Category: Personal Finance

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat 

When Even the Rules Bow Out

In investing, we’re often guided by time-tested principles: maintain a balance in asset classes, diversify, and lean away from impulse. Yet, there are rare occasions when these “rules” must be questioned. A 66-year-old investor, comfortably supported by pension and rental income (even funding two holidays a year), raised a bold question: why hold any debt if income covers all expenses? His entire portfolio is in equity mutual funds and direct equity.

This raises a profound truth: financial rules are not commandments—they are guides. The measure of a rule’s validity is its alignment with your personal context. If your income flows are stable and predictable, and your lifestyle isn’t threatened by equity’s swings, perhaps you can bend the rule of maintaining a debt cushion.

But this is precisely why such decisions demand introspection, not defiance. When you step into uncharted territory, clarity becomes your best friend. Ask yourself: Are your future costs covered? How will volatility affect your peace of mind? Do you have a fallback buffer if equity markets falter? When rules don’t apply, discipline must step in.

In essence: A rule is only as good as the wisdom behind bending it. If your financial fundamentals are strong, and purpose and prudence lead the way, then breaking a rule isn’t foolish—it’s strategic. But never break them out of arrogance—only with clarity and intent.

Personal Finance

• I built a house on inherited land; how will I be taxed if I sell it now? He inherited a 2016-purchased plot, built a home, and now lives there. As he considers selling, he wonders how capital gains will apply—and the answer isn’t as simple as it seems. Read here
  
  
• Rs 3,000 SIP Vs Rs 3 Lakh Lump Sum: Which One Is Better? It is important to assess your financial objectives, current circumstances and risk appetite before selecting investment instruments. Read here
  
  
• Why serious illnesses demand more than a standard health policy? Regular health insurance pays hospital bills but can’t replace income during a major illness. Critical illness cover offers a crucial lump sum—a safety nets most people recognise only when it’s almost too late. Read here

Investing

• The Ideal Level of Wealth: The idea of an “ideal level of wealth” is questioned, revealing surprising numbers behind the cost of a good life—and insights that might change how you think about money forever. Read here

• Understanding the Link Between Market Growth and Money Supply: Markets look high but are liquidity-driven, and a slowdown could cool the momentum. Big crashes seem unlikely—unless a shock hits. But one key ratio could change everything— to know why. Read here

Economy & Sector

• India’s $10 trillion destiny will be decided by 4 Ds: India is poised for a historic economic leap, projected to become the world’s third-largest economy by 2040. This ascent will be driven by four key forces: Development, Diversification, Digitalisation, and Decarbonisation, shaping a resilient and future-ready nation. These pillars will guide India’s transformation towards becoming a developed economy. Read here

• Four charts that show how Bihar fared on major economic indicators: The vote counting for the Bihar Assembly elections points towards a significant lead for the National Democratic Alliance (NDA). Here’s a quick look at how the state has fared on key economic indicators. Read here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat 

Avoid These Silent Traps: Protect Your Money and Future?

Not all financial mistakes are loud; some silently erode wealth through hype, EMIs, and procrastination. Ritesh, 29, lost ₹50,000 chasing a “guaranteed multi-bagger” stock on a Telegram tip showing how FOMO and emotional investing can override logic. Ankita, 30, overcommitted to multiple EMIs without an emergency fund, which led to bounced payments, a plummeting credit score, and a home loan rejection highlighting the hidden risks of debt. Sahil kept delaying his SIPs, thinking the timing wasn’t right, and ended up missing out on ₹23 lakh in potential wealth demonstrating the power of starting early. The common thread: emotions overpower structured planning.

The lessons are clear: pause before urgency, treat debt responsibly, and start investing now even small amounts. Automate your investments, stick to processes, and focus on research over hype. With discipline and timely action, these silent money traps can be avoided, and financial goals can be achieved.

