Same category, very different results
17.4% vs 9.0%best vs weakest mid cap fund, 5 years
Over 5 years, the best mid cap fund returned 17.4% a year and the weakest 9.0% (direct plans). ₹1 lakh would now be ₹2.23 lakh versus ₹1.54 lakh.
Explore ›Home › Knowledge Hub
Updated monthly · November 2026
Knowledge Hub: 100 money lessons, two lines each
Plain-English explainers on mutual funds, the stock market, tax and insurance. A fresh set every month, including numbers from our fund screener. The TenX Knowledge Bot shows you five of them as you read the site.
No lesson matches that. Try another word.
Fresh numbers 8 · data as of 30 Oct 2026
Active large caps vs the index
23 of 27active large caps beat the index over 5 years
Over 5 years, 23 of 27 active large cap funds beat the typical Nifty 50 index fund's 6.4% a year (direct plans). Good managers added value here, but results vary widely.
Explore ›Typical 3-year returns this month
15.4%mid cap funds lead, 3-year median
Median yearly return over 3 years (direct plans): large cap 10.3%, flexi cap 11.6%, mid cap 15.4%, small cap 13.6%. Higher-return categories also swing harder.
Explore ›One year vs five years
73%of equity funds are down over 1 year
73% of equity funds show a loss over the last year, but none over 5 years (direct plans). Time in the market smooths out the bumps.
Where idle cash earns more
6.4%typical liquid fund return, past year
Liquid funds returned a typical 6.4% over the past year and overnight funds 5.3% (direct plans). Compare that with your savings account rate.
Explore ›The stock almost every fund owns
58%of equity funds own ICICI Bank
ICICI Bank appears in 58% of the 1020 equity fund portfolios we track. Different fund names can hide very similar portfolios, so check overlap.
Explore ›The biggest sector in equity funds
15%of the average equity fund is in banks
Banks make up about 15% of the average equity fund portfolio we track, the largest of any sector. A second fund heavy in the same sector adds little diversification.
How concentrated is a large cap fund?
47%of a large cap fund sits in its top 10 stocks
A typical large cap fund holds about 53 stocks, and its 10 biggest make up 47% of the equity money. The top 10 tell you most of what you own.
Explore ›Mutual funds 30
Index fund vs ETF
Both track an index. An ETF trades on the exchange at live prices and needs a demat account; an index fund is bought from the fund house at the day's NAV and makes SIPs easy.
A low NAV isn't cheap
NAV is just the value of one unit. A fund at ₹10 is no cheaper than one at ₹500; what matters is how the portfolio grows in percentage terms.
Side pockets
If a bond in a debt fund defaults, the fund can move it into a separate segregated portfolio. Existing investors get units in it and share any later recovery.
Smart beta funds
Index funds that follow rules other than company size, such as momentum, low volatility, quality or equal weight. They're passive but can behave very differently from the Nifty 50.
Beta
How much a fund moves with the market. A beta of 1.2 means it tends to rise or fall about 20% more than its benchmark; 0.8 means 20% less.
Equity savings funds
A mix of equity, arbitrage and debt, with smaller ups and downs than pure equity. They suit cautious investors who want a little equity growth.
Rupee cost averaging
A fixed SIP buys more units when prices are low and fewer when they're high, smoothing your average cost. That's why stopping SIPs in a falling market backfires.
Explore ›Alpha
The extra return a fund earned beyond what its risk level would predict. Positive alpha suggests the manager added value; judge it over several years, not one.
Benchmarks include dividends
Since 2018, funds compare themselves with a Total Return Index, which counts dividends. It's a tougher, fairer yardstick than the price index quoted on the news.
Active vs passive (index) funds
An active fund's manager picks stocks to try to beat the market. An index fund simply copies an index like the Nifty 50, costs less, and can never beat it.
Explore ›Add nominees to every folio
10nominees allowed per folio
Folios without nominees make life hard for your family. SEBI's rules now let you name up to 10 nominees and set each one's share, online in minutes.
Stamp duty on purchases
0.005%stamp duty on every purchase
Every mutual fund purchase carries stamp duty of 0.005%, about ₹5 on ₹1 lakh. Redemptions don't attract it.
Focused funds
30stocks at most
They can hold at most 30 stocks. With fewer stocks, each pick matters more, so returns can drift further from the market in both directions.
Explore ›Large, mid and small caps
100companies count as large caps
SEBI ranks listed companies by market value: the top 100 are large caps, 101 to 250 mid caps, and the rest small caps. AMFI updates the list every six months.
