Category Archives: Education

The cost of education after 20 years in India is a major concern for many parents. The average cost of raising a child in our country is nearly 30 lakhs by the age of 18 years. If a parent wants to send their child abroad, this cost triples in amount. How can the average Indian keep up with these rising costs of education?  https://www.youtube.com/watch?v=tdwqQH0xkFw 1. Understanding Education Inflation in India  Education inflation refers to the increase in the cost of education over time. It is influenced by various factors such as increasing operational costs, infrastructure development, faculty salaries, and technological advancements. In India, education inflation has been a significant contributing factor to the rising cost of education.  2. The Current State of Education Cost Inflation  Over the past two decades, the cost of education in India has been witnessing a steady and substantial increase. Factors such as economic growth, population growth, and changing market dynamics have contributed to the escalation of education expenses. As a result, families and individuals must plan to cope with the potential financial challenges.  https://www.youtube.com/watch?v=mqJUewxyzS8 3. Impact on Families and Individuals  Education inflation poses a significant financial burden on families and individuals. The cost of schooling, tuition fees, textbooks, accommodation, and other related expenses continue to rise. This inflationary trend can make it increasingly difficult for parents to afford quality education for their children and put pressure on individuals seeking higher education. https://www.youtube.com/watch?v=aV0_hgP8S1w 4. Planning for Future Educational Expenses  Given the projected increase in education costs after 20 years, it is essential to develop effective strategies for planning future educational expenses. Some key considerations include:  Start Early: Begin saving for education as soon as possible to take advantage of compounding interest and mitigate the impact of education inflation.  Explore Investment Options: Research various investment avenues, such as education-specific savings plans, mutual funds, or fixed deposits, that can help accumulate funds for future educational needs.  Consider Scholarships and Financial Aid: Stay informed about available scholarships, grants, and financial aid options to alleviate the financial burden associated with education costs.  Evaluate Education Loan Options: Understand the terms and conditions of education loans and assess the feasibility of borrowing to meet educational expenses while considering repayment obligations.  To address the growing concerns related to education cost inflation, collaboration between the government and educational institutions is crucial. The government can introduce policies to regulate and monitor fee hikes, encourage transparency in cost structures, and provide financial support to deserving students. Educational institutions can also adopt responsible pricing practices and explore cost-saving measures to ensure access to education remains affordable.  Calculate Education Cost Read More 5. The Role of Technology in Mitigating Education Inflation  Technology has emerged as a powerful tool in mitigating the impact of education inflation. Online learning platforms, virtual classrooms, and digital resources have provided cost-effective alternatives to traditional education methods. By leveraging technology, educational institutions can reduce infrastructure costs and offer flexible learning options. Additionally, advancements in e-books, open educational resources, and digital libraries have made educational materials more accessible and affordable for students.  6. Addressing Socioeconomic Disparities  Education cost inflation can exacerbate socioeconomic disparities, making quality education unattainable for many. It is crucial for policymakers and educational institutions to address these disparities and ensure equal access to education. Initiatives such as need-based scholarships, subsidized education loans, and targeted financial aid programs can help bridge the gap and make education more affordable for disadvantaged students.  7. Advocating for Policy Reforms  To effectively address education cost inflation, advocacy for policy reforms is vital. Stakeholders, including parents, educators, policymakers, and students, should come together to raise awareness and voice their concerns regarding rising education expenses. This can prompt policymakers to take necessary measures such as regulating fee structures, promoting transparency in cost calculations, and implementing long-term strategies to curb education inflation.  8. The Importance of Financial Literacy  Financial literacy plays a significant role in preparing individuals and families for the future cost of education. By understanding financial concepts such as budgeting, saving, and investing, individuals can make informed decisions regarding educational expenses. Promoting financial literacy programs in schools and colleges can empower students to manage their finances effectively and plan for their educational aspirations.  Conclusion Addressing the rising cost of education after 20 years in India requires a multi-pronged approach involving technology, policy reforms, financial literacy, collaborations, and investments in infrastructure. By taking proactive measures, we can ensure affordable and accessible education for all.  TALK AN EXPERT

Welcome to the world of joint degree programs! If you're dreaming of earning degrees from two different schools or countries, but are worried about financing it, an abroad education loan can be your gateway to realizing your educational aspirations. Discover how to make it work for yourself.  Understanding Joint Degree Programs  Joint degree programs offer students a unique opportunity to earn degrees from two different schools or countries. These programs often combine the expertise and resources of multiple institutions, providing a diverse and enriching academic experience. Before exploring how to finance such programs, it's essential to have a clear understanding of the joint degree program you wish to pursue.  1. Researching Abroad Education Loan Options  Identify Lenders: Start by researching financial institutions or lenders that specialize in providing education loans for international students. Look for lenders with experience in funding joint degree programs specifically.  Loan Criteria: Understand the eligibility criteria, interest rates, repayment terms, and other conditions associated with abroad education loans. Compare different lenders to find the best loan options that suit your needs.  Loan Application Process: Familiarize yourself with the loan application process. Gather the necessary documents, such as admission letters from both institutions, financial statements, and identity proofs, to support your loan application.  https://www.youtube.com/watch?v=4gTQkdePOWM 2. Financial Planning and Budgeting  Tuition and Living Expenses: Determine the total cost of the joint degree program, including tuition fees, accommodation, transportation, health insurance, and other living expenses. Create a comprehensive budget to estimate the amount of funding required.  Loan Amount: Calculate the loan amount you need to cover your expenses. Consider both tuition fees and living costs, ensuring you have a realistic estimate to avoid any financial difficulties during your studies.  Collateral and Guarantor: Some lenders may require collateral or a guarantor to secure the loan. Understand the collateral options available, such as property or investments, and assess the feasibility of providing a guarantor if necessary.  https://www.youtube.com/shorts/rTHsIe85tMY 3. Loan Repayment and Financial Management  Repayment Plans: Understand the repayment plans offered by the lender. Consider options such as deferred repayment, interest-only payments during the study period, and flexible repayment terms. Choose a plan that aligns with your financial situation and future goals.  Financial Management: While studying, practice effective financial management to ensure you make the most of your borrowed funds. Keep track of your expenses, stick to your budget, and explore opportunities for part-time work or scholarships to supplement your income.  Post-Graduation Financial Planning: Plan for the post-graduation phase, including job prospects, expected income, and repayment strategies. Develop a realistic financial plan to manage your loan repayments effectively once you start working.  https://www.youtube.com/shorts/uPGJr3BiXpI 4. Seek Professional Guidance  If you're uncertain about the loan process or need assistance in financial planning, consider seeking guidance from educational consultants, financial advisors, or student loan counselors. Their expertise can provide valuable insights and help you make informed decisions about financing your joint degree program.  Remember, an abroad education loan can open doors to incredible educational opportunities. By understanding the loan options available, conducting thorough research, and planning your finances wisely, you can turn your dream of pursuing a joint degree program into a reality.  https://www.youtube.com/watch?v=tdwqQH0xkFw 5. Scholarships, Grants, and Other Funding Sources  Explore Scholarships: Research scholarships and grants specifically designed for joint degree programs or international students. Many universities, governments, organizations, and foundations offer financial aid opportunities that can significantly reduce your financial burden.  Application Deadlines: Pay close attention to application deadlines for scholarships and grants. Start the application process early and ensure that you fulfill all the requirements and submit the necessary documents on time.  Additional Funding Sources: Look beyond scholarships and grants to explore other funding sources. This could include part-time jobs, crowdfunding platforms, sponsorships from companies or organizations, or even family contributions. Every little bit of additional funding can make a difference.  