All you need to know about mutual funds last week

The markets posted strong gains this week on the back of foreign investor inflows, progress in US-China trade talks and deal being reached on Brexit. Sensex rose 3.1 percent and Nifty gained 3.2 percent this week amid sustained buying across sectors. This again highlighted how difficult it is to predict short term movements of the markers. Speculators who were wondering why the market fell recently, are now wondering why it is up this week. Given this backdrop, we would reiterate to stick to your asset allocation and to continue investing as per your plan.

At least a few data points coming out of Association of Mutual Funds in India (AMFI) supports that retail investors are sticking to their investment plan. The systematic investment plan (SIP) contribution has increased to Rs 49,361 crore in the first six months of this financial year, up 11 percent from the previous year. Additionally, retail investors are holding investments longer than high net worth investors (HNIs) and foreign institutional investors (FIIs). As of June 2019, 46 percent of retail assets were owned for more than two years compared to 30 percent of HNI assets.

Reliance Capital has delayed the payment of interest/principal obligations for two non-convertible debentures (NCDs), as per its filing with the exchange. The delay in payment supersedes the ratings downgrade by CARE in September when the company's entire outstanding debt was downgraded to default CARE D rating.