Gold Coins And Silver Coins: The Ideal Gifting Option

November 13th, 2022 by dayat No comments »

Gold and silver are precious metals, which are considered auspicious as well. So, it is quite common to gift the bride or the groom something in gold and silver. In fact, the North Indian tradition demands that the in-law’s first gift to the daughter-in-law is gold jewellery.

Such is the importance of gold coins and silver coins in our custom and tradition which people flock to jewellers on the occasion of Dhanteras and Akshaya Tritiya to buy gold. Those who are limited by budget constraints have an alternative to buy gold coins.

Excellent Gifting Option

Gold coins and silver coins are popular gifting options for individuals as well as corporates.

For Individuals

You can gift a gold coin/silver coin for your close family/friend’s wedding. The gold and silver coins are available in varying weights,Guest Posting from as less as 2 g to as much as 500g. So, whatever be the occasion, you can buy one such gold or silver coin as a gift. You can buy the Taraash Ganesha S999 20g Silver Coin for your neighbour’s daughter’s wedding. For your nephew or cousin’s wedding, the Bangalore Refinery Ganesh 24K 5g Yellow Gold Coin would be an ideal choice.

Gold is a preferred investment tool as well. You can invest your funds in gold coins, weights ranging over 500g and get it exchanged later to buy jewellery of your choice.

For Corporates

Gifting gold or silver coins to its employees and clients is an age-old practice in the Indian corporate world. In fact, many public limited companies commemorated their milestones with embossed silver coins and gifted to the employees. Many employees, on their retirement, are gifted precious coins as a token of appreciation. As a corporate gifting option, gold and silver coins are quite popular. With Diwali round the corner, corporates can place bulk orders with MMTC India or choose to buy from reputed jewellers like Tanishq, Joyalukkas, Bangalore Refinery, to name a few.

How To Choose Gold/Silver Coins

Now that you have decided to gift gold or silver coin, you need to be aware of certain aspects before buying these coins. You can either buy the gold and silver coins from any reputed jeweller or choose to buy online. Buying gold and silver coins online does not pose any risk are these are certified sellers, who sell hallmarked coins only. You’re guaranteed of quality.

Choice Of material

You can either buy coins in gold or yellow gold. Gold coins are made of pure 24K gold, whereas the yellow gold coins are made of 22K gold. Higher the purity of gold, correspondingly higher would be the price. If you want to buy a 24K gold coin, you have options. The Bangalore Refinery 10g coin, the MMTC-PAMP Lotus series 2g coin, the Malabar Gold 0.45g coin are possible choices, based on your budget. If yellow gold is your preferred choice, you can choose the Joy Alukkas 4g coin, with the Goddess Lakshmi design. C. Krishnaiah Chetty ornately designed 8g yellow gold coin is also an excellent choice.

When it comes to buying silver coins, you can choose coins in pure 999 silver or sterling silver. The Taraash 5g silver coin with Goddess Lakshmi and Lord Ganesh is an ideal gifting for a housewarming occasion. The MMTC’s Krishna series silver coin makes an ideal gift choice as well. The wildlife and birds series of silver coins released by MMTC are ideal birthday gifts for your kids.


When it comes to buying precious metals, what matters most is the purity. While the purest form of gold is 24K that enjoys 999 BIS Hallmark, you also get coins in 22K and 18K. Higher the purity of gold contained in the coin, greater would be its price.

Silver too has varying grades of purity. While pure silver is tagged with S9999, sterling silver coins are tagged with S995 or S996. These tags help you identify the purity of the coin. With online shopping hitting a peak, people are buying gold and silver coins online from reputed dealers who carry the BIS certification.


The price of gold and silver coins varies between dealers. This is because of the ‘spread’. The percentage of spread, in addition to being influenced by demand and supply, also depends on the bullion dealer as well. So, after you decide whether you want to buy gold coins or silver coins and its weight, choose a reputed and trustworthy bullion dealer.

Morningstar Mutual Funds Fiduciary Grades: What Investors Need to Know

October 13th, 2022 by dayat No comments »