Banks for education loans? Read More 6. Consider Cost-Saving Measures  Exchange Programs: Investigate the possibility of participating in student exchange programs between the two institutions. These programs often offer reduced tuition fees or other cost-saving benefits, making your joint degree program more affordable.  Housing Options: Explore affordable housing options such as student dormitories, shared apartments, or off-campus accommodations. Choosing a cost-effective living arrangement can significantly lower your overall expenses.  Budgeting Strategies: Implement effective budgeting strategies to manage your finances efficiently. Cut down on unnecessary expenses, prioritize essential items, and take advantage of student discounts and special offers whenever possible.  How to transfer an education loan? Read More 7. Continuous Communication with Financial Institutions  Maintaining open lines of communication with your chosen financial institution is crucial throughout the process. Stay in touch with your loan officer or representative to address any concerns or questions that may arise. Inform them about any changes in your academic plans, financial circumstances, or repayment options to ensure a smooth and well-coordinated financing experience.  8. Understand the Risks and Responsibilities  Loan Repayment Obligations: Be aware of the responsibilities that come with an abroad education loan. Understand the repayment terms, interest rates, and consequences of defaulting on loan payments. Make informed decisions and ensure you have a clear plan to manage your debt effectively.  Currency Exchange Rates: If you're studying in a different country, fluctuations in currency exchange rates can impact your loan repayment amounts. Stay updated on currency trends and consider hedging options to mitigate the risks associated with exchange rate fluctuations.  9. Embrace the Opportunities  While financing a joint degree program through an abroad education loan may seem challenging, it opens doors to extraordinary educational experiences and global networking opportunities. Embrace the journey, make the most of the resources available to you, and stay focused on your academic and career goals.  Remember, with careful planning, research, and financial management, you can successfully use an abroad education loan to finance your joint degree program and embark on a transformative educational adventure.  Conclusion By exploring abroad education loan options, seeking scholarships, practicing financial discipline, and making informed choices, you can turn your dream of a joint degree program into a reality. Embrace the opportunities that lie ahead and embark on a remarkable educational journey.  Consult an expert advisor to get the right plan Talk To An Expert

Funding is the most important yet neglected aspect of sending your child abroad for higher studies. A majority of Indian parents do not realize how expensive it is to finance a foreign education and how hard saving for your child’s education abroad is. This is because certain factors like overlooked when it comes to financial planning. Let’s dive in and understand the factors that directly affect your chances of saving for your child’s education abroad-  Education Inflation  Education inflation directly affects the cost of education. It affects your child’s tuition fees, application fees, accommodation as well as the cost of books and study supplies. In fact, the rate of education inflation far exceeds the rate of household inflation today; parents do not factor in inflation while planning or saving for their child’s education. They make the mistake of preparing for the prevailing tuition costs and living expenses rather than the future costs when their child will actually go off to college.   To ensure inflation does not eat your savings, you can calculate the future cost of education (that is when your child goes off to college) and start saving for that cost in place of the current tuition fees. Use a calculator that takes into account the study destination, your child’s desired courses, accommodation fees, and living expenses to know how much you need to save in order to help your child excel in their dream university.    Not Starting Sooner    Another factor that parents overlook when starting an education fund for their child’s education is time. Starting early is the best way to maximize gains and returns on your investments and savings. The ideal time to start planning for your little one’s education is before they are born. Parents who start early can reap the benefits of long-term investments and the magic of compounding.    Both Parents Can Save  By ensuring you and your partner contribute towards the education corpus, you can achieve this goal faster. Often, one parent takes the responsibility or ownership of saving for their child’s education but both the parents contributing to this humongous feat can be achieved far more quickly. This method of saving can help you save more and even get to the goal in time. It is a great way to ensure consistency and discipline.   Source: Pixabay Putting your eggs in one basket  A rookie mistake that many Indian parents make is that they invest in only traditional forms of investment such as FDs, gold, and real estate and undermine the value of new-age investments like Mutual funds, ETFs, stocks, bonds, etc. This is a huge disadvantage because you miss out on the opportunity to save against inflation. New-age investments offer a unique opportunity and hedge against inflationary forces which means by investing with them, you get to beat inflation. The latter investments are also more flexible and offer liquidity. There is also an opportunity to save in dollars and not rupees with new-age investments through ETFs.    Not choosing the right platform to save  Saving with the right partner or financial expert is extremely important. If you pick the right guide, you can get to your goal faster and more efficiently. Though there are many platforms that help you invest, there is a high chance they do not understand your goals as parents who wish to save for their child’s foreign education and may not offer the guidance or financial expertise you need to build a strong and diverse education corpus that beats inflation. So do your research, and figure out the best platform that understands your needs and preferences before starting a savings fund for your child’s future.   These factors can help you determine how to save when to save and how much to save for your child’s education abroad. The right guidance can do wonders for your child’s future and dreams! FAQs How can I save for education abroad? There are many ways to save to study abroad. The most profitable way is to invest in mutual funds, ETFs, and US stocks. These investments allow you to grow your wealth in a such way that it beats inflation. As a working professional, investing 20% of your income every month is an ideal start. Based on your time horizon, consult an expert and find out what's the best way to reach the goal in time. How can I save money for my child's higher education? By investing, you can save up enough for your child's higher education. You can connect with EduFund experts and find out the best investment options for your financial goals based on your risk and time horizon. How can I save money for my child's higher education? Foreign education is a way to settle abroad, gain incredible cultural experience, and even grow your career. These advantages help your child grow as a person and gain opportunities that developed countries have to offer. Foreign education is extremely expensive so planning your child's education is important and investing in mutual funds, ETFs, and US stocks is the best way to do so. Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

You have probably read the term Liberalized Remittance Scheme in your NCERT books. LRS is a framework that allows the Indian government to govern remittance flow outside of India. It is a part of FEMA. Indian foreign exchange transactions are governed by the Foreign Exchange Management Act of 1999, which provides the necessary legal framework.  In accordance with the Foreign Exchange Management Act of 1999 (FEMA), which became effective on June 1, 2000, all foreign exchange transactions are classified as either capital or current account transactions.  Any transaction outside of India that doesn't affect a resident's assets or liabilities, including potential liabilities, is considered a current account transaction.  In accordance with Section 5 of the FEMA, residents of India are free to buy or sell foreign currency for any current account activity, with the exception of transactions for which the Central Government has prohibited the use of foreign currency, such as remittances from lottery winnings and remittances from racing, etc.  Let's learn more about the Liberalized Remittance Scheme (LRS)  What is LRS?  All residents, including minors, are entitled to freely transmit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction, or a combination of both, under the Liberalized Remittance Scheme.   Furthermore, residents can use the foreign exchange facility for up to USD 2,50,000 for the purposes listed in paragraph 1 of Schedule III of the FEM (CAT) Amendment Rules 2015, dated May 26, 2015.  The Scheme was launched on February 4, 2004, with a USD 25,000 cap. The adjustment has been done to the LRS limit to reflect current macroeconomic and microeconomic situations.   The minor's natural guardian must countersign the LRS declaration form if the remitter is a minor. The Scheme does not cover corporations, partnerships, trusts, etc. What is permissible under the Liberalized Remittance Scheme?  Indian residents can use the LRS to send money overseas for tourism, education, medical treatment, stock, and property purchases, care of family living abroad, presents, and donations.   Individuals may also create, manage, and retain foreign currency deposits with foreign banks to conduct transactions.  What isn't permissible under the LRS?  