Multi asset allocation funds
10%minimum in each of three asset classes
They must invest at least 10% each in three or more asset classes, typically equity, debt and gold. One fund with diversification built in.
Explore ›The 3 pm cut-off
3 pmcut-off for today's NAV
For most funds, if your money reaches the fund house before 3 pm on a business day, you get that day's NAV. After that, you get the next day's.
Step-up SIP
₹1.86 cr₹10,000 a month with a 10% yearly step-up
₹10,000 a month for 20 years at 12% a year grows to about ₹92 lakh. Raise it by 10% every year and it grows to about ₹1.86 crore.
Explore ›Consolidated account statement
One statement shows your mutual fund holdings across all fund houses. It's emailed monthly when you transact, and you can download it any time from MF Central.
Interest rate risk in debt funds
~5%fall for a 5-year duration fund if rates rise 1 point
When interest rates rise, bond prices fall. A debt fund with a modified duration of 5 years would lose roughly 5% if rates rose by one percentage point.
Gilt funds
They invest in government bonds, so there's no default risk. Prices still swing with interest rates, especially in long-duration gilt funds.
Explore ›IDCW isn't extra income
When a fund pays IDCW (once called dividend), its NAV falls by the same amount. It's your own money coming back, taxed at your slab rate. The growth option compounds better.
International funds
They add companies like Apple or Microsoft and some dollar exposure. SEBI caps how much Indian funds invest abroad, so some pause new money from time to time.
Explore ›Yield to maturity (YTM)
The return a debt fund's current bonds would earn if held to maturity. Minus expenses, it's a rough guide to what the fund may earn from here.
Value and contra funds
Value funds buy stocks that look cheap against earnings or assets; contra funds buy what's out of favour. Both need patience, as the market can take years to agree.
Explore ›How many funds are enough?
3–5funds are enough for most investors
For most investors, 3 to 5 well-chosen funds across categories cover the market. Adding more usually adds overlap, not safety.
STP for a lump sum
Got a bonus to put into equity? A systematic transfer plan parks it in a liquid fund and moves a fixed amount into the equity fund every week or month, spreading out your entry.
Distributor or adviser?
A mutual fund distributor holds an AMFI Registration Number (ARN); an investment adviser is registered with SEBI as an RIA. You can verify both online.
Standard deviation
It shows how much a fund's returns bounce around their average. Higher means a bumpier ride; small cap funds usually score higher than large cap funds.
Does fund size matter?
Bigger isn't automatically better. Size matters most in small cap funds, where a very large fund can struggle to buy and sell small stocks quickly.
The riskometer
6risk levels, from Low to Very High
Every scheme shows one of six risk levels, from Low to Very High. Most equity funds are Very High, so match the level to how big a short-term fall you can stomach.
Stock market 20
The long view
80×Sensex rise from 1,000 to 80,000
The Sensex first crossed 1,000 in 1990 and 80,000 in 2024, through several crashes along the way. Short-term falls are normal; long-term growth follows earnings.
India VIX
The market's fear gauge, worked out from Nifty option prices. It rises when traders expect big swings and falls when markets are calm.
EPS
Earnings per share: profit divided by the number of shares. Steadily rising EPS over the years is what drives share prices in the long run.
Beware of stock tips
Tips on WhatsApp or Telegram are often pump-and-dump schemes: fraudsters buy a cheap stock, hype it, and sell to the people who follow the tip.
Promoter pledging
When promoters pledge their shares for loans, a price fall can trigger forced selling. High pledging is a red flag worth checking in shareholding data.
Index reshuffles
2index reviews a year
NSE reviews its indices twice a year. Stocks joining the Nifty 50 get buying from index funds, while those dropped often see selling.
Market capitalisation
Share price times the number of shares. A ₹100 share isn't smaller than a ₹5,000 one; compare companies by market cap, not share price.
P/E ratio
₹25paid for ₹1 of yearly profit at a P/E of 25
Price divided by earnings per share. A P/E of 25 means paying ₹25 for every ₹1 of yearly profit. High P/E can mean strong expected growth, or an expensive stock.
Complaints go to SEBI SCORES
Problems with a broker, fund house or listed company can be raised on SEBI's SCORES portal, which tracks your complaint until it's resolved.
IPO money is blocked, not paid
With ASBA or UPI, your IPO application money stays in your bank account and is debited only if you're allotted shares.
Bond yields and stock prices
When government bond yields rise, safe returns look more attractive and stock valuations often come under pressure. Watch the 10-year government bond yield.
