investment strategies: How will new tax rules impact your investment in FoFs?
Post the new tax rules in budget 2024, investors get the benefit of long-term capital gains on FoFs (fund of funds) if held for more than 24 months. There is renewed interest among investors in such schemes, with a number of new launches from fund houses.
WHAT IS A FUND OF FUND (FoF)?
A fund of fund (FoF) is a mutual fund that invests in other mutual funds or exchange-traded funds (ETFs) rather than directly in individual stocks or bonds. Essentially, it’s a fund that invests in other funds, providing investors with a diversified portfolio through a single investmentWHICH FoF CATEGORIES ARE POPULAR IN INDIA?
The most popular categories of FoFs are the precious metals category and the international funds category. In the gold or silver…