Money from specific sources, such as gambling and lottery winnings, profits from certain corporations, and accrued interest from non-resident rupee bank accounts, cannot be remitted.   Individuals cannot remit funds for prohibited or unlawful activities like margin trading. Furthermore, if an individual reaches the maximum annual limit of US $250,000, the individual must seek special approval from the RBI.   The Financial Action Task Force lists nations and organizations to which you are not permitted to send money (FATF).  What documentation is needed for Liberalized Remittance Scheme?  The RBI requires remitters to fill out and submit Form A2, issued by RBI-appointed Authorized Dealers, to track the total amount of remittance sent by people.   The amount of the remittance, the purpose, and the individual's PAN number are all recorded on the form. The Authorized Dealer will validate the information and handle the remittance after receiving the document.  Is there a limit to the number of times a remittance can be undertaken?  The periodicity of transfers is unrestricted under the LRS. However, throughout a financial year, the total amount of foreign exchange purchased from or sent through all sources in India should not exceed USD 2,50,000.   A citizen would not be liable to earn anything in further money transfers under this Scheme after making one for funds up to USD 2,50,000 during the accounting year, even if the cash flows of the investments were brought back into the country.  TCS and the LRS  The government levied a 5% TCS (Tax collected at Source) on transfers sent through the Liberalized Remittance Scheme (LRS) that exceeds INR 7 lakh in the Union Budget 2020.   The new rule will be in effect from October 1, 2020. TCS will apply to all LRS payments, including equity investments in other countries.  Nature of remittancesTCSEducation expenses are financed through a loan (you will need to show proof of loan sanction)0.5% in excess of INR 7 lakhs in a financial yearEducation expenses not financed through a loan5% in excess of INR 7 lakhs in a financial yearOverseas Travel Package5% of the entire amount remitted Note: There’s no 7-lakh threshold, all transactions applicable for the TCSInternational Transaction on Debit Cards5% of the entire amount remittedNote: Same as above. All transactions are applicableTransfer from Domestic Account to NRO account5% in excess of INR 7 lakhs in a financial year (if the purpose of transfer under LRS i.e Loan to NRI/Gift to NRI etc)For any other purpose (including investments)5% in excess of INR 7 lakhs in a financial year It's a widespread misunderstanding that Indians can't invest in the United States.   Citizens of India can send USD and invest in US equities through the LRS as long as they adhere to the maximum limit rules and buy USD from an Authorized Dealer.   In reality, Indian people sent USD 442 million to invest in overseas shares and debt in 2017. FAQs How much money can you send abroad under the liberalized remittance scheme? All residents, including minors, are entitled to freely transmit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction, or a combination of both, under the Liberalized Remittance Scheme. What money transfers are permissible under the LRS? Indian residents can use the LRS to send money overseas for tourism, education, medical treatment, stock, and property purchases, care of family living abroad, presents, and donations.   Individuals may also create, manage, and retain foreign currency deposits with foreign banks to conduct transactions. Who is eligible for LRS? Indian residents come under the gambit of LRS. Anyone who owns a valid pan card has a functioning bank account and a valid passport can avail of the benefits of Liberalised Remittance Scheme. Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

State boards play a significant role in the Indian education system. This brief overview explores the advantages and disadvantages of state boards, highlights the top 10 state board schools in India, discusses the best state board, and examines the key differences between state boards and CBSE.   Advantages of State Boards   Regional Relevance: State boards design their curriculum to suit the cultural, social, and economic context of the respective state, ensuring students connect with their local environment. This promotes a sense of identity and familiarity, making education more relatable and meaningful to students.   Language Flexibility: State boards provide flexibility in choosing the medium of instruction, enabling students to learn in their preferred language. It also enhances language proficiency and communication skills.   Inclusive Approach: State boards often accommodate a wide range of student's abilities and learning styles. They emphasize inclusive education, offering support systems and alternative teaching methods to cater to the diverse educational needs of students.   Disadvantages of State Boards   Limited National Recognition: State board examinations may not carry the same national recognition as CBSE or other central boards. This can pose challenges for students aspiring to pursue higher education or seek employment opportunities outside their state, as their academic qualifications may not be universally accepted.   Variability in Standards: The quality of education and evaluation standards may vary across different state boards. This variability can lead to inconsistencies in learning outcomes and student performance, making it difficult to compare students from different state boards on a level playing field.   Limited Curriculum Choices: State boards might offer a narrower range of elective subjects and educational streams compared to national boards. This could restrict students' options when it comes to choosing specialized subjects or pursuing specific career paths.  Top 10 State Board Schools in India   Delhi Public School, R.K. Puram, Delhi   St. Xavier's Collegiate School, Kolkata, West Bengal   The Doon School, Dehradun, Uttarakhand   Bishop Cotton Boys' School, Bangalore, Karnataka   La Martiniere for Boys, Kolkata, West Bengal   Sishya School, Chennai, Tamil Nadu   Mayo College, Ajmer, Rajasthan   Mount Carmel Convent School, Chandigarh   Modern School, Barakhamba Road, Delhi   Loyola High School, Pune, Maharashtra   Advantages and Disadvantages of the CBSE Board Read More Best State Board in India  Determining the "best" state board is subjective and depends on various factors like infrastructure, faculty, extracurricular activities, and academic performance. However, state boards such as the Maharashtra State Board of Secondary and Higher Secondary Education, Tamil Nadu State Board of Secondary Education, and Karnataka Secondary Education Examination Board have been recognized for their consistent performance and student success rates. These boards have demonstrated a commitment to quality education and have produced outstanding academic results over the years.   Difference between CBSE and State Board  Curriculum: CBSE follows a national curriculum established by the Central Board, ensuring uniformity across the country. The curriculum provides a well-rounded education with a focus on core subjects like Mathematics, Science, and English, along with optional subjects. State boards, on the other hand, develop their curriculum independently, incorporating regional requirements and cultural aspects specific to their states. This allows state boards to emphasize local language, literature, and history, providing a deeper understanding of the state's culture and heritage.   Evaluation System: CBSE employs a uniform evaluation system throughout the country, consisting of a standardized marking scheme and grading system. The evaluation process is structured and follows a centralized pattern, with common question papers and a centralized checking process. In contrast, state boards have the flexibility to devise their own assessment methods and grading systems, which may vary from one state to another. State boards often have their own question papers and evaluation processes, allowing them to tailor assessments according to the specific needs and objectives of the state.   Recognition: CBSE is widely recognized across India and is accepted by most universities and colleges nationwide. It provides a broader scope of recognition, making it easier for students to seek admission or employment opportunities in different parts of the country. State board examinations, however, may have limited recognition outside their respective states. This can pose challenges for students who wish to pursue higher education or career prospects outside their home state, as they may be required to undergo additional evaluations or meet specific eligibility criteria.   Teaching Methodology: CBSE places emphasis on interactive and activity-based learning methodologies. The board encourages practical applications of knowledge, critical thinking, and problem-solving skills. State boards, on the other hand, may have different teaching approaches based on their regional context. Some state boards may prioritize rote learning and traditional teaching methods, while others may adopt innovative pedagogical practices. The teaching methodology can influence the student's learning experience and their ability to adapt to different educational environments.   Standardization and Syllabus Updates: CBSE maintains a standardized curriculum and syllabus across all affiliated schools. The board periodically updates its syllabus to align with emerging educational trends, changes in the industry, and advancements in various fields. State boards, however, may have variations in syllabus content and updates. The syllabus revision process in state boards can sometimes be slower, leading to a time lag in incorporating changes and updates.   State boards and CBSE have distinct advantages and considerations. While state boards offer regional relevance and inclusivity, CBSE provides national recognition and a standardized curriculum. Choosing between them depends on individual needs and aspirations, ensuring a well-informed decision for a student's educational journey. 