Nifty 50 vs Sensex
50 vs 30companies in each index
The Nifty 50 tracks 50 large companies on the NSE; the Sensex tracks 30 on the BSE. They move almost together because they share most of the big names.
Explore ›Circuit breakers
10%index fall that first halts trading
If the Nifty or Sensex falls 10%, 15% or 20% in a day, trading halts across the market to let things cool. Individual stocks have their own price bands too.
Stocks and inflation
Good businesses can raise prices over time, so their profits tend to keep up with inflation. That's why equity has beaten fixed deposits over long periods.
Most F&O traders lose money
9 in 10individual F&O traders lost money
SEBI's studies found that about 9 out of 10 individual traders in futures and options lost money. Derivatives are mainly tools for hedging and professionals.
Stock split vs bonus issue
Both give you more shares at a lower price without changing what your holding is worth. A split cuts the face value; a bonus issues free shares from reserves.
Correction vs bear market
20%fall from the peak marks a bear market
A fall of 10% from a peak is usually called a correction; 20% or more, a bear market. Indian markets have been through many of both and recovered every time so far.
Intraday trading is speculation
Buying and selling on the same day is treated as speculative business income, taxed at your slab rate. Long-term wealth usually comes from holding good businesses.
Stop-loss orders
A stop-loss sells automatically if the price falls to a level you set. It limits losses, but if a stock opens sharply lower, the sale can happen below your level.
FIIs vs DIIs
Foreign institutional investors bring money from abroad; domestic institutions are Indian mutual funds, insurers and pension funds. Steady SIP money helps DIIs absorb FII selling.
Explore ›Tax 16
How hybrid funds are taxed
Funds with at least 65% in Indian equity are taxed like equity. Funds with more than 65% in debt are taxed at slab rates. Those in between pay 12.5% on gains after 24 months.
Grandfathering of old equity gains
For equity bought before 1 February 2018, your cost is taken as the higher of what you paid and the price on 31 January 2018, so gains up to then stay untaxed.
When insurance maturity is taxed
Traditional policies issued from April 2023 with yearly premiums above ₹5 lakh lose their tax-free maturity. For ULIPs issued from February 2021, the limit is ₹2.5 lakh a year.
IDCW is taxed at your slab
₹10,000yearly IDCW before 10% TDS applies
IDCW payouts are added to your income and taxed at your slab rate. A fund house deducts 10% TDS once its payouts to you cross ₹10,000 in a year.
Tax on gold ETFs and gold funds
Gold ETFs held for more than 12 months, and gold funds held for more than 24 months, are taxed at 12.5% on the gain, without indexation.
How debt funds are taxed
Debt fund units bought on or after 1 April 2023 are taxed at your slab rate, however long you hold them, with no indexation benefit.
Health insurance deduction (80D)
In the old regime, premiums for yourself and family are deductible up to ₹25,000, plus up to ₹25,000 for parents, rising to ₹50,000 if they're senior citizens.
Using capital losses
8 yrsto carry forward capital losses
Short-term losses can offset both short- and long-term gains; long-term losses only long-term gains. Unused losses carry forward for 8 years if you file your return on time.
Use your ₹1.25 lakh every year
₹1.25 lakhof long-term gains tax-free every year
Long-term equity gains up to ₹1.25 lakh a year are tax-free. Booking that much each year and reinvesting raises your cost price and cuts tax later.
ELSS vs PPF
Both save tax in the old regime. ELSS has a 3-year lock-in and market-linked returns; PPF locks money for 15 years at a government-set, tax-free interest rate.
Explore ›Investing in your spouse's name
Income from money you gift your spouse is added back to your income. Gifts to adult children aren't clubbed, but income from gifts to minor children is.
Tax-loss harvesting
Selling a fund that's in loss and buying back books a capital loss you can set off against gains. India has no specific wash-sale rule, but watch exit loads.
The new tax regime is the default
Unless you opt for the old regime, tax is worked out under the new one: lower rates, but almost no deductions such as 80C or 80D. Compare both every year.
FDs vs debt funds after tax
Both are now taxed at your slab rate, but FD interest is taxed every year while a debt fund's gain is taxed only when you redeem. Deferring tax helps compounding.
NPS deductions
₹50,000extra NPS deduction, old regime
The old regime allows an extra ₹50,000 deduction for your own NPS contributions. Employer contributions up to 14% of basic pay are deductible even in the new regime.
