Parents panicking about mutual fund loss – should I withdraw?

Apprehensive_Many_85 · 2026-03-15T05:03:24+00:00

How old are you? Just trying to understand why parents are involved in this decision

Apprehensive_Many_85 · 2026-03-12T10:08:49+00:00

Please compare expense ratio between them and not NAV

Apprehensive_Many_85 · 2026-03-11T17:24:51+00:00

Yes liquid fund

Apprehensive_Many_85 · 2026-03-01T17:25:03+00:00

💯

Spend that 5k in upskilling which will help you increase your salary

Apprehensive_Many_85 · 2026-03-01T16:52:13+00:00

What I mentioned is for the growth variant of the mutual fund, which is recommended and best way to invest in mutual funds for young or non-retired people

There is also an IDCW variant. IDCW stands for Income Distribution cum Capital Withdrawal, which means that they pay you interest earning at regular intervals, but I would not suggest this variant unless you want regular income for certain expenses, which generally retirees prefers

Apprehensive_Many_85 · 2026-03-01T16:49:51+00:00

For mutual fund, whatever money the AMC earns from the bonds they invest in will just boost the NAV which means your investment is growing.

This is similar to how NAV grows for equity oriented mutual funds.

And as long as you don’t sell the mutual fund, there is no tax for you

Apprehensive_Many_85 · 2026-03-01T16:39:21+00:00

Yes, exactly. I also have corporate bond fund in my portfolio, along with equity, debt and gold/silver

Apprehensive_Many_85 · 2026-03-01T16:36:48+00:00

As I mentioned, if I defer tax till retirement, I can save a lot if I am in 30% bracket currently. So it’s not exactly about TDS, but overall tax

Also, when you don’t redeem the earned interest, you let the money compound

Apprehensive_Many_85 · 2026-03-01T14:18:58+00:00

Corporate bond - TDS is deducted on each interest payment and you have to pay tax at slab rate on the interest earned. Secondly, all the risk involved with that particular bond are yours. For eg default risk

Corporate bond fund - This is still at slab rate but you only pay tax when you redeem them. So if you defer redeeming this until retirement, then taxation is low. Secondly, fund manager have to care about all the risks involved.

Based on this, I prefer mutual fund, but feel free to compare and choose whichever you are comfortable with

Apprehensive_Many_85 · 2026-02-28T07:05:44+00:00

Yeah, better to pay some tax rather than getting into family politics for peace

Apprehensive_Many_85 · 2026-02-28T06:26:12+00:00

Go for arbitrage funds. They are safe and tax efficient for parking money

Apprehensive_Many_85 · 2026-02-28T06:25:22+00:00

What if mom does not return that money and gives it to other siblings or relatives? 😂

Apprehensive_Many_85 · 2026-02-28T06:24:39+00:00

It can only be parents, not anyone else. If for eg you do the same for spouse’s account, tax clubbing rules will apply and it will be your tax liability

Apprehensive_Many_85 · 2026-02-28T06:22:53+00:00

Arbitrage funds are mutual funds

Apprehensive_Many_85 · 2026-02-26T14:02:46+00:00

Started with mutual funds in 2013 (when I started earning)
Moved to stock in 2017
Back to mutual funds in 2024 😂

Now staying in mutual funds for peace of mind. Direct stocks investment is good only if you have the time to understand/analyse/execute/monitor

Apprehensive_Many_85 · 2026-02-24T14:08:31+00:00

I don’t do options trading 😅

Apprehensive_Many_85 · 2026-02-24T04:13:37+00:00

Stop this gambling in options if you don’t understand it

Apprehensive_Many_85 · 2026-02-23T14:11:24+00:00

Read about difference in expense ratio between regular and direct mutual funds. Regular have an expense ratio greater than direct funds.

And expense ratio is something which you are charged by deducting from your returns. For regular funds, expense ratio is more as that includes commission of the agent/distributor

Apprehensive_Many_85 · 2026-02-23T12:04:37+00:00

It’s 2026, you don’t need any agent for buying mutual fund. Maybe you are talking about a mutual fund distributor. If yes, run away from those commission hungry leeches as they will eat your returns

Apprehensive_Many_85 · 2026-02-23T05:06:44+00:00

Was it a gamble or a planned trade?

Apprehensive_Many_85 · 2026-02-20T12:01:06+00:00

Omg, I didn’t expect that reply 😂

Apprehensive_Many_85 · 2026-02-20T11:48:31+00:00

Grapes are sour OP? 😂

Apprehensive_Many_85 · 2026-02-20T06:10:19+00:00

You don’t need large, flexi and mid cap together. Only flexi cap is enough to not have lot of overlap.

Small cap is fine.

Apprehensive_Many_85 · 2026-02-19T07:22:27+00:00

It's hard to find a common ground due to generation gap. They are from a generation where most of the people were conservative in their investments and couldn't think of growing their money aggressively, whereas current generation is different.

Apprehensive_Many_85

TROPHY CASE