Can capital gains from debt securities be classified as business income as it was intended to help in f&o trading ..read more

I think one can buy Gilt funds when interest rates are high and sell when the interest rates have bottomed out and there is a buzz in the market of high inflation causing the interest rates to rise. We have been in a high interest cycle for approx. last 2 years due to inflation and in case it remains stable, there are chances that we might undergo interest rate reduction cycle. I am not an expert, and a hypothesis based on the prices of bond having inverse relation to the interest rate. Experts may comment on this ..read more

What will be taxation on tbills ..read more

Gold as a commodity does not generate any returns. Gold is treated as a hedge against inflation and for Indians against currency depreciation as against USD ..read more

Gold gave 9-11% cagr over 5 years. If that’s ok for you may opt it. FDs almost 7% without much helping inflation. Gold prices are volatile so as stocks. But stocks give higher returns at similar volatility ..read more

SG_13: How would the loss if any incurred in this sudden fall be recouped by the jewellers ? How can the increase in volume of sales compensate for the value lost due to fall in price? There are bullion dealers, who are large companies. Few of them are owned by Banks as well. Major Jewellers have an account with them. The Jewellers provide financial guarantee from a bank to these Bullion dealers who in turn will fix a limit of Gold supply to a jewellers. Lets say, one jeweller buys 10 kg of Gold from a bullion trader. This is not paid in cash on the date of buying. The jeweller takes the go ..read more

What I meant was as a product, this does not generate any returns by itself. What Drives Fluctuations in Gold Prices? Although the metal has proven its capacity to maintain its value over time, the price of gold is often volatile over the short term. There are many factors that influence the price of the metal. Because gold is generally dollar-denominated, a stronger U.S. dollar tends to drive gold prices lower, and vice versa. Real and expected inflation rates also affect the price of the metal. Gold purchases by central banks have an impact on the price, as does demand for gold to be used in ..read more

One can say all day that investing in stocks is owning a part of business but unless you have some controlling stake in the company the only way you can make money through investing in equities is buying low and selling higher and that is same as gold there is not much difference in my eyes ..read more

In addition to what was mentioned by others. When you book a FD with a specific rate, this remains fixed for the tenor of the FD even if the market rate drops. On the other hand if the rate increases, you can close the FD and reopen the same at the higher rate. There could be a penalty and you need to check if closure and reopen is viable. For non residents, thought, you cannot close the FD within one year. If you do, no interest is payable. With regard to taxation and if your income is within the slab where you dont need to pay tax, you can always sign 15G form and TDS will not be deducted. Y ..read more

So if i bought gold at 40000 and sold at 70000, then i havent generated any returns ..read more