AUM Capital Market Private Limited’s Post

𝐀𝐫𝐛𝐢𝐭𝐫𝐚𝐠𝐞 𝐅𝐮𝐧𝐝𝐬: 𝐀 𝐒𝐚𝐟𝐞 𝐇𝐚𝐯𝐞𝐧 𝐨𝐫 𝐚 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭? Arbitrage funds are mutual funds that capitalise on the price differences between the cash market (spot market) and the derivatives market. 👉 https://lnkd.in/gR8JbJki #ArbitrageFunds #CashMarket #DerivativesMarket #MutualFunds #Centricity #OneDigital

Strong returns, tax edge boost arbitrage funds' appeal, and inflows Read more at: https://lnkd.in/gFTcSwqk DM us: 9717438991 Follow Wealth Redefine for more such content Email us : Support@wealthredfine.in . . #mutualfunds #wealthredefine #investment #investors #portfolio

Ever thought about how you can leverage market volatility to your advantage? 🧐 Our latest blog dives deep into Arbitrage Mutual Funds and explains how they work. Learn about the intriguing mechanisms of arbitrage, from cash markets to derivative markets, and how these funds can provide steady capital appreciation even in a fluctuating market. Here’s a glimpse of what you’ll find in the blog: 1. What Arbitrage Funds are and how they operate 2. The distinction between Cash Market and Derivative Market 3. Real-world examples illustrating the workings of Arbitrage Funds 4. The benefits and risks associated with these funds 5. Who should consider investing in Arbitrage Funds This educational piece is a must-read for business owners looking to park their idle funds in a safer yet profitable avenue. 👉 Read the full blog here: https://buff.ly/4bE6QTS #CorporateFinance #SME #KOFFiBreak

Mr. Vikaas M Sachdeva, MD shares how long only CAT III funds can be ideal for investors who understand the liquidity and risk trade-off and can stay invested for at least 4-5 years.  Read here: https://bit.ly/3YnAPfs   Cafemutual #AIF #investing #markets

**Arbitrage Mutual Funds** are a type of mutual fund that aim to generate returns by exploiting the price differences of securities in different markets or segments. These funds typically buy securities in one market and sell them in another at a higher price, thus making a profit through arbitrage opportunities. They primarily invest in equity and equity-related instruments, but use a hedging strategy to reduce risk, making them a safer option compared to pure equity funds. ### **Objective of Investment:** The primary objective of arbitrage mutual funds is **capital appreciation** with **low risk** by taking advantage of price inefficiencies in the markets. Since these funds hedge their positions, they carry lower risk compared to traditional equity funds, making them a relatively safe choice for risk-averse investors. Their returns tend to be stable in volatile markets as the arbitrage strategy capitalizes on market inefficiencies. ### **Who Can Invest:** Arbitrage funds are suitable for: 1. **Risk-Averse Investors:** Individuals seeking safer options in the equity markets, as these funds carry minimal risk compared to pure equity funds. 2. **Investors Looking for Short-Term Gains:** People who want short-term investments but don't want to expose themselves to market risks. 3. **Tax-Sensitive Investors:** Since arbitrage funds are treated as equity funds, they offer favorable taxation, with no long-term capital gains tax (if held for over a year), and short-term capital gains tax at 15%. 4. **Institutional Investors:** Companies or large entities looking for risk-averse returns in the stock market. These funds are particularly attractive in volatile markets, where arbitrage opportunities are more frequent. For investment click on: https://lnkd.in/dh2g3UAU

#Insights how industry is transforming and coming up with products which balanes the risk to reward ratio and protect client wealth. Multiasset Allocation I believe one must have in today's generation, so that risk is diversified across portfolio.

FINRA ordered Edward Jones, Osaic Wealth and Cambridge Investment Research, Inc. to repay over $8.2M total to customers who were improperly charged mutual fund sales charges: https://lnkd.in/epbb7Sq6 #wealthmanagement #cambridge #investment #edwardjones #enforcement #finra #mutualfund #osaic

Non-Directional US Treasury Short Holding Period Arbitrage Strategy. We are a fully regulated UK based investment manager with over a twenty year track record. We have launched a short holding period bond arbitrage strategy. The strategy does not look to profit from or speculate on basis risk or the direction of bond prices or interest rates and is agnostic to these variables. A very high return for very low risk because they are negotiated arbitrage trades. Therefore, there is no execution pressure, if we are not immediately locking in a profit on each trade then we simply do not take the deal. It is not speculation. The little known opportunity has persisted for over 25 years in the markets and does not get arbitraged away as it is negotiated. We can show the real track record from our existing fund. Access to it, is a simple investment into our fully regulated cayman fund. If you would like to talk to us about it then please request info at our website and we can set up a call or dm me here. Www.h3im.com No retail clients, professional investors only i'm afraid. We have strong demand so it is first come first served as even though it has high capacity we will be staggering investment into it when demand is too high. CTAs thrive in extreme environments. Request info on our strategy via the website www.h3im.com. In the Request Info section. Stay Frosty People The views in this article are those of the author and do not reflect the view of Horizon3 Investment Management LLP. This is not Financial Advice or a solicitation and your money is at risk whenever making any investments, seek your own advice. Horizon3 IM LLP does not work with retail clients, we only work with professional clients. #StayFrosty #CTA #commodities #investing #money #assetmanagement #financialplanning

Arbitrage Funds Volatile Markets are perfect times for Abritrage Funds What are Arbitrage Funds? To start with, they are a category of Mutual Funds. So we don’t need to devise a strategy. Just identify a good MF offering Arbitrage category. These Funds usually try to take advantage of price difference of same security between two exchanges. For instance if a stock is listed in NSE & BSE, there could be moments intraday, when there is a price difference between two exchanges for same security Example: Security XYZ is trading at 100₹ in NSE same XYZ is trading at 101₹ in BSE buy the stock in NSE & sell at the same time in BSE (through derivatives). Since the buy & sell happens sametime, there is no risk In principle, arbitrage funds cannot take “open position” as that’s against the principle. Any buy order of a security should be coupled with a sell order of same security Price difference between Cash Price & Futures (Derivates) There are multiple times when the premium for a security is substantially higher on cash vs derivates This is highly technical, but it’s obvious that difference do exist. They provide better opportunities during volatile markets. Fund Managers of Mutual Funds do have the resources & sophisticated systems to spot them. When there are no opportunities, these funds invests in Debt securities & Money Market instruments What is the risk? There are no transactional risk as there is no open position. Real risk is “lack of opportunities “ to create the arbitrage. Taxation? Since they deal predominantly in Equities based Arbitrage, they have Equities taxation For short term needs which are liquidity dependent, you could consider parking money in Arbitrage due to their superior taxation. This comes with Low risk as well. Follow me for insights on Personal Finance & Wealth Management Disc: views own. Discretion advised. #personalfinance #wealthmanagement #certifiedfinancialplanner