International students have always favored the United Kingdom as a study-abroad location. This has been particularly true for international students, including those from the European Union (EU), European Economic Area (EEA), and Switzerland. However, due to Brexit, new regulations have taken effect in 2021 for all EU/EEA and Switzerland citizens. We have compiled this blog with all the information you need about tuition and living expenses in the UK to clarify everything for your child and all the other international students. https://www.youtube.com/watch?v=o-xEGg3N0Os UK University tuition fees There have previously been two different tuition fee structures available in the UK: The cost for domestic students, Irish nationals, and those from the EU, EEA, and Switzerland often pay these lower fees. The cost for international students is significantly higher for all remaining non-EU/EEA students, sometimes by two or three times. However, after Brexit, a lot is different. For students who are from Switzerland or the EU/EEA and have started studying in the UK after January 1, 2021, the following are the key details they need to be aware of: They do not have the domestic fee status or access to student loans and are required to pay the total tuition costs set by each university individually if they have arrived in the UK after January 2021 and began their study program after August 2021. These changes do not affect Irish nationals and students who began courses before implementing this new policy. https://www.youtube.com/watch?v=EyP3Li4ofNg 1. Tuition fees at UK’s public universities Tuition fees at public UK universities can vary widely. Depending on the university, the discipline, and the length of the studies, the domestic cost typically runs from ₹5 to 9.2 lakhs per year. The international fee is typically more than the initial domestic fee by ₹2.5 – 7.2 lakhs. In some circumstances, it may even be twice as expensive as the domestic cost. 2. Tuition fees at UK’s private universities Private higher education is often more expensive, while private university study programs offer tuition fees equivalent to those at public institutions. Furthermore, these institutions frequently do not distinguish between people of the EU/EEA and those of other countries. Students may pay anything from ₹4.5 to over 32 lakhs per school year. Business and medicine are the most expensive majors at both public and private colleges. Living Expenses in the UK for International Students Read More Recommended universities in the UK Imperial College London King’s College London Coventry University Hult International Business School Leeds Beckett University Living expenses of students in the UK Living as an international student in the United Kingdom is not inexpensive. However, where they choose to live significantly impacts how much money they spend. Monthly living expenses in well-known locations like London might easily exceed ₹1.3 lakhs. But they can live comfortably in smaller towns with a monthly budget of ₹60,000 - 1.1 lakhs. 1. Costs of student accommodation  Many colleges offer dorms for students in the UK. These places provide excellent value for money and include utility fees in the final cost. First-year students mostly prefer student residential halls. Many graduates rent a private space after their first academic year, alone or with other students. Although it is more expensive, this choice provides a more accurate picture of what life is like in the actual world. These accommodations cost between ₹60,000 to 1.3 lakhs/month. Monthly expenses and utilities will cost another ₹10,000–17,000 to your expenditure. 2. Cost of food in the UK Students will be spending between ₹15,000 and 26,000 on food and groceries. This budget will increase quickly if they eat out and order food often.  3. Transportation costs Your child can choose from various public transport options for their daily commute, most of which offer discounts to students or young people. There may be regional or city-specific variations to these discounts, but the following are a few instances: Train: Full-time students who purchase a Young Persons Card, which typically costs ₹3,000, receive a 30% discount. Tube within London: 30% off the Oyster Student Card bus for students over 18.  Bus: For a one-way ticket, they must pay ₹150-300. 4. University scholarships and grants International students can apply for scholarships and other financial aid forms in the UK. They must fulfill the admission requirements to be a successful applicant. Scholarships are typically given out based on various factors, including financial need, nationality, prior academic success, etc. Criteria to obtain higher education loans for the UK Read More Conclusion  Universities and colleges in the United Kingdom are sought after for their quality of education. Hence, it is a great destination to send your child to study. But it is one of the most expensive countries to live and study in. Always look for scholarships and financial aid options before finalizing the university. If there is any confusion regarding the fee structure or a need for any advice, our team of efficient financial advisors is just a call away to clarify your doubts. Consult an Expert Advisor

In the previous article, we read about how to finance your child's education post-pandemic. In this article we will discuss are scholarships in the USA enough to cover your child's college costs. Traditionally, the USA has been the go-to destination for foreign education despite the price tag. The country tops the charts when it comes to higher education and offers grants, scholarships, and fellowships to international students as an incentive to study in the country. While many universities offer scholarships in the USA, the question remains Are scholarships enough to cover your child’s college costs in the USA? Scholarships in the USA: Quick Overview There are various American universities and third-party organizations that offer scholarships. However, most scholarships cover only a part of the expenses. For instance, While Fulbright Scholarships for Masters and Ph.D. programs and Yale University Scholarships for Undergrad, Master’s, and Ph.D. courses are proposed as fully funded, the fact is not every student is offered a full ride. While a Yale scholarship can go up to USD 70,000, the average scholarship awarded is around USD 50,000. This must be taken into consideration while planning overseas studies. Higher education in the USA in a well-reputed college gives your child access to the best networks, education, and teaching faculty but it's also a costly affair. Scholarships and grants offer relief to an extent and your child will either rely on a student loan or your savings for their education. In fact, the difference in currency rates makes the overall expense amounts even larger, especially if the savings are stored in the local currency. Apply for Scholarship Know that scholarships in the US are available on a need basis and merit basis. Need-based scholarships need to be renewed annually following the submission of necessary eligibility documents. For most graduate courses, scholarships will fund only a part of the expense. The rest has to be covered by the student. There are various research assistantships and other on-campus job opportunities available that help students cover at least a part of their expenses. 1. Expenses to be considered When a student is planning to travel to the USA for a college education, there are several expenses to be considered. These include tuition fees, university registration, security deposit, flights, stay, meals, and even projects that may include travel. 2. Will my child get a full scholarship? Full scholarship for undergraduate students is rare in the US. Most local students apply for and get federal aid, but they are also required to fund part of their studies on their own. Most students at this juncture apply for an educational loan that takes years to settle. In most universities, similar rules apply to international students as well. Part of the tuition fee is covered under the scholarship for international students, but the remaining tuition fee and all other expenses have to be borne by students on their own. Even in the case of a few colleges that offer 100% scholarships to needy students, the same is applicable only for the first year of study. For the following academic years, the student must arrange funds at his/her end. 3. Criteria for applying for scholarships to study in the US for Indian students While each university will have its own eligibility criteria for scholarships, here is a list of some standard criteria that are considered for scholarships: Students must have good academic scores. This is considered along with your selected university, subject, and level. Universities in the US place significant weight on extracurricular activities such as hobbies, athletics, leadership camps, and volunteering work. The requirements of each scholarship vary and parents would do well to check the eligibility criteria a couple of years in advance to help the child build an appropriate application. In research-centric programs, students typically have to submit original written documents as proof of their capability and ability to think and work in their chosen field. 4. When to apply? The procedures are typically long, and at times applications being considered for the scholarship may also come back with queries or requests for additional documentation. Hence it is best for students to start with the scholarship application procedure about 8-12 months before their preferred intake begins. 5. Building your corpus for international education in the US This is where a planned financial approach comes in. Typically, a four-year undergrad program at any of the top-ranking universities in the USA, with tuition fees, flights, stay, and other standard expenses amounts to Rs. 70 lakhs (as of 2022). Even for a post-grad course, the two-year course in a good university would work out to over Rs. 50 lakhs in just tuition fees. As parents, you need to be aware that while scholarships are available, these will only take care of a part of your expenses. So, if your child is planning to pursue a college education in the USA, you need to start saving and judiciously investing funds at least 10 years in advance. This enables you to put together a substantial corpus over time. And when the time comes, your child will be free to choose the college and course of his/her choice! FAQs Will my child get a full scholarship to study in USA? Full scholarship for undergraduate students is rare in the US. Most local students apply for and get federal aid, but they are also required to fund part of their studies on their own. Most students at this juncture apply for an educational loan that takes years to settle. What are some popular scholarships to study in USA? Here are some popular scholarships to study in USA: US Fulbright Scholar Program.Fulbright Foreign students scholarship.Clark Global Scholarship Program.The HAAA Scholarship.Yale University Scholarships USA What is the criteria for applying for scholarships in the USA? While each university will have its own eligibility criteria for scholarships, here is a list of some standard criteria that are considered for scholarships: Students must have good academic scores. This is considered along with your selected university, subject, and level. Universities in the US place significant weight on extracurricular activities such as hobbies, athletics, leadership camps, and volunteering work. The requirements of each scholarship vary and parents would do well to check the eligibility criteria a couple of years in advance to help the child build an appropriate application. TALK TO AN EXPERT

