Money Today readers give their feedback on the magazine's December, 2014 coverage and more.
The cover story of December issue (The Great FII Rush) did a thorough job of explaining the role and importance of FII inflows in India's current market situation. There is little doubt that FIIs have become one of the most important contributors to India's growth. With the current government expected to bring in more market-friendly reforms in future, I believe that this trend is likely to continue. Also, the shift from traditional favourites like IT companies, to the financial services sector shows the diversifying nature of FII investments and this is a good sign. The increase in FII investments along with stake sale in major PSU companies will increase liquidity. However, given the past when FIIs have exited their investments at the drop of a hat, investors must watch out and invest only in fundamentally-strong companies. - Mahendra SharmMa, MumbaiThe re-launch of KVP (Kisan Vikas Patra Gets a New Life, December 2014) is an interesting development. The biggest advantage that the KVP enjoys is its wide reach, courtesy the post offices in India. I do, however, believe that the government has missed a trick by not giving either 80C, or tax exemption on the interest. Without these incentives, most people who are well aware of other options will refrain from investing in KVP. - Srinath sSasSikumar, Cochin
The story on fixed maturity plans (New Look, December 2014) did a good job of explaining the role of FMPs in the context of new tax rules. FMPs had begun to lose shine due to a depressed market, but now I believe offer a good avenue for investment. Given that most of the long-term FMPs are investing in corporate bonds with high credit ratings, it is only fair to assume that the risk is low. For a period of three years, they offer the best mode of investment after factoring the return and taxation benefits. - JitesSh OberoOi, Thane
The story on financial games (Learning Finance The Fun Way, December 2014) was a refreshing read. The story did an extremely good job of explaining how one can learn more on finance through interactive games. As someone who picked up the basic tenets of saving and investing at a very late stage in life, I can vouch for the fact that the jargons and the boring nature of investment articles kept me away for a long time. Few people ever pick a book unless they are absolutely interested in reading its contents. But nowadays, thanks to these games it has become easier for people to learn the basics in a fun manner. Not only do they sound interesting, they take cues from other famous games (like Monopoly) to help people understand and play better. Most games have been made for the US and other western markets and I see a good potential business model in this. These games, with a few tweaks, can be adopted for the Indian markets too and dished out on all smartphone platforms through apps. - Hharinath Singh, Pune