Click here to download the e-copy, CAMS has been featured on Page 97 & 99.

Weekly Roundup – November 19

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CAMS brings you a weekly glimpse at the key happenings in the BFSI sector, in India and abroad. Regulatory updates or important news, here are some which might have had an impact on the sector.

The United States of America to enter the Oil Export domain, following the approval of The Bureau of Industry and Security (BIS) for export of ultra-light crude identified as Condensate.

Mutual Fund SIP

Economists and experts predict modest growth for EU economy, in the year to come. Suggestions proposed at the opinion poll conducted by Reuters for changes in the workings of the Central Bank to allow more room for purchase of eligible bonds.

index

Finance Ministry issues warnings against misuse of Jan Dhan accounts for conversion of illegal funds.

RBI

RBI to issue fresh set of regulations governing the exchange and deposit of Rs 500 and Rs 1000 at banks.

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SEBI relaxes norms for clearance and verification process for account-opening of FPIs; initiates online verification services for the same.

stocks

CDSL data affirm the positive development that Indian markets are witnessing as investments from domestic players dominate; diminishing dependence on Foreign investments seen as a healthy sign.

MF

Mutual fund industry witnessed steady growth in October, owing to sharp rise in folios; Folios in Equity funds alone attribute for 3.79 crores of the 5 crore mark reached in the last month.

AMFI and MF industry to come together for the cause of investor education in the country; Rs 300 crore to go in as investment for materialization of the same.

irdai

IRDAI to sanction insurers the claim to stake-holding beyond the cursory 15% limit, well within the scope of agreement with principles of good risk management.

About CAMS:

CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit http://www.camsonline.com

 

 

Riding the Wave of Change

According to latest information from SEBI, mutual fund folios have exceeded the Rs 5 Crore mark as on October 2016.

This growth is attributed to the fairly consistent and continuous participation from investors, irrespective of the many tumultuous occasions such as the Brexit. If anything, Indian investors are known for holding their calm despite the storm. In other words, Indian investors take advantage of volatile market situations and resort to “opportunistic buying”.

While Brexit was an international event that effected an impact on the country’s economy, we now stand witness to a phase of major change where the contours and layout of the Indian economy are being redefined. India’s altered stance on FDI regulations in terms of GST, and the recent demonetisation have triggered positive responses from Economists and Policymakers across the world. The country’s position on FDI regulations in terms of defence, civil aviation, broadcasting services, and pharmaceuticals is expected to boost the potential of bilateral relationships with international trade partners, which presents opportunities for assured investment inflows from international sources.

Mutual Fund SIP

Good times ahead for Mutual funds

Demonetisation has impacted and boosted cash inflows into banks, which in turn have mobilized the same into investment avenues including the mutual funds. Experts foresee a possible rate cut over the next one year along with ease of inflation, rendering mutual funds more attractive for existing and potential investors. Moreover, the high level of investment is expected to flow into liquid funds.

MF

In addition, demonetisation has also has triggered the drive for increased tax compliance and improved revenue for the government.  In combination with increased liquidity in banks,  this is likely to lead to gain in terms of government bonds. Needless to say, Mutual funds are one of the safest avenues for investments in government and securities, with associated tax benefits. For the next two months, the picture looks positive for mutual funds.

CAMS – adding value to Operations in times of robust business

As the country’s premier RTA, Computer Age Management Services (CAMS) provides multifaceted services to AMCs, keeping pace with massive volumes of transactions.  The company continuously improves its IT infrastructure, while meeting the growing demands of its client AMCS, with innovative technology enabled service designs that deliver speed, standardization, transparency, regulatory compliance, data confidentiality and cost efficiency. In Mutual Fund services , CAMS handles approximately 130 Million transactions per annum with near zero failures.

Besides offering specialized services and solutions to its B2B partners, CAMS also functions with the unique ability of a B2C service provider that attends to end customers’ needs through an assortment of touch points, viz. Pan-India network of Service centers, White Label Call centers and White Label Online Services.

Furthermore, the CAMS Common OTM facility benefits investors now, more than ever. It allows users to circumvent the long queues and paper-filling procedures at banks. CAMS eKYC and myCAMS are other key initiatives that have greatly reduced time and effort to be invested in KYC and Mutual fund investment processes.

