BHAROSA.CLUB

Its rare that I ever comment on an external service provider. But since the concept is unique and targeted for better good of households accross India, I decided to share that with my blog readers. While TradeWithMe focuses on trading, Bharosa's focus is on offering access and support to innovative products in ways which no one does. Their first initiative is to catalyse investment in monthly systematic investment plans - SIP - using the Direct NAV route into selected vendor agnostic mutual funds- MF.

Do you know for example, that if you buy any MF product through your broker or investment adviser or wealth management consultant, you are paying upto 1.5% of the fund cost to them as commission and other miscellaneous costs. If however, you invest in a Direct NAV MF, the savings so accrued will lead to a drastic advantage in your savings growth because of a higher NAV. Growth based diversified equity funds SIP's can give returns of 20-25 per annum compounded, usually better than the performance of the index. So the choice of MF is growth based and not dividend return. And secondly, a holding period of 2-3 years is the minimum needed for SIP's to perform.

And whats more, your SIP can be as small as Rs 500. Think of the possibilities - you can encourage your domestic help and drivers or assistants to go in for this - financially empowering them or even friends and relatives.

2nd, do you know that MF managed debt funds give you more returns than your savings accounts and most FD's with a 24 hour liquidity cycle time. So idle money should be ideally parked there when not in use and a systematic transfer plan - STF - to transfer the money to your SIP's. Smart thinking eh?

Here is where Bharosa.Club comes in. They will facilitate this process for you free of cost for the first 10000 members. And support you thereafter, for any changes that you need. And this is the first such initiative that they have started. The power of numbers of members of the club will enable them to offer many more innovative products that are useful for households.

And all that is needed is a missed call to the number : See the poster below for their key messages and try them out by joining just through a missed call to 92433-14010. Add an optional 0 before the number, but with national number portability in place this is not needed in most telecom circles.

Go ahead and join - no one will share this lower cost of investing in MF's, not the Wealth Advisors or online investment portals ZipSip, ScripBox and others as they all earn commissions and fees through your investments. Not here!!