Who is Eziway Salary Packaging?

For over a decade we’ve been at the forefront of developing systems and providing service offerings to the not-for-profit sector including charities, public health, community and disability service providers.

We developed an industry leading software and dedicated service model, which is designed to manage this complex tax arrangement.

Our cloud-based administration system, developed in-house, provides faultless salary packaging services. Organisations can tap into its power via our equally sophisticated online portal and app, which provides transparent, real-time data and interactive account functionalities.

What is Salary Packaging?

Salary Packaging, also known as Salary Sacrificing, is an ATO approved workplace benefits program, which serves as a value proposition for both employers and employees. As an Employer, Salary Packaging goes a long way to retaining your most valuable asset, your staff. As an Employee, Salary Packaging lets you minimize tax and maximize your income.

What can I Salary Package?

Salary Packaging is an ATO-approved method of restructuring your gross salary in order to pay less tax. As an employer, the ATO gives you generous tax benefits that you can then pass on to your employees.

The benefits available depend on your Employer’s Salary Packaging Policy and may include:

Mortgage repayments
Rent payments
Personal loans
Credit Card repayments
Portable devices
Novated Car Leases
Remote living costs
Entertainment expenses
Venue hire
What are the benefits of Salary Packaging?

Some of the benefits include being able to salary package certain lifestyle benefits or other various expenses such as your mortgage, rent, car or personal loan or credit card repayments.

With Eziway, our consultants can tailor a salary packaging arrangement based on each employee’s personal circumstances that aims to reduce their taxable income and increase their take home pay based on your organisation’s policy and industry.

Retirement Planning is a long term process whereby you should have a roadmap which will help you to meet all your life’s expenses post retirement. Investment in mutual funds is a preferred investment option for long term investing. Why? Because mutual funds invest your money in stock markets which has the potential to give you good returns in long term. In short term, markets have always been volatile which you may have observed many times. There are many ways you can invest in stock markets however investing in stock markets through mutual funds is one of the most preferred options. Why? 1. Mutual funds are managed by professional fund managers who track markets on a daily basis. 2. Mutual fund business is regulated by SEBI. 3. There are more than 1000 mutual funds available in the markets which are capable of meeting all your short and long term financial needs. You can take the help of your financial advisor and invest in the best suitable fund.

Plan your retirement with diversified Mutual Funds

Equity, debt and gold mutual funds are 3 major asset classes where you should invest for your retirement. You can invest in all 3 funds and keep changing your portfolio as per age, income and risk taking capacity. You can take high risk at a young age and investment in equity is the best option, however don’t invest only in equity funds and lock your money in one asset class.

Type of Mutual Fund: Equity Fund

Advantage: Potential to gain high returns

Disadvantage: Risk is higher for losing capital

Types of Mutual Fund: Debt/Liquid Funds

Advantage: Low risk of losing capital

Disadvantage: Low /average return

Type of Mutual Fund: Gold Fund

Advantage: Diversification, balanced portfolio

Disadvantage: Highest volatility to global risk

This is for illustrative purposes.

You should remain invested in debt and gold mutual funds as well which offer you diversification and make your portfolio balanced. The exposure to equity funds should go down as one gets older the risk taking capacity goes down with age.

The above investment allocation is not to be considered as an Investment advised / recommendation. Please seek independent professional advice based on your financial needs and your financial situation and arrive at an informed investment decision before making any investments in any mutual fund or when making a decision on investment diversification or asset allocation.

It’s not mandatory but advisable that you should remain invested in gold at all stages of life. Keep 10 % investment in gold during all stages of life as its offer diversification. To conclude, plan your retirement as early as possible and let your money grow over a span of 15-20 years. Don’t invest only in one type of mutual funds like equity. You should plan your retirement planning with all 3 asset classes which offer different set of advantages; diversification which is a must needed factor in long term investment like retirement planning.

To conclude, you should keep 3 major points in consideration while doing retirement planning 1. Start at young age 2. Invest in all 3 types of mutual funds, equity, gold and debt 3. Keep changing investment proration in these 3 funds with the help of financial advisor

A very simple and clear advice is to remain invested till the time your financial goal is not achieved.

Always remember that the decision of redemption should be connected to your investment objectives and not to market levels.

Fund Managers best to manage your money in such scenario

As a mutual fund investor, it is best not to worry about the market levels. Analyzing market trends and investing money accordingly is the fund manager’s job. When markets are at their peak, the need to redeem shouldn’t cross your mind. Fund managers are supposed to understand market trends better, sell the overvalued stocks and then deploy money as and when markets offer investment opportunities.