A switch is a sale
Moving money between funds, or from a regular to a direct plan of the same fund, counts as a redemption. It can trigger capital gains tax and an exit load.
Insurance 14
Super top-up plans
They pay hospital bills above a threshold you choose, such as ₹5 lakh, for a low premium. A cheap way to take a ₹5 lakh policy to ₹25 lakh or more.
How much life cover?
10–15×your yearly income in life cover
A common rule of thumb: 10 to 15 times your yearly income, plus outstanding loans, minus the investments you already have.
ULIPs
5 yrsULIP lock-in
Unit-linked plans combine insurance with market investing and have a 5-year lock-in. Check the charges and the actual life cover before you buy.
Critical illness cover
It pays a lump sum when a listed illness such as cancer or a heart attack is diagnosed, whatever the hospital bill. It complements health insurance; it doesn't replace it.
Watch out for room rent limits
If your policy caps room rent and you choose a costlier room, many insurers cut the whole claim in proportion, not just the room charge. Prefer policies without a cap.
Claim settlement ratio
The share of claims an insurer pays. Look at it over several years, and at the share of claim amounts paid, not just the number of claims.
Term insurance comes first
₹1 croreof cover, often under ₹15,000 a year
If anyone depends on your income, a pure term plan is the cheapest way to protect them. ₹1 crore of cover for a healthy 30-year-old non-smoker often costs under ₹15,000 a year.
Free-look period
30 daysto return a new policy
Under IRDAI's 2024 rules, new life and health policies come with a 30-day free-look period. If the terms aren't what you expected, return it for a refund minus small charges.
Disclose everything
Hiding smoking, illnesses or past surgeries can lead to a rejected claim. Full disclosure may raise the premium, but it protects your family's claim.
Health policy portability
You can move your health policy to another insurer at renewal and keep the waiting-period credit you've already built up.
Buy term insurance young
Premiums are fixed when you buy and rise with age and health issues. Buying at 28 instead of 38 can cut the premium sharply for the same cover.
No-claim bonus
up to 2×cover from claim-free years
Many health policies raise your cover for every claim-free year, often by 10 to 50%, up to double the original sum insured.
Personal accident cover
It pays out if an accident causes death or disability, and it's inexpensive. Useful if you travel a lot or your work is physical.
Cashless network hospitals
At a network hospital, the insurer settles the bill directly. Before buying, check that the hospitals near you are in the insurer's network.
Money basics 12
Money you need within 3 years
Keep it out of pure equity. Markets can fall 30% in a year and you may not have time to wait. Debt or arbitrage funds suit short goals better.
Give every investment a goal
Link each investment to a goal and a date: a home in 7 years, college in 12, retirement in 25. The time left decides how much equity makes sense.
The order that works
Emergency fund first, then term and health insurance, then investing for goals. Skipping the first two can force you to sell investments at a bad time.
Clear costly debt first
36%+yearly interest on credit card dues
Unpaid credit card balances often cost over 36% a year. Paying them off is a guaranteed return no investment can match.
The rule of 72
72÷ yearly return = years to double
Divide 72 by the yearly return to see how long money takes to double: about 6 years at 12%, about 12 years at 6%.
The 50-30-20 budget
20%of take-home pay saved, at least
A simple start: 50% of take-home pay for needs, 30% for wants, and at least 20% saved and invested. Raise the savings share as your income grows.
Gold in a portfolio
5–10%of a portfolio in gold
Gold often holds up when stocks or the rupee fall. Many planners keep 5 to 10% in gold, through ETFs or funds rather than jewellery.
FD laddering
Instead of one big FD, split the money into FDs maturing a year apart. You get regular access to cash and reinvest at whatever rates are on offer.
Write a will
Nominees receive your investments, but a will decides who finally owns them. A simple, clear will saves your family long disputes.
Asset allocation matters most
How you split money between equity, debt and gold drives most of your portfolio's ups and downs, more than which individual funds you pick.
Behaviour matters more than returns
Investors often earn less than the funds they own because they buy after rallies and sell after falls. A boring, steady SIP beats clever timing.
EPF alone isn't a retirement plan
EPF gives steady, tax-friendly returns, but it's a debt investment. Adding equity through mutual funds gives your retirement money room to grow.
Explore ›Tax lessons follow the Income-tax Act, 2025 for tax year 2026-27; your own situation may differ, so check with a tax professional. Fund numbers are past performance from AMFI data and fund house disclosures and may or may not be sustained in future. Nothing here is a recommendation to buy or sell any scheme.