Morningstar now provides Fiduciary Grades on mutual funds. How does Morningstar determine these grades? How can mutual fund investors use these grades to better manage their portfolios? Mutual fund investors use Morningstar Rating™ as a sign post of mutual fund performance. These ratings have proved to be a valuable tool for objectively comparing the performances of different mutual funds. In 2003,Guest Posting New York Attorney General, Elliott Spitzer launched actions against some mutual fund companies for allowing their privileged clients to profit from improper activities such as late trading.In the aftermath of these developments, investors realize that they need more than the historical performance based Morningstar Ratings to evaluate mutual funds. The Morningstar Ratings do not get at critical intangibles. How seriously does the mutual fund company take its fiduciary responsibility to mutual fund investors? How aligned are the interests of the mutual fund manager and the mutual fund company with those of the mutual fund investor?To address this need, Morningstar has embarked on a system called the Fiduciary Grade. Morningstar has so far graded about 635 mutual funds, including 500 of the largest ones. Morningstar plans to provide Fiduciary Grades for a total of 2000 mutual funds over time.The Morningstar Fiduciary Grade System BasicsThe Morningstar Fiduciary Grade is based on the evaluation of five areas critical for mutual fund governance and mutual fund operations. Morningstar generally assigns to mutual funds points ranging from 0 (Very Poor) to 2 (Excellent) in increments of 0.5 for each of these five areas. 1. Regulatory Issues: Morningstar examines if the mutual fund company has had any regulatory issues within the past three years. If so, what corrective actions has the mutual fund company implemented? Unlike the other four areas, the minimum score here can be a minus 2. 2. Board Quality: Morningstar looks for a demonstrated track record of the mutual fund board protecting the interests of mutual fund investors. Mutual funds get kudos if their independent directors invest in the mutual funds. 3. Manager Incentives: This score is based on Morningstar’s evaluation of mutual fund ownership and compensation structure. Mutual funds where the fund’s manager owns a meaningful stake in the fund score high on the fund ownership dimension. A compensation structure that rewards the mutual fund manager for long-term mutual fund performance is favored. 4. Fees: Mutual funds are rewarded for having expense ratios lower than that of their peers and for effectively reducing their expense ratios with growth in their assets. 5. Corporate Culture: Morningstar looks for tangible evidence that the mutual fund company takes its fiduciary responsibility seriously. Among the factors Morningstar considers are softer issues like whether the company closes mutual funds when they get too large and whether the company starts trendy mutual funds to garner assets. The points scored on each of the above areas are aggregated and the Fiduciary Grade is assigned based on the total: A=9-10, B=7-8.5, C=5-6.5, D=3-4.5, F=2.5 or less.How Investors Can Use the Morningstar Fiduciary Grade Here are some ways investors can use the Morningstar Fiduciary Grade.1. Buy and Hold Investors: Buy and hold mutual fund investors first need to examine how mutual funds held in their portfolios stack up on the two dimensions, Morningstar Rating and Fiduciary Grade. Mutual funds that rank favorably on both dimensions may be retained and mutual funds that rank unfavorably on both dimensions may be replaced by ones that rank favorably. For mutual funds that rank favorably in one dimension but not in the other, the answer is not clear-cut. Retaining a fund with strong Morningstar Rating but lower Fiduciary Grade is a matter of personal choice. Conversely, a mutual fund’s Fiduciary Grade may be satisfactory but the Morningstar Rating may be unfavorable. This may just be a case of the mutual fund manager going through a temporary bad patch. Investors have to weigh these factors along with tax consequences before deciding to sell a mutual fund.Given the number of mutual funds available, investors seeking new mutual funds to add to their portfolio should in general have no trouble in finding mutual funds with favorable Morningstar Rating as well as Fiduciary Grade.2. Tactical Asset Allocators: A tactical asset allocator uses an active investment strategy and typically invests in mutual funds such as sector funds. For example, AlphaProfit uses its ValuM investment process , to periodically alter the mix of its mutual fund model portfolios to take advantage of specific trends (e.g. rising natural gas prices, introduction of new wireless technologies). Since tactical asset allocators seek superior performance during their mutual fund holding period, factors such as superior long-term performance which determine Morningstar Ratings are less important to them. However, these investors typically seek to own mutual funds within a single family such as Fidelity Investments for purposes of administrative ease. As such, tactical asset allocators will find the Fiduciary Grade useful in evaluating and choosing mutual fund families to implement their strategies. Our Take on the Morningstar Fiduciary Grade System The Fiduciary Grade system is a blend of several metrics. The grading of mutual funds on regulatory issues is backward looking rather than a prognosticator of potential future trouble. The grading system includes a quantitative dimension in mutual fund fees. Also included are qualitative dimensions such as mutual fund corporate culture, manager incentives, and board quality. The Mutual Fund Fiduciary Grade ranking provides mutual fund investors with much needed insight on the governance and operations of mutual funds. The Morningstar Fiduciary Grade System is a good first step. We believe Morningstar will refine the Mutual Fund Fiduciary Grade system over time, just as they refined the Morningstar Ratings system.While Morningstar Ratings do an excellent job of objectively evaluating past performance, financial markets by their very nature do not allow the investor to predict future performance based on these ratings alone. Many times, funds with Morningstar Ratings of 4- or 5-star do not live up to their expectations. The utility of the Morningstar Fiduciary Grade will be significantly enhanced if superior Fiduciary Grade either by itself or in combination with the Morningstar Rating becomes a better indicator of superior future performance. We believe the Morningstar Fiduciary Grade has the potential to become a worthy metric of mutual fund stewardship over time.Notes: This report is for information purposes only. Nothing herein should be construed as an offer to buy or sell securities or to give individual investment advice. This report does not have regard to the specific investment objectives, financial situation, and particular needs of any specific person who may receive this report. The information contained in this report is obtained from various sources believed to be accurate and is provided without warranties of any kind. AlphaProfit Investments, LLC does not represent that this information, including any third party information, is accurate or complete and it should not be relied upon as such. AlphaProfit Investments, LLC is not responsible for any errors or omissions herein. Opinions expressed herein reflect the opinion of AlphaProfit Investments, LLC and are subject to change without notice. AlphaProfit Investments, LLC disclaims any liability for any direct or incidental loss incurred by applying any of the information in this report. Morningstar Rating™ is a trademark of Morningstar, Inc. The third-party trademarks or service marks appearing within this report are the property of their respective owners. All other trademarks appearing herein are the property of AlphaProfit Investments, LLC. Owners and employees of AlphaProfit Investments, LLC for their own accounts invest in the Fidelity Mutual Funds. AlphaProfit Investments, LLC neither is associated with nor receives any compensation from Fidelity Investments. Past performance is neither an indication of nor a guarantee for future results. No part of this document may be reproduced in any manner without written permission of AlphaProfit Investments, LL