How is Investza Capital better than other services?
Investza Capital is better on three fronts. First, we are completely paper-less and the experience you will have with us will be unmatched. Second, we have built superior technology which allows us to monitor your portfolios (and recommend corrective actions) on a 24X7 basis. Finally, all our recommendations and advice is data-driven and completely unbiased. Our fee structure with all the mutual fund companies is the same and moreover it is on an all-trail basis which ensures that our incentives are aligned with yours.
Do I have to send any scans/courier any documents?
Nope. We are truly paperless.
I have never invested before do I have to do special paperwork? How will you do my KYC verification?
If you have never invested before, you will have to go through a process called Know Your Customer(KYC). With Investza Capital, this is simply taking a picture of your PAN card, Address proof and your signature on a blank piece of paper. You simply need to sit in front of your webcam to get this process done which takes less than 3 minutes.
I am already KYC verified; do I have to do this process again?
No. Investza Capital doesn’t require you to do your KYC again. You can start investing right away if you are a KYC verified investor.
What if Investza Capital shuts down? Do I lose my money?
Your investment accounts are held directly with Mutual Fund companies and hence there is no risk of you losing money in case Investza Capital shuts down. You can continue to invest more or redeem from your existing investments with any particular mutual fund company. However, it won’t be as easy as fun and as rewarding as it is with Investza Capital. Moreover, we are not going anywhere, promise.
What is a mutual fund? How does a mutual fund work?
A mutual fund pools money from several investors to invest in stock market, government / private sector bonds and other asset classes. Investment decisions in these mutual funds are taken by financial market experts, called fund managers, whose job is to get the best returns for the funds collected. Mutual funds, like stocks, have a value attached to them. They are bought and sold in units. Just like you buy Rs.1, 000 worth of shares of a company, you can buy Rs.1, 000 worth of units of a particular mutual fund scheme. The value of a unit changes every day and it is called NAV – Net Asset Value. There are more than 6,000+ mutual fund schemes in India and are regulated by Securities and Exchange Board (SEBI) of India.
How secure is my money?
Investza Capital takes security of all its users, their data and transactions very seriously. All our systems are bank-grade secure and we have implemented a three-tier security structure where your data is secure in all three states – on server, at client and during the transit. Moreover, your money is directly sent to reputed Mutual Fund companies without the money ever hitting Investza Capital’s bank account.
How does Investza Capital make money?
Mutual Fund companies that you invest in via Investza Capital charge a fund-management fee also called as Total Expense Ratio (TER). Typically, TER is in the range of 0.5-2.25% of your investments with a mutual fund. For advice, facilitation and regular monitoring of your portfolio, the mutual fund companies share a proportion of TER with Investza Capital. Typically the fees shared with Investza Capital in the range of 0.25-1.25% of your total investment amount.
Are there any fees or charges to use Investza Capital?
No, we don’t charge you anything to use Investza Capital. All our services are absolutely free for users.
Do I get the proof that Investza Capital has invested for me?
Your money goes directly to mutual fund companies and an investment account, identified with a unique Folio Number is opened directly with these companies. Post successful processing of your transaction, your investment proof and folio details will always be available on Investza Capital dashboard. In addition, all mutual fund companies send the folio details and monthly statement on your registered email address.
How much time will it take for my investment to be processed?
If you are a KYC verified investor, payment made before 1pm on a working day will be processed the same day. If the payment is made after 1pm, then your investment will be processed on the next working day. Your investment details will be available on your dashboard in one full working day after your investment has been successfully processed. If your KYC verification is pending, your investment process will begin once KYC formalities are completed. Typically, it takes about 24 hours to process your KYC from the time of you complete KYC successfully. The payment you make before we have successfully processed your KYC is held in an RBI-regulated ESCROW account. Once your KYC is successfully processed, the amount held in ESCROW is released to mutual funds for processing your investment. Your investment details will be available on your dashboard in one full working day after your investment has been successfully processed.
How are the funds selected? What is the risk?
Investza Capital’s algorithm first applies threshold of fund vintage and AuM to determine which funds are worth investing. Funds are then selected on the basis of rigorous analysis of historical data using parameters such as historical returns, volatility and correlation between funds. Fund selection and portfolio allocation by Investza Capital is based on CAPM (Capital Asset Pricing Model) algorithm proposed by Nobel Prize winning economists Markowitz, Sharpe and Miller. With Investza Capital, you invest your money in more than one fund. This technique of investing in more than one fund is called diversification and is used to minimize risk. So if one particular mutual fund isn’t doing well, there is another one to the rescue. All funds underperforming together still may happen if the Indian economy is in a very bad state, for example, what happened to the US economy during the financial crisis of 2008.
How does Investza Capital grow my money?
Investza Capital uses a combination of its team’s expertise in finance, data and technology to make your money work for you. The core of our investment service is based on the principles of Capital Asset Pricing Model, i.e., we ensure that you take lowest risk for a given return target. We help you do that by a) enough diversification and b) continuous monitoring of your portfolio. In other words we ensure that your eggs are placed in different and right baskets 24X7.