Harshvardhan Roongta, a certified financial planner and the founder of Roongta Securities, spoke to CNBC-TV18 about investing in debt funds. In the interview, he shared valuable insights on why investing in debt funds can be an ideal choice for individuals looking to park their money in safe and secure investment options.
Harshvardhan Roongta, a certified financial planner and the founder of Roongta Securities spoke to CNBC-TV18 about investing in debt funds. In the interview, he shared insights on why investing in debt funds can be an ideal choice for individuals looking to park their money in safe and secure investment options.
According to Roongta, short to medium-term debt funds can be a good choice for investors as they provide liquidity, protect capital and generate nominal returns.
He said, “It's a fairly good time to invest with the view that it might in the short term, give you subdued kind of returns, but over a period of two to three years, you will recover a good rate of return.”
He added that debt funds help in protecting the capital.
"With these funds, you have liquidity so that whenever you need the money, you can redeem. You can get nominal returns instead of just keeping your money idly and getting nothing," Roongta told CNBC-TV18.
ALSO READ | ICICI Bank launches digital solutions for participants of capital market and custody services
Roongta also highlighted that debt funds are tax-efficient for high-income individuals compared to fixed deposits. Long-term capital gains (LTCG) on debt funds are taxed at 20 percent with indexation benefit, which means that investors can adjust their purchase price to account for inflation and reduce their tax liability.
For full interview, watch accompanying video
(Edited by : Anshul)
First Published: Mar 2, 2023 3:22 PM IST
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!