This refers to your cover story on mutual fund rankings (Rebuild your Mutual Fund Portfolio, 25 June). Most of the advice was based on the age of the investor. Is this the only parameter for deciding which mutual funds are most suitable for us?
Anwar Khan, Kanpur
No, age is only one of the factors that determines which funds suit a particular investor. Each age group mentioned in the story has objectives, risk appetite and goals that are typical to the category. For instance, young investors usually don’t have dependants, can stomach high risk and have a long-term horizon for goals like retirement. However, there are other determinants and circumstances that can override the age factor (too many loans, heavy medical expense of a dependant, etc) and subsequently affect the choice of funds. Remember, ‘one fit for all’ doesn’t apply to funds. The advice in the story should be used as a broad guideline and tweaked according to your specific financial needs.
I agree with Dipen Sheth that the fee for underperforming mutual funds should be lower than their successful counterparts (Why Choose Index Funds, 25 June). Even though some funds had claimed that their mandate was hedging against market dips, they fared much worse than the others in the same fund category. It is unfair to ask investors to pay high fees when the funds fail to fulfil their promises. Hopefully, fund houses will improve their accountability in the future.
Krishna Rao, Ahmedabad
The story on last-minute travel deals was informative (Quick Fixes, 11 June). You mentioned that seats on a code-share flight are cheaper than those on regular flights a day or two before the journey. Can I get these tickets by calling up the airlines office? I tried doing so by contacting the Spicejet office in Mumbai, but did not get a favourable response. Is this facility only for online bookings?
Natasha Xavier, Mumbai
You are unlikely to get a positive response by calling the office of an airline for seats on code-share flights. This is because airlines do not want to draw attention to the manner in which they are trying to gain an edge over their competitors, including their code-share partners. The trick is to check multi-city bookings online and compare the fares with those offered by the same airlines directly.
I was under the impression that insuring against business losses and risks is very expensive. Your story on this subject (Safeguard your Start-up, 11 June) cleared the misconception. I have a small unit manufacturing leather accessories and want to insure it. Do insurance companies have their own list of risks and losses for which they provide cover or can I ask for customised protection for the types of risks that my factory faces?
Meet Choudhary, Bhopal
We are glad that you found the story useful. Insurance companies offer both off-theshelf products and covers that can be tailored to suit the needs of your business. We suggest that you compare the covers offered by insurers and their costs before taking a decision.