College application rejections can be disheartening, but it is crucial to understand the reasons behind them and learn how to cope with disappointment. This article explores common causes for rejected college applications and provides valuable insights on navigating the challenging emotions that arise from being denied admission.  5 Reasons for Your College Application Rejection 1. Insufficient academic performance  One of the primary reasons for college application rejections is insufficient academic performance. Admissions committees typically consider high school transcripts, standardized test scores, and letters of recommendation when evaluating applicants. If a student’s grades or test scores do not meet the college’s expectations, the application may be denied.  2. Lack of extracurricular activities  Colleges are not only interested in academic achievements but also in extracurricular activities. They look for students who are well-rounded and have diverse interests. If an applicant’s application lacks evidence of participation in extracurricular activities, it may result in a rejected college application.  3. Poorly written essays  Essays are an important part of the college application process, as they provide insight into a student’s personality, interests, and writing skills. Poorly written essays that lack structure, coherence, and grammar can be a major reason for college application rejections.  4. Failure to meet application deadlines  Applying to college requires careful planning and organization. Missing application deadlines can result in rejected college applications, regardless of how strong the applicant’s credentials are.  5. Limited availability of spots  Competition for college admission is high, and some colleges receive more applications than they have spots available. In such cases, even strong applicants may be rejected due to the limited availability of spots.  https://www.youtube.com/watch?v=xFjLC2BGnYc 15 Ways to Deal with College Application Rejections  Receiving a college rejection letter can be discouraging and overwhelming. However, it’s important to remember that rejection does not reflect one’s worth or potential. 1. Allow yourself to feel your emotions  It’s okay to feel sad, disappointed, or frustrated. Recognize your feelings and give yourself permission to process them.  2. Don’t take it personally  Remember that college admissions decisions are based on a variety of factors, and rejection does not define you or your abilities.  3. Reframe your mindset  Instead of seeing rejection as a failure, try to reframe it as an opportunity to learn and grow. Consider other options, such as attending a different college or taking a gap year.  4. Seek support  Talk to your family, friends, or a guidance counselor about your feelings. Seeking support can help you process your emotions and gain perspective.  5. Keep moving forward  Remember that college rejection is not the end of the road. Keep working hard and pursuing your goals, and you will eventually find success in your academic and personal pursuits.  6. Inadequate preparation for standardized tests  The SAT or ACT and other standardized exams are important factors in college admissions. If an applicant's test scores fall below the average range of accepted students or fail to meet the college's requirements, it can lead to a rejected application. Inadequate preparation or lack of familiarity with the test format can contribute to lower scores.  7. Inconsistent or incomplete application materials  Submitting an incomplete or inconsistent application can raise red flags for admissions committees. Missing documents, incomplete forms, or discrepancies in information can create doubts about an applicant's ability to follow instructions or pay attention to detail, potentially resulting in a rejected college application.  8. Weak letters of recommendation  Strong letters of recommendation from teachers, counselors, or mentors can greatly enhance an applicant's chances of admission. However, if the letters lack depth, or personal anecdotes, or fail to highlight the applicant's strengths and achievements, they may not have a positive impact on the application and could contribute to rejection.  9. Unsuitable fit with the college's values or program  Colleges seek students who align with their values, mission, and academic programs. If an applicant's essays or application materials fail to demonstrate a genuine interest in the college or a clear connection with its offerings, it may lead to rejection. Researching and tailoring applications to fit the college's culture and academic offerings can significantly improve the chances of acceptance.  10. Limited space for transfer students  Transfer students face unique challenges, as colleges often have limited space available for them. Rejected college applications for transfer students can be a result of limited availability of spots or specific requirements that were not met. Understanding the transfer admission process and meeting all the necessary criteria is crucial to maximizing the chances of acceptance.  11. Explore alternative options  If faced with rejection, it's important to explore alternative options. Consider applying to other colleges or universities that still have open admission periods or explore community colleges as a stepping stone to transfer to a desired institution later.  12. Request feedback or reconsideration  Some colleges may offer the opportunity to request feedback on the application or reconsideration of the decision. If available, take advantage of these options to gain insights into areas for improvement or to present additional information that might influence the decision.  13. Focus on the positives  Reflect on your accomplishments, strengths, and goals. Remember that college rejection does not define your worth or potential. Redirect your energy towards pursuing other opportunities and embracing new experiences.  14. Seek guidance from mentors  Reach out to mentors, teachers, or counselors who can provide guidance and support during this challenging time. They can offer valuable advice, help you explore alternatives, and assist in finding the right path forward.  15. Learn from the experience  Use the experience of college rejection as a learning opportunity. Assess your application, identify areas that could be strengthened, and work on improving those aspects for future applications or academic endeavors.  Conclusion Remember, college rejection is not the end of the road. Many successful individuals have faced rejection at some point in their lives but persevered to achieve their goals. Stay determined, maintain a positive mindset, and keep working towards your dreams.  College application rejections can occur due to various factors. While facing rejection can be difficult, it is essential to remain resilient, learn from experience, and pursue alternative paths to achieve academic and personal success. 

A college education is an essential investment in a student's future. However, the rising cost of education can be a significant barrier for many students and their families. To make informed decisions, an education cost calculator can be an incredibly helpful tool. In this context, this article explores the benefits of a college cost calculator, including the availability of college cost calculators in India.  The cost of college education has steadily increased in recent years. The College Board estimates that for the 2020–2021 academic year, in-state residents attending public schools will pay an average of $10,560 in tuition and fees, and out-of-state students attending public universities will pay an average of $27,020 in tuition and fees. Private institutions will charge an average of $37,650 in tuition and fees. These costs do not include additional expenses like room and board, textbooks, and transportation, which can add up quickly.  With these high costs, it is more important than ever for students and their families to make informed decisions when it comes to financing their education. This is where a college cost calculator can be incredibly helpful.  A college cost calculator estimates the total cost of attending a college or university based on factors such as tuition and fees, room and board, books and supplies, and other expenses. It also considers a student's financial aid eligibility and family income to calculate the net price of attendance.  EduFund College Cost Calculator One significant benefit of a college cost calculator is that it provides students and families with a realistic estimate of the total cost of attending a particular college or university. This estimate is based on the current tuition rates and includes estimates for other expenses like room and board, textbooks, and transportation. By using a college cost calculator, students can have a better idea of the total amount they will need to pay for college.  Furthermore, a college cost calculator can also help students determine their eligibility for financial aid. Financial aid can be crucial in helping students cover the cost of college, and it can come in the form of grants, scholarships, work-study programs, and loans. A college cost calculator takes into account a student's family income and other factors to determine their financial aid eligibility, giving students an idea of the amount of aid they may receive.  In addition to estimating the cost of attendance and financial aid eligibility, college cost calculators can also help students compare the costs of different colleges and universities. This can be especially helpful for students who are considering multiple schools and want to make an informed decision about which one to attend. By comparing the net price of attendance at different schools, students can see which one offers the best value for their money.  Education cost calculators are especially important in India, where the cost of education can be a significant barrier for many students. According to a report by the National Sample Survey Organization (NSSO), the average cost of education in India is around Rs 23,000 per year for rural areas and Rs 40,000 per year for urban areas. This amount is significant, especially for families with lower incomes.  An education cost calculator can be a helpful tool for students and their families in India. It can provide them with an estimate of the total cost of attending a particular college or university. This estimate can be based on various factors, such as tuition and fees, room and board, books and supplies, and other expenses. College Cost Calculator Read More By using an education cost calculator, students and families can make informed decisions about financing their education and ensure that they are not overburdened with debt.  In addition to estimating the cost of attendance, an education cost calculator in India can also help students determine their eligibility for scholarships and other forms of financial aid. Scholarships and grants can be crucial in helping students cover the cost of education, and an education cost calculator can help students identify which scholarships they may be eligible for.  Another benefit of using an education cost calculator in India is that it can help students plan for their future. By estimating the cost of attendance and their financial aid eligibility, students can create a plan for financing their education and ensure that they are not burdened with debt after graduation. This can help students make informed decisions about their career path and ensure that they are not limited by financial constraints.  College cost calculators and education cost calculators are significant for students and their families as they navigate the complicated landscape of financing higher education. These tools can help students plan for the cost of attending college and make informed decisions about which schools to apply to, which programs to pursue, and how to finance their education.  Another advantage of using college cost calculators and education cost calculators is that they can help reduce financial stress and anxiety for students and their families. Knowing the cost of attendance and financial aid eligibility in advance can help students plan for the future and avoid unexpected expenses. This can help students and their families feel more in control of their finances and reduce stress and anxiety related to the cost of education.  Furthermore, college cost calculators and education cost calculators can also help students identify ways to reduce the cost of attendance. For example, students can use the calculator to estimate the cost of living off-campus versus living on-campus. They can also use it to compare the costs of attending a two-year college versus a four-year university.  In summary, college and education cost calculators can benefit students and their families by reducing financial stress, identifying cost-saving measures, and increasing access to higher education. Education cost calculators are particularly crucial in addressing financial inequality in education in countries like India. 