Your fund manager may have booked profits on investment and is now waiting for the next suitable opportunity for further investment. Therefore, it is probably better to hold for a while before taking the next step. Fund Managers spend most of their time in research, meeting with company promoters to understand their strategy and business plans which could have an impact on the performance of stocks or markets. In short, your fund managers are potentially in a much better position in understanding markets trends.

There is also a possibility of you not be able to reinvest your redeemed money and may lose out on opportunity which does not happen if you let the Fund Manager manage your money.

Investors who have profitable investments in hands due to recent highs in the markets and now thinking on redemption. We have a question for you! Will you able to be catch a good investment opportunity in the current market especially when interest rates on savings and fixed deposits are falling? Therefore, our advice is continuing your investments with this profit till the time you have not achieved your financial goal.

Redeem only if you have achieved your investment goal!

You may have two reasons for redemption. Either you are worried about the markets levels (markets are at all-time high so may fall down and better book some profit) or you have met your financial goal, investment objective.

If you are looking to book profits then, as we have explained earlier it is better the fund manager do that job.

In second case, if you have achieved your financial goal then you can redeem now. You can spend your profitable investment to fulfill your financial goal like higher education, marriage etc, thanks to outstanding markets performance. Now you can enjoy benefits of long term investments!

One of the best way to redeem your investment is by starting a Systematic Withdrawal Plan (SWP), by doing this you will minimize the risk of redeeming all your money on one day.

To conclude, if you have achieved your investment objective then you can set a new financial goal and start your next long term investment association with markets. If you have not achieved your financial goal, then you should continue with your investments till the time you have not achieved investment objective.

Yesterday, Nifty opened at a record high above 13,900 but witnessed profit booking and traded toward the day’s low of 13,860 in the initial two hours of the session. However, it posted a smart recovery of about 70 points off lows during the day and closed holding decent gains. Volume was lower than the previous session. The broader market underperformed compared with the general market. Midcap closed 0.1% lower, while smallcap closed flat for the day.

On the sectoral front, the mixed reaction was observed. Nifty Pvt Bank (+1.6%) advanced the most, followed by Nifty Bank and Fin Service, which were up 1.4% and 1.0%, respectively. On the flip side, Nifty Media (-1.5%) and Nifty Metal (-1.1%) were the top two decliners. Market breadth was skewed toward decliners. Of 2,247 stocks traded, 942 advanced, 951 declined, and the remaining were unchanged.

With leadership broadening and indices above relevant intermediate-term moving averages, we will continue to look for leadership-quality growth names to form entry points. If a pullback/consolidation happens, it will be crucial for Nifty to hold its 21-DMA. It is advised to closely review the existing positions and book profits in stocks that are extended from their moving averages and showing technical weakness. Also, tracking distribution days is crucial as rising in distribution days can halt the uptrend.

Key News

Glenmark Pharms. (Nse) launched a fixed-dose combination drug to treat type-2 diabetes in the country.

Lupin (Nse) launched Mycophenolate Mofetil tablets in the US. The tablets are used to help prevent the body from rejecting an organ transplant.

Iifl Securities will open its Rs 90 crore share buyback from today.

According to a report published by RBI, GNPA ratio of scheduled commercial banks decreased from 9.1% in March 2019 to 8.2% in March 2020 and further to 7.5% in September 2020.

O’Neil Market Condition Report

For the 24 emerging markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 80%; Rally Attempt, 4%; Uptrend Under Pressure, 16%; Downtrend, 0%.

For the 24 developed markets tracked by our institutional research team, the market status breakdown is as follows: Confirmed Uptrend, 70%; Rally Attempt, 0%; Uptrend Under Pressure, 30%; Downtrend, 0%.

Visit Marketsmith India to Read More About Indian Share Market News, Daily Market Tips, Model Portfolio etc.

It’s a challenge to choose a mutual fund scheme! The number of mutual fund schemes available in the market would drive any investor insane to zero down on a mutual fund of his/her choice. There is an endless list of checks necessary to be done before arriving at the one mutual fund scheme that meets your requirements and has potential to give decent returns.

