MoneyKraft

1. Which is the best return representation for three-year returns from a debt fund?

Simple absolute return

Simple annualised return

Compounded annual growth rate

2. In measuring portfolio performance, the return number to look out for is

Excess return of portfolio over benchmark, over time

Absolute portfolio return over time

Excess return of portfolio over historical returns

3. A buys a fund at a NAV of Rs.13.24 on 8-Dec-04 and sells it on 27-Aug-05 at a NAV of Rs. 14.75. What is the CAGR of his investment?

0.26%

0.12%

0.16%

4. Which of the following features remains constant through the life of a plain vanilla bond?

Yield

Coupon

Tenor

5. A fund posts excess return compared to peer group averages. What is the number to look at, to check if such performance is consistent?

Average excess return

Median excess return

Standard deviation of excess return

Borrowing against your mf units

can you borrow against your mutual fund units?

You can borrow money against mutual fund units placed under lien with your lender. Watch this investor education video by Moneykraft.

AUTHOR(s):Shreeja Thirani

good video informative and clear one to understand