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Archana

Archana Deshpande  |31 Answers  |Ask -

Image Coach, Soft Skills Trainer - Answered on Mar 21, 2024

Archana Deshpande, the founder of TransformMe Life Skills Coaching, is an image consultant, soft skills trainer and life coach.
She has been working with individuals and corporate organisations for more than 10 years during which she has helped professionals and students improve their soft skills, build confidence and enhance self-esteem.
An engineer from the PDA College of Engineering, Gulbarga, Archana had a successful career at Reliance Communications. But she has always been interested in teaching and training people. So she pursued a postgraduate diploma in teacher’s training at Pune’s Symbiosis Institute of Management Studies followed by teaching assignments in schools at Visakhapatnam and Mumbai.
Archana also holds an international certificate in image consulting and soft skills training from the Image Consulting Business Institute, Mumbai.... more
Veeraraagavan Question by Veeraraagavan on Mar 02, 2024Hindi
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I am a B.Com with 42 years of accounts experience. I am 71 years of age and working as a part time accountant . My wife wants me to anyway do something and get a job with higher salary as I am presnetly paid Rs.11000/- per month for working between 9.30AM and 1.30 PM. I am being pestered and forced. But not able to get an alternative job because of my age. Please advice

Ans: Veeraraagavanji, at the age of 71 yrs, you are doing a great job. You have job, you are working 9:30 AM to 1:30 AM and earning 11k, which is fantastic. At your age most ppl live a retired life. You have worked all your life, it's time for you to take it easy and enjoy doing things you like after your working hours, no one should pester you. Pls sit down with your wife and talk it out, communication is the key. How old is your wife? Does she work too?? Are there any money concerns? If there are money concerns then try taking classes at home on subjects that you like, accounts maybe for commerce graduates or Maths for young children. You can conduct classes online too.
It's time for you and your wife to live a happy life together and enjoy each other's company, you are lucky to have each other, my father in law is 82 and without a partner for the last 12 yrs. Cherish each other ...
Asked on - Mar 22, 2024 | Answered on Mar 26, 2024
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My wife is 64 years old and housewife but she has a small building gifted to her by her brother and two engineering units work there on rental basis of Rs.20000 totally per month. Though I have 42 years experience in accounts earlier to this company i worked on VAT. On joining this present company now it is GST and our company auditor handles it. Now my wife blames me why I am not conversant with GST. I am not able to get alternative job because of my age. Placement services dont entertain candidates above 45 to 50 years of age. Only alternative is to keep my ears closed and do my present job till I my company allows me to work. I am a father of two daughters, both of them have completed their college education got married and settled down. Now Only my wife and myself life in a rented house and my second daughter lives next to our house.
Ans: Whatever you have written here, can you pls sit down with your wife and explain it to her! You are already working and earning money. You and your wife at this stage in life deserve to be living a life of mutual love and respect! Talk to her and tell her so.. after raising two beautiful girls and having settled them well, you both deserve to live a life in peace!
If you still can learn about GST, no harm in it , right? Any learning will never go waste, moreover in today’s time you can learn anything from the internet!
Look at the reasons why your wife is nagging you, she must be unhappy somewhere, take care of her emotional needs and well being, praise her for the things she does for you or has done in the past! Communication is the key here, both of you deserve to live a happy life! Make her financially literate, both of you sit down and list out your needs and desires! Chalk out a plan to achieve them together, you both are a team, it’s time you work as a team against any problem that comes your way!!Remember, love, respect and communication is the key for a harmonious life ahead! All the best…
Asked on - Mar 27, 2024 | Answered on Mar 27, 2024
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No harm in learning GST from the internet which I have done. Please note internet learning is thoery. To learn practical you should be employed in a company that uses gst. My present company does gst through the auditor and does not allow us to do so. If I want to learn gST practically I should join one of these companies doeing or having gst but above 40 or 45 years no companies are ready to appoint me. How then do I get to learn practical GST. Try to understand . Without getting appointed in a company I can not do practical GST. Only theory is just not enough. There are companies which require someone to do practical GST filing but they have an age limit for appointment as an accountant. GST on internet gives only theory . Practical has to be done sitting in a company and having the GST user id and password for which you should be employed for which there is an age limit
Ans: Hi!! I am understanding your point of view. Pls communicate this to your wife, have a happy ,peaceful, harmonious life together, both of you deserve this! All the best!
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Archana

