Fixed Deposits, while safer investment instruments, do carry some risk. Banks are liable to pay a maximum amount of Rs. 1 lakh in case of a default. However, we have not recorded any default from a bank yet, but in recent times due to economic scenarios, some banks have faced moratoriums where RBI can implement limits on the withdrawal of savings from the bank's facing moratorium. Fixed Deposits are inefficient from both inflation-adjusted returns and tax incidence point of view. When you invest in the market with the appropriate risk profile and instruments like Debt Mutual Funds or Liquid Funds for capital preservation, then the chances of losing your capital are minimal.

You should always have asset diversification, even if one asset class has done well for you. The perceived lower risk in Real Estate and Gold investments is not accurate. Daily prices are not available in Real Estate to determine short-term price movement, and these investments can be illiquid. Gold is considered a non-productive asset and should have some allocation for an inflation hedge. Long term returns on the equity market are higher than real estate and gold returns. For more information, please read our article on The Curious Case of Real Estate Investments.

Our experience with investors has been that it is difficult to follow disciplined investing when you have work, family and societal commitments. It is possible to take some steps based on advice from family and friends and publicly available information but this is unlikely to lead to timely executions. A professional advisor will work with you to understand your needs, aspirations and relationship with money and create a holistic plan. He/she will also have the qualifications, resources and processes to deliver value which is very difficult to create in an informal setup.

You should evaluate your advisor on business model, qualifications, infrastructure and processes. SEBI mandates financial advisors to be licensed since January 2013. Please check with your provider if they have ‘Registered Investment Adviser (RIA)’ license. Please read our article on this at the link given below.

Fiduciary dictionary meaning is “involving trust, especially with regard to the relationship between a trustee and a beneficiary”. Being Fiduciary means that the provider always acts with the interest of the client in mind disclosing all potential sources of conflict of interest. Mitraz has always been a ‘Fiduciary’ to its clients.

Mitraz has a transparent and open architecture model that provides holistic advice to clients. Unlike banks and brokers we are not product focused and have a diversified asset allocation model. Many independent advisors do not charge fee and rely on commissions. With our fee based model and investment in direct mutual funds, we avoid conflict of interest. Our relationship managers personalize the advice for a client which robo-advisors cannot do with their automated advice.

Yes, Mitraz was one of the first firms in Bangalore to register with SEBI and got the RIA license in February 2014. Mitraz strictly follows all the required compliances.

The Mitraz Fee structure is based on the value of the client's portfolio/investments, which is actively managed by the Mitraz Financial Advisory Team. The fee may vary from 0.5% p.a. to 1.25% p.a. of the total assets on which advisory service is taken or actively managed assets depending upon the allocation of debt and equity in the investment portfolios.
For stocks investment, the fee ranges from 1.75% to 2% of the total stocks investment amount; as per SEBI guidelines, there is no performance fee or profit-sharing on stocks investment.
The fee is an annual fee and is billed quarterly.
Compared with competitors - an independent financial advisor or a mutual fund distributor providing a commission-based product will have a commission payout of 0.8% to 1.5% of the total investments.
Mitraz Financial model provides the value of transparency and fiduciary model, which helps the clients' investments be aligned to the correct risk profiles.

Mitraz does not have hidden charges and discloses all the fees while onboarding a client and on a regular basis. Fees charged by external partners is disclosed based on the available data. We get commissions from product providers (regular mutual funds, stocks transactions, bonds etc.) which are disclosed with every fee statement. Mitraz has taken the lead to invest in Direct Mutual Funds for clients. Mitraz does not get any commissions on direct mutual funds transactions.

Yes, your information is secure and confidential with Mitraz. Unless required by law, we do not share your information amongst clients or external entities. We limit the access to your information internally on a need to know basis.

Clients, when they join Mitraz, have different levels of financial knowledge. The level will not be an impediment to make investments using Mitraz advice. We share a lot of information with clients about various aspects of finances, investment products through personalized discussions, emails, seminars and client events. We put in our best efforts to increase clients’ financial quotient. You may visit our website and blog site for press releases and regular posts.

