Model portfolio - compounders
compounders #01
Model portfolio - compounders
A model portfolio contains large and midcap cap stocks whose growth is higher and more consistent return in equity. Compounders are companies that can compound shareholders’ value over the long run. The model portfolio invests in stocks listed in NSE500 and newly listed IPO.
The above model portfolio was created on 23th Jan 2022, It contains 16 equity stocks and 1 debit ETF.
16 stocks are in large and midcap companies, whose growth is higher and more consistent return in equity. Companies that can compound shareholders’ value over the long run.
1 debit ETF - Nippon liquid bees - Liquid funds invest in bonds having a maturity of up to three months. They are suitable to park the amount you have set aside to meet any emergency needs or any surplus money that you don't need for a few weeks up to a year. You can expect to earn better returns than what you would get from a bank account.
Hey, I created a small case to invest in my favorite stocks - Model portfolio - compounders. See it here - Compounders - A model portfolio contains large and midcap stocks listed in NSE500 and newly listed IPO.
Click the below link for details of Model portfolio - compounders
https://link.smallcase.com/aEvxWWUa3mb
Model portfolio has 25% allocated to cash - 1 debit ETF - Nippon liquid bees, IF market corrects further this quarter Q12022, those cash allocation will be utilized to buy more shares of existing companies in a model portfolio or new opportunities comes in the market ( eg: newly listed IPO, where growth is high . NSE may come up with IPO and list in exchange this year 2022)
Taxability of earnings:
Capital gains
Equity shares - there is a 15% tax on short-term capital gains and a 10% tax on long-term capital gains.
If the ETF (Gold, Debt) are sold after 3 years from the date of investment, gains are taxed at the rate of 20% after providing the benefit of inflation indexation.
If the ETF (Gold, Debt) is sold within 3 years from the date of investment, the entire amount of gain is added to the investors' income and taxed according to the applicable slab rate.
No tax is to be paid as long as you continue to hold the ETF.
Dividends
Dividends are added to the income of the investors and taxed according to their respective tax slabs. Further, if an investor's dividend income exceeds Rs. 5,000 in a financial year, the fund house also deducts a TDS of 10% before distributing the dividend.
Kindly like, share, and subscribe now to receive the newsletter directly to your email box