Archana Deshpande  |31 Answers  |Ask -

Image Coach, Soft Skills Trainer - Answered on Mar 26, 2024

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Career
My wife is 64 years old and housewife but she has a small building gifted to her by her brother and two engineering units work there on rental basis of Rs.20000 totally per month. Though I have 42 years experience in accounts earlier to this company i worked on VAT. On joining this present company now it is GST and our company auditor handles it. Now my wife blames me why I am not conversant with GST. I am not able to get alternative job because of my age. Placement services dont entertain candidates above 45 to 50 years of age. Only alternative is to keep my ears closed and do my present job till I my company allows me to work. I am a father of two daughters, both of them have completed their college education got married and settled down. Now Only my wife and myself life in a rented house and my second daughter lives next to our house.
Ans: Whatever you have written here, can you pls sit down with your wife and explain it to her! You are already working and earning money. You and your wife at this stage in life deserve to be living a life of mutual love and respect! Talk to her and tell her so.. after raising two beautiful girls and having settled them well, you both deserve to live a life in peace!
If you still can learn about GST, no harm in it , right? Any learning will never go waste, moreover in today’s time you can learn anything from the internet!
Look at the reasons why your wife is nagging you, she must be unhappy somewhere, take care of her emotional needs and well being, praise her for the things she does for you or has done in the past! Communication is the key here, both of you deserve to live a happy life! Make her financially literate, both of you sit down and list out your needs and desires! Chalk out a plan to achieve them together, you both are a team, it’s time you work as a team against any problem that comes your way!!Remember, love, respect and communication is the key for a harmonious life ahead! All the best…

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

Asked by Anonymous - Apr 21, 2024Hindi
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I am a NRI, I booked a flat for Rs 60 Laks in Nov 2009, paid the builder in EMIs through bank loan and took possession in Nov 2011, now intend to sell (on sale will get say Rs 1.2 Cr) this flat say by 1.7.2024 and buy a new flat (say agreement in Dec 2024) costing Rs 1.8 Cr again through bank loan and possession will be in Oct 2027; now what will be my LTCG tax applicability for the sale of old flat and purchase of new flat. I will adjust Rs one crore from sale of old flat proceeds with the new flat buying; both the properties are in Hyderabad/India.
Ans: LTCG Tax Applicability for Your Scenario
Based on the information you provided, here's how LTCG tax will likely apply to your situation:

Old Flat Sale:

You booked the flat in Nov 2009 and took possession in Nov 2011. Since the sale will happen after 2 years from possession (Nov 2011), it qualifies as Long-Term Capital Gain (LTCG).
LTCG on the sale of the old flat will be calculated as follows:
Sale consideration (estimated): Rs 1.2 Cr
Cost of acquisition (including stamp duty, registration charges etc. incurred in 2009): Let's say Rs 65 Lakhs (approximate figure, you'll need the actual amount)
LTCG = Rs 1.2 Cr - Rs 65 Lakhs = Rs 55 Lakhs
Tax on LTCG:

There are two ways to potentially reduce or eliminate your LTCG tax liability:

Section 54: This section allows exemption of LTCG on the sale of a residential property if the capital gains are invested in a new residential property within one year before or three years after the sale. In your case, since you plan to buy a new flat with some of the proceeds (Rs 1 Cr) within the prescribed timeframe (agreement in Dec 2024, which falls within 3 years of the sale in July 2024), you can potentially claim exemption under Section 54 for a portion of the LTCG (up to Rs 1 Cr).