Yes, Mitraz provides both investments advice and execution.

Yes, Mitraz can provide advice for investments only. However, we will need to get transaction and portfolio statements from you to update our records. Since you are responsible for investment executions, there may be delays if you are traveling or busy with high priority tasks at work and home.

Your Relationship Manager will meet with you once a quarter at a minimum to review progress against the goals. More meetings may happen as per individual requirements. The preferred mode of the meeting is face-to-face meeting at our office in Bangalore. The discussion with out of station and overseas clients happens over an audio/video call and/or emails

A Relationship Manager is assigned to you at the start of the engagement. He/she will be your single point of contact in Mitraz for any queries. You also have access to their Supervisor, the Service Team, and Mitraz Research team for complex portfolio review and analysis. We request clients to mark a copy to the Service Team of all communication to the Relationship Manager.

In case of a grievance, you may send a mail to the Help Desk, the Service Team and/or the Managing Director. These email addresses are available to you in the Service Agreement signed between Mitraz and you.

Mitraz has a dedicated Quality & Compliance Officer monitoring quality and compliances on an ongoing basis. The checks are done through regular monitoring of client communication, clients’ portfolio holdings vis-à-vis. recommendations, execution efficiency, meeting updates. Interventions are done where it is necessary.

Investments are primarily done in the online mode and held in Demat/physical format. Few investments like bond purchases, IPO may require a physical form. We have a tie-up with MF Utility - Direct Mutual Funds Platform for online Mutual Fund transactions. We are a sub-broker and buy Company stocks through the Cholamandalam Securities platform. All investment accounts are held in the individual’s name. Mitraz does not take custody of the accounts.

Mitraz follows Seven Steps in the Process of Investments.

The minimum investment threshold in miDirection service is INR 50 lakhs, miAspirations service is INR 1 crore and MiPrive service is INR 5 crores.

No, Mitraz has an open architecture and does not align with specific product providers. Mitraz does not actively participate in any product contest.

Mitraz does not guarantee returns. Clients’ portfolios and products carry risk as per the profile agreed upon from time to time. Volatility and returns will be a function of that risk profile.

Mitraz sets appropriate benchmarks for client portfolios and various products. The performance is tracked on a monthly basis for client portfolios and on a quarterly basis for products. We have outperformed the established benchmarks by significant margin. Please contact the Mitraz team for more details on our performance track record.

NRIs are allowed in to invest in Indian market. There are no restrictions on the type of investments or holding period. Since there are holding limits for NRI category, the investments are done under RBI Portfolio Investment Scheme (PIS). There are RBI reporting requirements for stocks purchased through NRE accounts. There may be specific resident country restrictions. Please contact the Mitraz team for more details.

NRIs have the same tax incidence as the Resident Indian accounts. There may be mandatory tax-withholding at source on investment redemptions, where tax is due. Resident countries of NRIs will have their own tax code and requirements (e.g., FATCA) so please consult a tax expert before starting investments in India.

There are two kinds of accounts – NRO for income source from India and NRE for income source from abroad. Investments in India may be done from either NRO or NRE accounts but these cannot be mixed and are tracked separately. The investments done through NRE account are 100% repatritable. Though the investments done through NRO accounts are not repatriatable, money may be transferred abroad under RBI’s Liberalized Remittance Scheme (LRS). Up to $250,000 per year may be transferred under this scheme.

Yes, there are additional expenses for NRO, NRE and PIS accounts. Please contact the Mitraz team on complete details.

You and Mitraz will sign Advisory and Execution agreements to start the engagement. You will need the following documents to open an account with Mitraz: 1. PAN, address proof, cancelled cheque with your name, photos. 2. Passport, Visa/Permanent Residence Card, OCI (Only for NRI) 3. Sign up cheques

If you are KYC (Know Your Client) compliant and all documents are in order, then the Mutual Fund investment account takes two working days to open. The stocks trading account takes two working days to open. If you are not KYC compliant, then the KYC formalities may take up to 1 week or more to complete.

Yes, you may make investments while the KYC compliance application is under process.

Please click Get Started to determine the right service for you and contact the Mitraz team.