About CAMS:CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit www.camsonline.com

Demystifying Common One Time Mandate

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Common One Time Mandate, as illustrated in the preceding article that underlined The Power of One, is a one-time registration process that renders immense paperless convenience for investors who seek to invest in Mutual fund schemes.

CAMS Common OTM brings home several advantages and service benefits to the investor, besides helping them circumvent multiple repetitions of cumbersome paper-based form-filling procedures.

Freedom to invest without bank/branch/location related restrictions

CAMS Common OTM facility is not limited to constraints concerning a specific bank/branch/location. Any bank that is a participant of the NACH (National Automated Clearing House) system, allows for registration of Common OTM facility, at any given branch of its. Currently, CAMS Common OTM can be registered across as much as 800+ Banks across the country.

For those with existing mandates –  

Existing registered mandates will not be canceled when CAMS Common OTM is set up.
When transacting in those specific MFs, you will have the choice of MF specific OTM or CAMS Common OTM. While transacting in any new fund where you do not already have a mandate, CAMS Common OTM will be available as an option to cheque/ net banking.

Case of a forgotten folio number? Relax.

The Common One Time mandate is registered at PAN level of the first holder. There is no requirement to quote folio number while registering for CAMS Common OTM. This comes in handy for savvy investors with multiple investments and folios across AMCs.

Also, CAMS facilitates registration of multiple mandates at bank and account number level, at once. There is no restriction on the number of SIPs that can be registered through the Common OTM facility.

What can the investor do if s/he has forgotten the CAMS Common OTM Number

CAMS has an incredibly effective pan India network of Customer Service Centres (CSCs) conveniently located in cities across the country. In the event of a forgotten CAMS Common OTM Number, the investor may approach any of the CSCs and quote her/his PAN and obtain the Common Mandate Number. Alternatively, an SMS could be sent to a designated number with the specified text / or the CAMS Toll Free Call center could be reached to get the CAMS Common OTM Number.

For more information on CAMS Common OTM, click here.

About CAMS:CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit www.camsonline.com

A SIP in time for the Disciplined Investor

Reacting emotionally to fluctuating market moods is a common phenomenon that befalls even the most careful and well-intentioned of investors. It takes willful compliance to investment discipline to side-step such looming holes that often pop up in the event of unstable international, interconnected events.

Investment discipline is to an investor, what Yoga is to the body and mind. What seems unyielding and rigid in the early stages, gradually embeds itself into the practitioner’s conscious routine to such an extent that after a certain point of time, it becomes an element of habit.

Mutual Fund SIP

One of the essential basics of investment discipline is to have a sustained, long-term investment strategy and a well-planned asset allocation practice that is adhered to without change even during times of tumult in the market.

Systematic Investment Plan or SIP, where the investor builds a portfolio through specific sums invested at regular intervals that may be monthly, quarterly or annually, is one investment avenue that aligns perfectly well with the obligations of investment discipline.

Savvy investors understand the fact that equities render higher expected returns than fixed-income investments, but subject to market risks. By the very nature of being a systematic mode of investment distributed over an extended period of times, SIPs overcome this market-induced fluctuation.

In general, SIP requires a fixed amount to be invested periodically. Clearly, this is a convenience to investors who are beginners and those who prefer to invest in small pockets.

In case of Step-up SIPs, as hosted by most of the CAMS-serviced funds, the SIP installment amount could be ‘stepped up’ at defined intervals.

Investing in SIPs have become all the more convenient with digital services hosted by camsonline.com and myCAMS, which facilitate setting up SIPs, viewing of SIP status and canceling SIP. No physical request is required for registration done through myCAMS. For more information on investing in SIPs through myCAMS, click here .

Designed to empower users with digital convenience, more than 500,000 users have chosen the myCAMS app to manage their Mutual Fund investments, including SIPs. It’s time you choose too.

Download myCAMS now!

play store      apple

About CAMS:

CAMS Logo High Resolution

Computer Age Management Services (CAMS) is India’s premier Mutual Fund Transfer Agency serving over 62% of assets of the industry across 16 Mutual Funds. Leveraging superior technology, CAMS brings several innovative services to Mutual Fund investors and distributors. CAMS is also a service partner to leading Insurance Companies, Banks, NBFCs and Alternate Investment Funds. To know more visit www.camsonline.com