In this article, we will discuss key factors of investing. This article will make it easier for you to make intelligent investment decisions.   Everybody wants to become wealthy quickly and have a lavish lifestyle, but as we all know, Rome was not built in a day. You must have patience, practice financial discipline, and most importantly, make sensible investments if you want to become wealthy.   5 Factors of Investing   1. Have a clear financial plan Investments made without a purpose are of no use. Therefore, the secret to your financial success is a solid financial strategy.   Your existing income, obligations and short-term and long-term goals should all be accounted for in a sound financial plan. Most significantly, your financial strategy should be on the basis of your financial objectives, risk tolerance, and capacity for bearing losses.   Only once you have a detailed financial blueprint should you move forward with your investments.  2. Start early As emphasized by us in many previous blogs, starting investments at an early age is a considerable advantage for you because your money gets much more time to show the compounding effect.   The early investment allows you to use compounding - reinvesting your investment profit to increase your earnings.   The first is reinvestment and the second is time - both essential factors for compounding to function.  Example: Let us understand this with an example - Reshma invests Rs 10,000 at 6% in her first year of investing. Instead of taking out the Rs 600 (Rs 10,000x1.06) that she earned in year one, she reinvests it in the same instrument.   Assuming the interest rate remains the same, she earns Rs 11,236 (Rs10,600x1.06) by year two. Thus, just by staying invested, her money begins to compound, and her wealth increases yearly – this is called the Power of Compounding.  3. Diversification Proper asset allocation is a crucial aspect of investing. No matter how appealing the profits may seem, you should never put all your eggs in one basket.   Your risk is distributed when you invest across asset classes like equity, debt, commodities, and real estate - because different asset classes carry varying levels of risk and do not necessarily move in the same direction.   Source: pixabay 4. Beware of Inflation Your assets may lose value rather than gain if you do not invest your hard-earned cash wisely this is a result of inflation, which is the gradual increase in prices that can reduce the purchasing power of your money.  Let us observe what happens. Say A hides 50,000 rupees in a mattress for 15 years. In 15 years, the value of money would have been rupees 23,160 if the average annual inflation rate were considered 5%.  Therefore, you mustn't let your money sit about idly; instead, choose investments that outperform or at the very least stay up with inflation.   5. Stay invested for the long term You should always keep your long-term objectives, such as purchasing a home, funding your children's education, getting married, and retiring, while making investments.   Avoid letting market highs and lows derail your course toward achieving the long-term objectives that you have set.   The ideal course of action for you is to make a predetermined investment plan where you decide on a predetermined amount of money to be put across various asset classes in inflation-adjusted instruments.   Investments must be made in a disciplined manner over some time without being distracted from your long-term goals. FAQs What are the key factors to consider before investing? The key factors to consider before investing are your financial goals, your risk factor, the time horizon of investment, your investment amount, and your portfolio management. What are the 5 golden rules of investing? The 5 golden rules of investing are - knowledge of investing, keeping track of your investments, diversification, understanding the risk involved, and investing for the long term. Does inflation impact your investments? Yes, inflation has a huge impact on your investments. This is why choosing the right type of investment for the long-run is important. Investors are encouraged to invest in assets that can yield returns that beat inflation so that their money holds value in the long term horizon. Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

ETFs (exchange-traded funds) are a straightforward method to begin investing. ETFs are easy to understand and can generate significant returns with little cost or effort.  Here is everything you need to know about ETFs, including how they work and how to do investing in US ETFs. What is an exchange-traded fund (ETF)?  An ETF, an exchange-traded fund, enables investors to buy many shares or bonds at once. Investors purchase ETF shares, and the funds are employed to invest in a specific way.   If you buy a Nasdaq 100 ETF, your money is put in the index's 100 companies. The ETF trading on the exchange is precisely like a regular stock.   Throughout the trading day, ETFs are bought and sold, and the price of an ETF share might swing above or below its net asset value (NAV) according to supply and demand.  Although ETFs and Mutual Funds appear to be similar on the surface, both are bundles of assets in which thousands of owners regularly invest; they have a few key differences.   Mutual Funds, for example, are usually actively managed. Unlike ETFs, which trade continuously throughout the day, mutual funds are transacted once daily.   Mutual fund prices are determined once every 24 hours based on the NAV at the end of the trading day.  ETFs have two categories: passive and active. Passive ETFs (also known as index funds) monitor a stock index like the S&P 500. Passive ETFs replicate the performance of an index. Active ETFs hire portfolio managers to invest their money. Active ETFs aim to outperform a benchmark index.  5 Steps on how to Invest in US ETFs The first step is to open an account with a brokerage firm. This account can be used to buy and sell stocks, ETFs, commodities contracts, and other securities. For all deposits, the broker acts as a custodian. A broker which provides services in India and the USA must be selected.  Make an ETF investment strategy that suits your goals and risk profile.  Once the investor decides on his investment strategy, he should focus on the ETFs. He should research the various types of ETFs available in the market.  The final step in the ETF purchase process is to purchase the ETF. The investor must first deposit monies into the brokerage account from which the purchase will be performed. After ensuring that the funds are sufficient, the investor must look for the ETF ticker symbol and make a buy order. The investor must also specify the number of ETF shares he wants to buy. ETF shares cannot be purchased in fractions in most cases. Confirm the order.   Since the investor has purchased the shares, he must prepare an exit strategy for minimizing losses (if any) or minimizing capital gains taxes.  What to look for in the ETFs before buying/investing?  Expense ratio: Expenses eat into the earnings of the investor, so the smaller the expense ratio, the better. In addition, an investor should consider the costs charged by an ETF to maintain a portfolio.  ETFs often have lower costs than actively managed funds since they track an underlying index. When purchasing specialty ETFs, however, an investor must use caution.  Volume: ETF volume reflects the ETF's trading potential and, as a result, its liquidity. Higher volume means lower spreads and more liquidity.  Underlying Holdings: Look at the underlying holdings of the ETF.   Performance: Look at the fund's past performance and compare that to its peers.   Market price: An ETF should ideally trade near its NAV. Before making any acquisitions, investors should consider the NAV.   Beta: Beta measures how much security is likely to go up or down daily concerning the tracking Index. It is, in essence, a measure of a security market or systemic risk.   For example, a stock having a beta =1.0 swings in tandem with the general market, so a 1% increase or decrease in the underlying index is mirrored by a 1% gain or fall in the ETF's price.  Alpha: Alpha is referred to as 'excess return', which measures the return earned by a stock above or below the market's demand for its risk class.  Age of the ETFs: The age of the fund can be used as a proxy for the reliability of the fund. A fund that has been around for a considerable time must have a proven track record.   Why should you invest in US ETFs?  All key US stock exchanges have companies listed worldwide, making it a potential investment destination. If you invest in the US share market, you diversify your financial portfolio while investing in worldwide companies.   The equity market in the United States is the largest in the world. The US financial markets accounted for 54.5 percent of worldwide stock market value as of December 2021.  Investments in US stocks can help you get a good return on your money because global corporations are there, and the return you receive will be high due to various factors.  