Below are the various checks to keep in mind while comparing mutual funds:

Know your fund house:
Choosing a fund house in which you have sufficient faith to invest your money in is important before zeroing in on a scheme of your choice. Investors look for fund houses which can take care of their investments and can manage their money well. Objectives set by fund houses help investors to meet their goals thus securing their future. If the objectives are not met, investors lose faith in the fund house. A budding investor should ask these important questions like, “What are the fund houses’ investment objectives?”, and “How many schemes does the fund house offer to its investors?”, “Are the funds similar under different names?”, “Does the fund make sense to me?” It is equally important to know how the fund manager manages the funds under him/her. One needs to ascertain how schemes have performed during various market cycles managed by the fund manager. A good fund manager is not only important for the fund house but also for an investor.

Fund philosophy:
The next important check is to know the philosophy of the fund house. A set of guiding principles that inform and shape an individual’s investment decision-making process is termed as the philosophy of the fund. The fund house’s investment philosophy plays an important role in determining the performance of its funds in different market conditions. The selection of the funds, investment decisions are directly dependent on the fund philosophy.

Charges and fees:
An Asset Management Company (AMC) that spends on the upkeep of a mutual fund is measured as the expense ratio of a fund. The fees of the advisor, record-keeping, legal expenses, accounting, auditing fees etc. are what make up an expense ratio. Higher churning of portfolio leads to higher costs. It is an expense borne by the investor and is deducted from the investment. For example, if you have invested Rs. 100 and the expense ratio of the fund is 1.25, then your investment is Rs. 98.75. Lower expense ratio means that higher amount is available for investment.

Transparency:
In today’s world it is very important to maintain a good relationship with the customers, and to maintain a good relationship, there has to be a high level of transparency. This holds true even for mutual funds, as all mutual funds disclose the stocks they buy etc., through factsheets SEBI’s new rule, instituted October 1 2016, requires asset management companies to disclose all commissions paid to distributors in the Half-Yearly Consolidated Account Statements (CAS) they send to investors, all this in an effort to bring more transparency into the system.

It is only when SEBI brought the commission disclose rule that we have started paying trail commission to distributors in the Regular Plan effective April 1,2017 by letting you, our investor, know exactly where your money is going and that its serving your interests first.

So when it comes to long term wealth generation that puts the investor first, it may make sense to invest in a fund which focuses on transparency and controlling costs – rather than investing in a typical high-cost mutual fund that consciously uses big ads to attract your money!

Performance:
The last factor is return on investments. All the above factors are major drivers behind the performance of the funds. There are many other factors which have direct and indirect impact on performance of the funds; however, we have discussed the major factors above.

Moreover, it is important to understand that the performance of the funds can change over a period of time (positively as well as negatively), however, its philosophy, ethics, investment strategy are the main pillars. Don’t just only compare the performance of the fund in isolation.

To conclude, sound knowledge and research is very important before choosing a mutual fund to park your hard earned money. Following all the above steps might help you take right decision. However, you may consult your financial advisor before taking any investment related decision.

Distribution days: Three

Global stock markets: Dow 30, +0.2%; S&P 500, +0.6%; Nasdaq, +1%; Nikkei, +2.4%; Hang Seng, +1.3%; Kospi, -0.1%

Last week, Nifty started on a strong note and closed above 14,000 decisively on Monday. Also, it traded above 14,000 in the next four trading sessions. Friday’s action qualified as an additional follow-through day as Nifty advanced about 1.5% on volume higher than the previous session. During the week, broader market indices outperformed the general market. Barring Nifty FMCG (-0.3%), all the sectors closed in the green. Nifty Metal (+8.3%) was the major gainer, followed by Nifty IT and Media, which advanced 6.9% and 5.9%, respectively.

With leadership broadening and indices above relevant intermediate-term moving averages, we will continue to look for leadership-quality growth names to form entry points. If a pullback/consolidation happens, it will be crucial for Nifty to hold its 21-DMA. It is advised to closely review the existing positions and book profits in stocks that are extended from their moving averages and showing technical weakness. Also, tracking distribution days is crucial as rising in distribution days can halt the uptrend.

Key News

Tata Consultancy Svs. posted its Q3 FY21 results. Profit was up 7.2% to Rs 8,701 crore as against Rs 8,118 crore for the same period last quarter, while revenue rose 4.7% to Rs 42,015 crore from Rs 40,135 crore on a q/q basis.

Tata Steel increased its Q3 production in India 2.9% y/y to 4.6MT, but deliveries fell 3.9% y/y to 4.66MT.