Personal Finance

• Personal Loans for Travel: Smart Move or Costly Mistake? Borrowing for travel can be tempting, but experts warn against it. High-interest personal loans for vacations can derail savings and wealth creation. Only consider a short-term, partial loan if you have other assets untouched. Plan wisely—luxury experiences shouldn’t come at the cost of financial security. Read here
  
  
• Protecting Her Health: Insurance Plans Every Working Woman Should Know: Working women in cities face unique health risks, and insurers now offer specialized plans addressing these needs. Top options from Niva Bupa, Care Health, Star Health, Bajaj Allianz, HDFC Ergo, TATA AIG, and Reliance provide features like maternity coverage, unlimited restoration, claim bonuses, and flexible premiums. Choose plans based on coverage and lifestyle. Read here
  
  
• Life Happens: Your Guide to a Bulletproof Financial Safety Net: Life’s unexpected events job loss, medical emergencies, or repairs require a strong financial safety net. Build an emergency fund covering six months’ expenses, secure comprehensive health and term insurance, maintain access to credit, and invest in liquid funds. A mix of savings, insurance, and disciplined credit ensures financial resilience. Read here

Investing

• SIFs: Unlocking the Hidden Potential in Modern Investing: Specialised Investment Funds (SIFs), introduced by SEBI in 2025, bridge the gap between mutual funds and PMS/AIFs. With a ₹10 lakh minimum, SIFs offer advanced equity, debt, and hybrid strategies, professional management, diversification, and tax efficiency. They provide experienced investors access to niche opportunities, higher returns, and strategic portfolio flexibility. Read here
  
  
• Investing in India’s Booming InvIT Market: Opportunities and Insights: India’s InvIT market is set to triple to ₹21 lakh crore by 2030, offering stable, inflation-linked income and portfolio diversification. Investors gain exposure to income-generating infrastructure assets like roads, power, and logistics. While yields are attractive, liquidity, entry price, and tax treatment are key considerations for disciplined, long-term investment. Read here

Economy & Sector

• AI Hype Cooling Off: Potential Global Impact and Opportunity for India: Pramod Gubbi of Marcellus Investment Managers sees the AI bubble burst as a major global risk, potentially affecting India short-term but benefiting it medium-term due to low AI exposure. India’s domestic-driven economy remains resilient. Trade deal delays may cap upside, while selective global themes and cautious AI exposure offer investment opportunities. Read here
  
  
• Finance Minister Urges Shift to India-Focused Economic Strategies: Finance Minister Nirmala Sitharaman urges economists to adopt India-centric, data-driven economic models, integrating technology as a key production factor. Speaking at DSE, she emphasized bridging research and policy, multidisciplinary training, field immersion, and focus on fiscal reforms, financial inclusion, employment, and climate finance to shape policies reflecting India’s realities. Read here
  
  
• Investor Optimism Lifts India Bonds on RBI Whisper: Indian government bonds rose on heavy purchases over two sessions, largely speculated to be by the Reserve Bank of India. Investors, including insurers, pension funds, and the central bank, bought nearly ₹90 billion in bonds, boosting market sentiment following RBI’s cancellation of a ₹110 billion bond auction last Friday. Read here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart ki Baat

Gyaan Ki Baat 

Diwali and the Overspending Dilemma: Does Your Budget Vanish in the Festive Glow?

Every Diwali, lights aren’t the only things that sparkle — our expenses do too. From gifts and décor to travel and impulse purchases, spending often goes beyond expectations. It’s easy to justify these moments as “once a year” indulgences, but when unchecked, festive enthusiasm can derail long-term financial goals. Studies show that people tend to underestimate festive expenses by 20–30%, mainly because emotions take over rational budgeting during celebration-driven months.

A simple way to stay financially mindful is to plan your festive fund in advance. Parking a small amount monthly in arbitrage or liquid funds helps you accumulate a dedicated pool for seasonal spending without disturbing long-term investments. Discussing your estimated festive budget with your family and financial planner ensures accountability and clarity. It also allows better use of bonuses or incentives — instead of splurging everything, you can allocate a portion toward wealth creation and still enjoy guilt-free celebrations.

This Diwali, let your finances shine as bright as your diyas. Celebrate smartly, spend consciously, and invest purposefully — because true prosperity lies not just in earning more, but in spending with intention.