Unlike India, you can hold US stocks in fractions. After all, buying a single Google share is out of range for most individuals. You can own a part of the company for as little as Rs 1,000 or even less.  According to historical data, the Indian Rupee has been losing value against the US dollar, and there is a probability that this trend may continue.  The rupee-to-dollar exchange rate influences the profit you make from foreign equities. Any rupee weakening helps boost profits if dollar-denominated investments such as US shares appreciate.   Even if global markets are disappointed or remain steady, you benefit if the rupee falls against the dollar.  How to send money to the United States?  All residents, including minors, are entitled to freely transmit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction, or a combination of both, under the Liberalized Remittance Scheme.  Furthermore, residents can use the foreign exchange facility for up to USD 2,50,000 for the purposes listed in paragraph 1 of Schedule III of the FEM (CAT) Amendment Rules 2015, dated May 26, 2015.  Indian residents can use the LRS to send money overseas for tourism, education, medical treatment, stock and property purchases, care of family living abroad, presents, and donations.   Individuals may also create, manage, and retain foreign currency deposits with foreign banks to conduct transactions. The scheme does not cover corporations, partnerships, trusts, etc.  All about taxation when investing in the US Market Let us sum up the taxation aspect in an easy-to-understand flowchart  1. Dividends  An intended distribution of a company's profit to its shareholders is known as a dividend. You must thus pay the tax on the dividend you receive because your investment is lucrative.  2. Capital gains on the sale  You can choose to make money or lose money when you sell a stock. If you experience a loss, no tax is owed; but, if you experience a profit, you must pay capital gains tax.  The capital gains tax rate is based on how long the stock has been held. Foreign investors in US stocks are not subject to the country's capital gains tax. However, the Capital Gains Tax plan in India requires you to pay taxes.  a) Long-Term Capital Gains Tax Rate (LTCG)  If you own a stock for more than 24 months, the profit from selling it would be taxed at the Long-Term Capital Gains rate in India. Long-term capital gains are taxed at a rate of 20%. (Plus, any additional surcharge and cess).  b) Short-Term Capital Gains Tax Rate (STCG)  If a sale is made before the 24-month period, it will be considered normal income, and the tax rate will depend on your tax bracket.  Understanding some critical ETF terms  Smart Beta ETFs - "Factor-based" or "Strategic Beta" ETFs are other names for Smart Beta ETFs. These ETFs wisely select their underlying assets in keeping with their namesake.  These ETFs choose the primary assets based on factors other than market capitalization.  ETF liquidity - 2 different types of allied liquidities - Primary and Secondary.  Primary Liquidity is the Liquidity associated with the ease of creating and redeeming ETF shares with the help of underlying securities.   The Liquidity of the underlying securities plays a significant role in determining the Liquidity of the ETF shares in the primary market.  Secondary Liquidity is the Liquidity associated with the already created ETF shares in the stock market. This Liquidity is generally the visible Liquidity on the market.   The non-institutional investors or investors with a smaller scale of operations generally are concerned with this type of liquidity. Investors buy and sell ETF units on the secondary market without the involvement of the ETF issuer.  Tracking difference - which can be either positive or negative, indicates how well a fund has outperformed or underperformed its benchmark index.   It's derived by subtracting the fund's total return from the benchmark's total.  Tracking error - reflects how much variability occurs among the individual data points that make up the fund's average tracking difference.  The value of a fund's assets subtracted the value of its liabilities is known as net asset value (NAV). The term "net asset value" is frequently used in the context of mutual funds and ETFs, and it refers to the value of the assets owned in the fund.  If the ETF's price is higher than its NAV, it is considered to be trading at a "premium." In contrast, if the ETF's price is below its NAV, the ETF is considered to be trading at a "discount." Spread - At any given point in the market, there are two prices: the sale price, i.e., 'ask' and the other to buy, i.e., 'bid'. Buyers of ETFs aim to pay a fair price and, if possible, a discount on the market price of the core securities in the ETF, while sellers want to get the highest price -leading to the existence of spreads.   International investments allow you to diversify your portfolio and acquire exposure to new markets. Geographic diversification can help mitigate country risk, such as the chance of bad events affecting India's domestic economy.   Furthermore, when comparing investing in Indian vs US markets, US stocks have traditionally displayed lower volatility, higher returns, and greater foreign exposure.  FAQs What is an exchange-traded fund (ETF)? An ETF, an exchange-traded fund, enables investors to buy many shares or bonds at once. Investors purchase ETF shares, and the funds are employed to invest in a specific way.   If you buy a Nasdaq 100 ETF, your money is put in the index's 100 companies. The ETF trading on the exchange is precisely like a regular stock. What to look for in the ETFs before buying/investing?  There are many parameters to look out for while buying an ETF: performance, expense ratio, volume, market holdings, age of the ETFs, etc. What are the two types of ETFs? ETFs have two categories: passive and active. Passive ETFs (also known as index funds) monitor a stock index like the S&P 500. Passive ETFs replicate the performance of an index. Active ETFs hire portfolio managers to invest their money. Active ETFs aim to outperform a benchmark index.  Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

Nifty50 is one of the two leading stock indices used in India. The recent volatility in the market has caused a wave of shock amongst investors and traders. This article will address what has caused the current market volatility, and how you can deal with the same with a few tricks.  https://www.youtube.com/watch?v=tdwqQH0xkFw Reasons for the tank in the markets  The bearish view tightened its grip on the Indian equity markets on 13th June, as inflation concerns and fears of aggressive interest rate hikes by the US Fed spooked investors. \Nifty tanked by 2.5%, breaking below the 15800 levels, and Sensex fell by 1500 points. All sectors bled in red, with banks, metals, and realty falling the most under selling pressure. The main reasons for this significant correction are:   High Inflation Rates: The consumer inflation rate in May, hit a 40-year high of 8.6% in the US and the CPI inflation is expected to stay above % in India.   Aggressive Rate Hikes: There was a significant gap in the markets opening on Monday. The global markets are witnessing a significant sell-off amid the fear of major interest rate hikes by the US Fed.  Crude Oil Price Volatility: Major losses were incurred by investors in the oil as both Brent Crude, and WTI Crude slipped by 1.4%.  Rupee Depreciation and FII Exit: The INR fell to a record low of Rs.78.15 against the US Dollar due to fear of high-interest rates and volatile crude oil prices. Also, there has been persistent selling of Foreign Institutional Investors (FIIs), which has weakened market sentiments. Nifty Performance Source: EduFund Research Team The graph shows the Nifty performance from June 2021 to June 2022.  The market fell significantly, touching the floor prices during the pandemic. Post this, the market started picking up in April 2021. The market continued to stabilize till October 2021, reaching 17500 levels. But this sweet story ended when the market faced a significant fall in November 2021.   The market rebounded in January 2022. It again reversed when the market fell to extreme lows amidst the geopolitical issues between Ukraine and Russia. It faced a significant fall in February, after which it quickly recovered in March.   But since mid-March, the market started falling due to various reasons like high inflation rates, FII exit, hikes in interest rates, and escalation of Ukraine – Russia war.   This continuous fall has led to the Nifty falling to such an extent that it reached a 0% return over one year. The dotted line on the graph shows Nifty in June 2022 at the same level as Nifty in June 2021. What can you do as an investor?  Lumpsum Investment: A lumpsum investment can help you attain units of a Mutual Fund at a relatively cheaper NAV in the current market conditions. If you have a long investment horizon and a good risk appetite, invest in mid-cap or small-cap funds, which will give you good capital growth when held for more than five years. In the case of a short to medium investment horizon, you could invest in a Hybrid fund, more like a Dynamic Asset Allocation fund, where you get the best of both equity and debt.  