Why these stock advisors dont start mutual funds if they are so skilled?????

I always read various posts including various fights and blame game about various advisory firms..I have one question if these stock advisory services are as efficient and accurate in stock market prediction, why they don't start mutual funds or why don't start investment compnies like Warrent Buffet. As far as claim I read ,which might have been definitly been posted by various intrested parties,even Buffet will look very small infront of claims by these Experts.Transperency is the best option to show your claims,and what better than mutual funds or a company like Berkshire .Definitely there must be some good experts and I have great respect for them ,but also having many Speculatrs in this game.No doubt I don't know much about this business and its advantages ,so I may be having wrong perception ,so can be excused for being ignorant .

 

Go for consumer court or share your details with Pehredar show of CNBC Awaaz.

 

I am following controversy. I think issue is the PE has lost confidence that subscriber is sharing stock recos on whatsapp. So PE does not want subscriber as subscriber. PE feels all stocks are at risk of going public hands then who will care to pay subscription fee to the PE? However, there is no proof of this sharing on whatsapp. PE Dont want subscriber and also dont want to give full refund of fee. I think fair thing in is for the PE to give subscriber prorata refund of fee (say 50%) and say goodbye. This is fair solution to controversy IMHO.

 

Sir starting MF require huge capital (500 crore +) also promoter has to be reputed business man (TATA, Birla, ICICI, HDFC). Starting PMS is very easy. Also fees in PMS are high. Also, restrictions are less in PMS compared to MF.

 

Dear Kharbji,
Its always easy to show performance on paper .
Also MF Can not claim we recommended xyz stock 1/2/3 year ago and now its multiplied by xx .
If some thing doesn't work next day you can widraw and change model portfolio to remove looser .
You can also increase/decrease allocation anytime on paper .
Regards,
Prashant

 

@Srouta Mukherjee freind, starting MF doesn not require 500 crore. eg. is parag parikh mf.i think it started in 2014 and asset under mgmt is only 80 cr.

 

I dont know where I got the 500cr figure from. The FAQ says:

What is the procedure for registering a mutual fund withSEBI ?

An applicant proposing to sponsor a mutual fund in India must submit an application in Form A along with a fee of Rs.25,000. The application is examined and once the sponsor satisfies certain conditions such as being in the financial services business and possessing positive net worth for the last five years, having net profit in three out of the last five years and possessing the general reputation of fairness and integrity in all business transactions, it is required to complete the remaining formalities for setting up a mutual fund. These include interalia, executing the trust deed and investment management agreement, setting up a trustee company/board of trustees comprising two- thirds independent trustees, incorporating the asset management company (AMC), contributing to at least 40% of the net worth of the AMC and appointing a custodian. Upon satisfying these conditions, the registration certificate is issued subject to the payment of registration fees of Rs.25.00lacsFordetails,see the SEBI (Mutual Funds) Regulations, 1996.

https://www.sebi.gov.in/faq/mf_faq.html

 

sebi has put capital limit at Rs. 50 crore:

The capital market regulator has given three years to asset management companies (AMCs) to meet theRs.50 crore minimum net worth norm.

The previous minimum requirement of net worth for asset management companies was Rs.10 crore.

https://www.livemint.com/Money/jwQe...e-years-to-raise-net-worth-to-Rs50-crore.html

 

you distribute his stock picks, he blocked you. simple as that

 

Above all, the investments horizon plays an important role in capital markets.

The problem with MF Industry has to follow the Funds activities closely as they receive more money at Bullish Phase (everybody feels its the easiest way to make money) and highest redemption pressure at Bearish Phase...which shows the down performances of majority of MF Schemes...

Where as Advisory has limited as well as high maturity level customers which mostly follow their advises and act smartly...

Again it depends on individual understanding about their experiences and future goals...

Wishing you smooth investment journey ahead...

Regards