If we see the recent scenario every individual having their insurance policy plans and services for themselves and their family members to protect and guard them against mishappening. Insurance Policy not only important for a person but help everyone at their difficult time, quite 0.5 population of India are having different policy services for different purposes like Two-wheelers, Health Insurance, Best term Insurance, Motor Insurance, Personal Accident services, etc.

Two-wheelers Insurance Service becomes a basic requirement for everyone. Whether or not they are male or feminine everybody owns their two-wheelers. Thus if an individual owns a two-wheeler its protection becomes the priority. So several insurance firms return up with the two-wheeler insurance arranges. Two-wheeler insurance services refer to the insurance plan that covers all the damages to your motorcycle, scooty and scooters as a result of an accident, felony and any natural disaster. Two-wheeler insurance services are extremely a lot of convenient and a more robust answer which offer you full prices and losses to the damages of your motorcycles.

Also if we talking regarding Insurance plans there’s one major policy that is that the most significant for each individual, from every adult to golden ager is Health insurance Policy. Within the Pandemic time of Coronavirus, insurance Policy has become the requirement for every policyholders or individual. In health Insurance Policy the insurer guarantees to compensate the medical expenses of insuree under the agreement. There are numerous kinds of health insurance policies for people and families which usually covers medicines facilities, hospitalisation, and Specialist doctor or doc facilities. We provide Best insurance arranges of 2021, Best life assurance Policy in the city and Best insurance Services for the family in Noida.

Another Policy service we have for you is the Best Term Insurance Services. Best Term insurance is additionally brought up as life assurance Policy that covers your insurance for an exact time of amount or year. The target of shopping for life assurance is to provide life protection to the client and financial assurance to his family. Throughout the life Insurance policy term, if something happens to the customer or he demise, the advantage of this policy is provided or paid by the company. This insurance arranges provides you with full life cover. Change policy offers you with the simplest term insurance service in Noida, Personal Accident policy in India and Best term insurance service in India. In our term policy service, we tend to not solely supply money assurance to consumers family however additionally fulfil their future wants higher educations, child’s wedding and alternative needs.

Car buying and auto financing are industries based on trust. Your credit score and worthiness are your tickets to guaranteed auto loan approval. But, if your credit score is a scary scenario, fret not! You can achieve an auto loan with bad credit, but you will have to work for it.

Lenders consider a credit score of 670 and above good, and you can avail better interest rates with it. However, the lender will consider you a risky borrower if your credit score is below 670. And, if your score is less than 620, the lender may treat you as a bad credit car buyer, and it will cost you more because of the high-interest rate. However, if you understand the different ways you can work on your credit score, there is hope. You can improve your loan approval chances as well as score a pocket-friendly auto deal.

Bad Credit Buyers: Ways to make your Car Loan Approval Chances Good

You can improve your credit score in the following manner before applying for an auto loan especially when you suffer from bad credit.

1. Clean your Credit Report

Revamp your credit report and clean up your credit score before you apply for an auto loan. Start by paying off the debt that is weighing down your credit score. Check your report thoroughly before applying for an auto loan. Get any fallacies in your credit report corrected to avoid explaining it to the dealer later. Pay off past debts and do not skip any current credit card payments. Make consistent payments towards loans to improve your score.

2. Make a Hefty Down Payment

Bad credit history can reduce your total loan amount. And it can lead to an increase in the interest rate. To combat the problems associated with bad credit history, make sure you apply with a subprime lender. Also, you can make a big down payment that will offset the increased interest amount. Down payment will allow the lender to rethink your offer, and he will give you a better deal in the process. You will also have the advantage to shop from a wide range of cars as your loan amount may increase.

3. Spend the Amount that you can Afford

Do not walk into the dealership and get smitten with the newest models and expensive features. Think of a bad credit auto loan as your way to build a better financial future. Consider your monthly income and minus the expenses and payments towards any other loans. The remainder of the money is what you can put towards your auto loan payments. Even if you get pre-approved for an auto loan higher than you expected, you need to re-consider your car choices.

Improve Your Credit: Improve your Life

Bad credit history will not stop you from purchasing a car. If you take care of the guidelines mentioned above, you can improve your credit score and score a good car loan deal. A cost-effective loan will ensure that you save a lot more money during the entire loan term.

It is good to see the government focus on reviving growth. The reaction in the equity markets is a testament to that. It’s by far the best budget for equity markets. Lots of positive surprises and no major negatives.

The bond markets haven’t liked the budget at all. It’s a shock. No one expected that PM Modi will agree to shed his fiscal conservatism to such an extent. Long term Bond yields have already headed higher. We would expect the RBI to also begin normalization and interest rates hikes in the coming months. Bond yields have bottomed and the best of the returns from long term bond funds are behind us.