Rebalance your Portfolio: Now is the right time to rebalance your portfolio. If your portfolio has significant losses, you can balance it out in two ways.   You can average out your losses by buying more units of that fund or equity now at a lower price to reduce the total loss.   Allocate more funds in your portfolio to mutual funds and equity that have a value which means they have a potential for high growth and performance.  Invest in US ETFs: You can make the most of the INR depreciation by investing in the US Dollar market. There is a wide range of ETFs, namely, large-cap, small-cap, mid-cap, sectoral, etc. This is again the right time to invest in US ETFs as they are trading at significantly low prices. These funds expose you to the US Stock market with an expert managing your funds.  Power of Rebalancing  One fundamental matrix many investors use is portfolio rebalancing when there is high volatility. Portfolio rebalancing is moving closer to the initially decided asset allocation strategy.  The idea behind asset allocation is to balance risk and return in your portfolio by spreading your investment among different types of assets based on market conditions. Source: EduFund Research Team Let's assume that here you have a SIP of Rs. 20,000 monthly. The asset allocation here is taken in Equity, Gold, and Debt.   A rebalanced portfolio captures the market better during upward market movement, whereas there is a lag or shortfall in the portfolio that is not rebalanced.   Moreover, even when the market returns are negative, an actively rebalanced portfolio ensures that the equity, debt, and gold allocation is done so that the portfolio still generates a positive return and efficiently captures the market volatility.  In June 2022, the percentage of Nifty returns (1 year) was 0. The monthly Nifty returns are at –4.53%. The rebalanced portfolio is at a positive level, whereas a non-rebalanced portfolio yields negative returns.  How do advisors help you?  Investors are not required to go through the hassle of rebalancing the portfolio quarterly on their own. This is what RIAs are here for!  Registered Investment Advisors (RIAs) are certified and experienced to help you with periodical portfolio rebalancing. When your portfolio is not managed actively by an RIA, your portfolio's asset allocation remains unchanged throughout the period unless and until you change it on your own. But when an RIA manages your account, your portfolio is rebalanced periodically based on the market requirements.  Therefore, having an experienced RIA with expertise in the market makes your life easier and ensures that the portfolio volatility is maintained at minimum levels even with high market volatility. FAQs What is market volatility? Market volatility is a way to track price variation in a market and to check how the market performance will change and fluctuate. How much market volatility is normal? Market volatility is fairly common. Investor should watch their investments carefully. Price fluctuations across investments, if the volatility increases to a point of bear market scenario then it's time to rethink your strategy. How can you lessen the impact of market volatility? To minimize the effect of market volatility, investors should diversify their investments, choose low-risk investment baskets, rebalance their investments to avoid loss, and keep investing for the long run with expert guidance.  Consult an expert advisor to get the right plan for you TALK TO AN EXPERT

CBSE board is one of the most preferred education boards in India. This board is extremely popular with most Indian schools and highly prevalent in public schools. If you are a parent who is planning to enroll your child in a CBSE-board school, then here are some advantages and disadvantages of CBSE to weigh your decision.  Advantages and Disadvantages of the CBSE Board  Central Board of Secondary Education (CBSE) is a popular education board in India, which is preferred by many students and parents. However, like any other education board, CBSE also has its own set of advantages and disadvantages. In this article, we will discuss the various advantages and disadvantages of the CBSE board.  Advantages of CBSE Board  Comprehensive Curriculum: The curriculum offered by the CBSE board is designed to cater to the overall development of the students. It emphasizes not only academic knowledge but also encourages the development of critical thinking, problem-solving, and decision-making skills.  Nation-wide Acceptance: The CBSE board is recognized all over India, and the syllabus and examination pattern are uniform across the country. This makes it easier for students to switch schools, cities, or states without any difficulty in adapting to the new education system.  Common Entrance Exams: Most competitive entrance exams for engineering, medicine, and other professional courses are based on the CBSE syllabus. Hence, CBSE students have an edge over students from other boards when it comes to cracking these exams.  Focus on the English Language: CBSE schools place a strong emphasis on the English language, which is important for students looking to pursue higher education or jobs in India or abroad.  Ways to save for child education? Read More Disadvantages of the CBSE Board  Heavy Syllabus: The CBSE syllabus is extensive and can be overwhelming for some students. The board expects students to cover a vast number of topics, which can leave little time for extracurricular activities or pursuing hobbies.  Rote Learning: The CBSE board often focuses on rote learning, which can be a disadvantage for students who prefer a more practical approach to learning.  Limited Choice in Electives: The CBSE board offers limited choice in electives, which can be a disadvantage for students who are interested in pursuing subjects that are not part of the CBSE curriculum.  Limited Scope for Creativity: The CBSE board focuses more on academic achievements, leaving limited scope for students to explore their creative side.  Best child investment plan Read More Additional points to consider for CBSE Board  Emphasis on Science and Math: The CBSE board places a strong emphasis on science and mathematics, which can be an advantage for students interested in pursuing a career in these fields.  Continuity in Education: The CBSE board offers a smooth transition from secondary education to senior secondary education, as the curriculum is designed to build upon the knowledge gained in earlier years.  Teacher Training: The CBSE board provides adequate training to teachers, ensuring that they are equipped to deliver the curriculum effectively. This can be an advantage for students as it ensures quality education.  Limited Regional Language Exposure: The CBSE board offers limited exposure to regional languages, which can be a disadvantage for students who want to learn and explore their native language.  Heavy Reliance on Exams: The CBSE board places a heavy reliance on exams, which can be stressful for students who do not perform well under pressure. The board has been taking steps to reduce the emphasis on exams and promote continuous evaluation.  Lack of Flexibility: The CBSE board follows a rigid syllabus and exam pattern, leaving limited flexibility for schools and teachers to customize the curriculum to meet the needs of students.  Continuous Improvement: The CBSE board is constantly improving its curriculum and examination pattern to keep up with changing educational needs and standards. This ensures that students receive a quality education that is relevant to the current industry needs.  Multiple Assessment Options: The CBSE board has introduced multiple assessment options such as internal assessments, practical, projects, and other forms of continuous evaluation. This helps to reduce the stress and burden of exams on students and promotes holistic learning.  Limited Exposure to Humanities and Social Sciences: The CBSE board places a lesser emphasis on humanities and social sciences, which can be a disadvantage for students interested in pursuing a career in these fields.  Lack of Emphasis on Vocational Education: The CBSE board has limited emphasis on vocational education, which can be a disadvantage for students interested in acquiring practical skills and pursuing vocational careers.  Limited Choice in Language Options: The CBSE board has limited choice in language options, which can be a disadvantage for students who want to learn additional languages other than the ones offered by the board.  CBSE board has its own set of advantages and disadvantages. While the CBSE board offers a comprehensive curriculum and nationwide recognition, it may not be suitable for all students. It's essential to choose an education board that aligns with the student's interests, learning style, and future goals!