Personal Finance

• How Much SIP You Need to Reach ₹2 Crore by Retirement (at 10% & 12% Returns): Starting early with SIPs helps build a strong retirement corpus through the power of compounding. For a ₹2 crore goal, investing ₹20,217 monthly for 20 years at 12% or ₹33,302 at 10% can achieve the target. Longer investment tenures and consistent SIPs significantly reduce the monthly contribution required. Read here
  
  
• What’s Changing from November 1? Key Updates That May Impact Your Pocket: From November 1, 2025, key financial rule changes will impact daily expenses. Updates include new GST slabs, revised bank nomination rules, Aadhaar update charges, and pension submission deadlines. Additionally, PNB locker rents and SBI Card transaction fees are changing, potentially affecting savings and spending for individuals and households. Read here
  
  
• Claiming Capital Gains Exemptions: Is Dual Benefit Under Sections 54 and 54F Allowed?: A taxpayer can claim capital gains exemptions under both Sections 54 and 54F of the Income Tax Act for the same residential property, provided all conditions are met. Section 54 applies to gains from selling a house, while Section 54F applies to gains from other assets like mutual funds. Read here

Investing

• Shining Opportunity: Is Silver the Next Big Investment Bet?: Silver is experiencing a modern revival in India evolving from a traditional symbol of purity to a contemporary expression of design, sustainability, and accessible luxury. Once locked away, it now adorns homes and jewellery alike, blending emotional value with investment potential as artisans and investors rediscover its enduring beauty. Read here
  
  
• How to Build a Steady Monthly Income with ₹1.21 Crore and Your Future Earnings: A 37-year-old homemaker with ₹1.21 crore in various investments seeks steady income and optimisation of future earnings. Experts advise simplifying insurance to term plans, using equity index funds, RBI floating rate bonds, and deposits for income. For her mother’s plan, tweaking allocations and adding factor investing can enhance long-term returns. Read here

Economy & Sector

• Trump Denies Discussing Oil with Xi Amid Russian Oil Controversy: Trump avoided discussing China’s Russian oil imports during his meeting with Xi Jinping, despite criticizing India for the same. Experts say this weakens his sanctions on Moscow, as China remains a major buyer funding Russia’s war. Analysts suggest Trump prioritized US-China relations and trade deals over enforcing sanctions. Read here
  
  
• India Gets China’s Nod: Firms Licensed to Import Rare Earth Minerals: At least four Indian firms, Continental India, DE Diamond, Hitachi, and Jay Ushin have received Chinese licences to import rare earth magnets. The MEA also confirmed a six-month US sanctions waiver for India’s Chabahar port project, while India reviews implications of US-China rare earth and Russian energy developments. Read here
  
  
• Fed Trims Interest Rates Amid Uncertainty from US Government Shutdown: The Federal Reserve cut its key rate to 3.9%, its second reduction this year, to support growth amid a government shutdown that halted key economic data. With inflation still above target and job gains slowing, the Fed faces uncertainty over future moves while balancing growth and inflation risks. Read here
  
  

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.

CAGR Insights is a weekly newsletter full of insights from around the world of the web.

Chart Ki Baat

Gyaan Ki Baat 

When SIPs Aren’t Enough: Why Your Real Safety Net Isn’t Just Investments

Rahul, 35, was confident about his financial future. Every month, without fail, he invested Rs 50,000 in equity mutual funds through systematic investment plans (SIPs). “Compounding will make me rich by 50,” he would proudly tell his friends.

But life had other plans. One day, his company downsized, and Rahul was handed a pink slip. Suddenly, those SIPs that once symbolized smart investing became a heavy burden. His next EMI was due in a week. His father’s medical bills piled up. His son’s school fees were pending. The only option seemed to be redeeming his equity funds, just when markets were volatile.

The harsh truth hit Rahul: while SIPs grow wealth over time, they aren’t designed to protect you in a financial emergency. What he really needed was liquidity, money he could access immediately without losing value in a downturn.

The Takeaway:

• SIPs are powerful for long-term wealth creation, but they aren’t your emergency fund.
• Always maintain 3–6 months of living expenses in liquid assets.
• Investments should complement, not replace, your financial safety net.