The key of course is the long-term outlook. This increase in spending over the next 4 years needs to revive growth back to at least the 7% level. If that happens, then the higher deficit will be forgiven. If not, high inflation and high deficits can cause macro instability in the years ahead.

Equity View

The pandemic & lockdown hit the Indian economy, in lieu of which we wanted a push for both capital & consumption in this budget.

Through the provisions of the Union Budget 2021-22, government has targeted increased spending on infra & other capital expenditure to kickstart the economy but, as witnessed through multiple rounds of stimulus announced last year, there is very little allocated to boost consumption.
On the contrary, the new ‘Agriculture Infrastructure Cess’ on petrol & diesel is inflationary and has the potential to reduce real income of the households thereby impacting near term consumption.

This time the government has followed a fiscally expansionary path to put the economy back on track. Though, the headline budgeted fiscal deficit numbers for FY21 & FY22 looks higher due to reclassification of NSSF [National Small SavingsFund] loans to FCI above the line.
Higher borrowings (even after adjusting for reclassification of FCI loan) by the government can crowd out the private sector demand for loans, until & unless, foreign flows in debts come to their rescue.
There have been some sector specific changes like change in FDI limit in insurance & scrappage policy for Autos which augurs well for respective sectors.
There were no significant changes on direct taxes.
Overall, the government’s planned spend on infra, if executed properly, has the potential to increase employment & expedite (though, boost to consumption would have expedited it much faster) the natural business cycle to revive corporate earnings which otherwise would be a gradual process. The earning upgrade cycle, similar to 2003-07 period, may give a fillip to equity returns.

Keep invested and use a staggered approach

Indian equities remain an attractive asset class and is expected to do well over the long term. Investors are advised to remain invested but stagger their fresh investments as the markets have run up recently.

Fixed Income View

From the bond market’s perspective, the budget had more negatives than positives.
Current fiscal year deficit of 9.5% of GDP and target of 6.8% for FY22 was a surprise. This, along with the extended fiscal consolidation roadmap indicate that the bond market will face heavy supply pressure not just in this year but over many years.
State governments may also pursue similar expansionary fiscal policy.
RBI’s role in facilitating this kind of market borrowing would be critical to determine its impact on the bond markets.
Nevertheless, it seems that the bond yields have already seen the bottom and reversal is coming sooner than anticipated.
Increased government spending for extended period and introduction of new cess & import duties on various products could also cause inflation to rise. The RBI may find it difficult to support the government’s borrowing program in this case.
Proposal to create a permanent institutional framework to provide liquidity will go a long way in the development of the corporate bond market. This will also bring down the liquidity and credit premiums and thus cost of capital for borrowers.
Lower return expectations

Investors should lower their returns expectations from fixed income funds and should follow a conservative approach while choosing fixed income products. Interest rate are likely to move higher in coming years. Long duration funds may face high volatility in coming months.

Gold View

Union Budget 2021 pleasantly surprised gold markets by announcing the reduction of custom duty on gold from 12.5% to 7.5%. However, introduction of levy called the Agriculture Infrastructure and Development cess of 2.5% will lead to less than the headline 5% reduction.

The immediate effect of this move will be that gold prices will decline to the extent of reduction of levies. All those holding gold will see the value erode to that extent whereas all those who want to buy more will get it relatively cheaper to that extent.
Still, this is a welcome move as it will reduce price distortions, bringing domestic gold prices closer to International prices to the extent of reduction in levy. It will enable more efficient functioning of the gold markets in India and discourage illicit gold imports of the precious metal.
Higher intervention through higher customs duty has all this while ensured that India could never be at the center of the global gold markets despite being the largest consumer and thus remain a price taker.
We hope this duty is incrementally reduced over the next few years to further remove the price distortions in form of levies and truly think about developing the gold sector and bring India at the center of International gold markets.

The Finance minister also set the ball rolling for the creation of the proposed spot gold exchange by announcing that the ministry will be notifying the Securities and Exchange Board of India (SEBI) as regulator for gold exchanges.

The creation of a spot gold exchange will bring twin benefits for Gold ETFs by adding to the liquidity pool as well as leading to more efficient price discovery.

Use the correction to add Gold to your portfolio

Gold remains as an efficient portfolio diversifier. Use the correction to increase allocation to Gold so that it occupies 10-15% of your overall portfolio.