In short: SIPs build wealth, but emergency funds protect it. Don’t let life’s curveballs catch you off guard.

Personal Finance

• Global Diversification: The Rise of Country Investing Among the Wealthy: The 2025 Henley & Partners Global Investment Risk & Resilience Index shows wealthy families shifting from traditional assets to “sovereign diversification.” By securing second passports in resilient nations like Switzerland and Singapore, investors safeguard wealth, mobility, and stability — making resilience the new cornerstone of global wealth strategy. Read here
  
  
• Home Loan Rates in October: Leading Banks Offer Between 7.35% and 10.25%: Home loan rates in October remain stable, ranging from 7.35% to 10%. Public sector banks like SBI and Bank of Baroda offer rates starting around 7.45%, while private banks and HFCs such as ICICI, HDFC, and LIC Housing Finance provide competitive options beginning at 7.45%, catering to diverse borrowers. Read here
  
  
• Post-Diwali Money Detox: A 7-Day Challenge to Reset Your Financial Habits: The 7-day post-Diwali money detox helps reset financial habits through daily steps — pausing non-essential spending, auditing expenses, automating savings, cancelling unused subscriptions, prioritising debt repayment, resetting goals, and rewarding wisely. This structured approach builds lasting financial discipline, turning festive overspending into an opportunity for mindful money management and stability. Read here

Investing

• New Nominee Rules from November 1: What Multiple Nominations Mean for Bank Depositors: From November 1, depositors can nominate up to four persons for bank accounts, specifying their share to total 100%. Successive nominees become operative if the primary nominee passes away, while simultaneous nominations allow concurrent allocation. Lockers allow only successive nominees. The rules aim to reduce disputes and unclaimed deposits. Read here
  
  
• Are You Investing in Mutual Funds the Wrong Way?: Many mutual fund investors focus only on absolute returns, ignoring fund health and risk. Experts advise using XIRR for accurate annualised gains, assessing fund consistency, risk ratios, manager track record, and benchmarks. Regular, data-driven reviews help investors make informed decisions, prioritising steady, long-term wealth growth over short-term profits. Read here
  
  
• SEBI Prohibits Mutual Funds from Investing in Pre-IPO Placements: SEBI has barred mutual funds from investing in pre-IPO placements, allowing participation only in the anchor or public IPO portions. The move ensures compliance with regulations requiring investments in listed or soon-to-be-listed securities, strengthens investor protection, and prevents mutual funds from holding unlisted shares if IPOs are delayed or cancelled. Read here

Economy & Sector

• SEBI Prohibits Mutual Funds from Investing in Pre-IPO Placements: SEBI has barred mutual funds from investing in pre-IPO placements, allowing participation only in the anchor or public IPO portions. The move ensures compliance with regulations requiring investments in listed or soon-to-be-listed securities, strengthens investor protection, and prevents mutual funds from holding unlisted shares if IPOs are delayed or cancelled. Read here
  
  
• This Week’s Inflation Report Raises Questions Over Data Accuracy: The September CPI report faces scrutiny as the U.S. government shutdown affects data collection, raising investor scepticism. While forecasts predict modest inflation increases, missing or incomplete data could complicate Federal Reserve policy decisions. Despite expected rate cuts, analysts caution that limited information may hinder meaningful insights into economic trends. Read here
  
  
• FM Urges GST Authorities to Avoid Taxpayer Burden, Promote Tech-Driven Compliance: Finance Minister Nirmala Sitharaman urged GST authorities to avoid burdening taxpayers, advocating technology-driven, risk-based compliance. She announced a simplified GST registration from November 1 for faster approvals, emphasized data-led enforcement, timely CBIC disciplinary action, and linked next-gen GST reforms to efficiency, automation, and India’s development goals under Viksit Bharat 2047. Read here

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That’s it from our side. Have a great weekend ahead!

If you have any feedback that you would like to share, simply reply to this email.

The content of this newsletter is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information outlined in this newsletter unless mentioned explicitly. The writer may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated in this newsletter.