Capital Gains Tax with Capital Gains Bonds (Section 54EC): If the investment in the new flat falls outside the window for Section 54, you can explore Section 54EC. This section allows investing LTCG in specific government bonds within 6 months of the sale to get exemption. However, the bonds typically have a lock-in period of 3 years.

New Flat Purchase:

The purchase of the new flat itself won't have any tax implications unless you decide to sell it in the future.

Important Points:

The actual cost of acquisition for the old flat will be crucial for calculating the exact LTCG amount.
Consult a tax advisor for a more precise assessment of your tax liability considering all the details and claiming exemptions effectively. They can advise you on the best approach based on your specific situation (e.g., Section 54 vs. 54EC).

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

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Is it good to invest in tata health sector mutual fund
Ans: Whether or not the Tata Health Sector Mutual Fund (Tata India Pharma & Healthcare Fund) is a good investment for you depends on your individual investment goals and risk tolerance. Here's some information to help you decide:

The Fund:

Invests in companies in the pharmaceutical and healthcare sectors in India.
Aims for long-term capital appreciation.
Requires a minimum investment of Rs 5,000 and offers SIP (Systematic Investment Plan) options.
Carries an expense ratio of 2.25% (regular plan)
Performance:

Delivered 54.43% returns in the last year (as of May 7, 2024).
Outperformed its category average over the past year.
Past performance is not necessarily indicative of future results.
Things to Consider:

Sectoral Fund: This fund focuses on a specific sector, which can be more volatile than diversified funds.
Risk Tolerance: Healthcare is generally a defensive sector, but investing in any sector carries risk. Consider your comfort level with potential for fluctuation.
Investment Goals: Align the fund's objective (long-term capital appreciation) with your goals.
Further Research:

Visit the fund's website on Tata Mutual Fund's site for details like portfolio holdings, performance history, and investment strategy https://online.tatamutualfund.com/.
Consider consulting a financial advisor for personalized advice based on your circumstances.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

Asked by Anonymous - Feb 22, 2024Hindi
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Hi Sir. Pls suggest a few mutual fund sectors for investing 10 lakhs in SIP for a investment holding period 20-25 years.
Ans: It's great to hear about your long-term investment horizon and commitment to wealth creation. Let's discuss the potential sectors for your SIP investment and why diversified equity funds may be a more suitable option:

While sector funds offer the allure of focused exposure to specific industries, they come with inherent risks that may not be suitable for all investors.

Sector funds are highly concentrated in a single industry, making them susceptible to industry-specific risks such as regulatory changes, technological disruptions, or economic downturns.

The performance of sector funds is closely tied to the performance of the underlying industry, which can lead to higher volatility and potential losses, especially during sector-specific downturns.

Additionally, timing the market and predicting the future performance of a particular sector is challenging, even for seasoned investors and fund managers.

On the other hand, diversified equity funds offer broad exposure to multiple sectors and industries, reducing concentration risk and providing better risk-adjusted returns over the long term.

Diversified equity funds invest across various sectors, allowing investors to benefit from the growth potential of different industries while mitigating the impact of underperformance in any single sector.

These funds are managed by experienced professionals who actively rebalance the portfolio to capitalize on market opportunities and manage risk effectively.

Moreover, diversified equity funds provide investors with the flexibility to adapt to changing market conditions and capitalize on emerging trends without the need for constant monitoring and reallocation.

In conclusion, while sector funds may offer the allure of high returns, they also come with higher risks and require a deep understanding of specific industries. For long-term investors like yourself, diversified equity funds offer a more prudent and reliable option for wealth creation, providing broad exposure to multiple sectors and industries while mitigating risks effectively.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

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I am 22 years old and I just started SIP of Rs. 8000 in Tata Digital India fund direct growth and Rs 2000 in Motilal Oswal Nifty Midcap 150 Index Direct growth fund. I have a monthly income of about Rs 70000 and with the current drop in the stock market, is it good to invest more in Equity and take risk over Mutual funds
Ans: It's commendable that you've started investing at such a young age, showing foresight and financial responsibility. Let's analyze your current situation and the potential to increase equity investments:

With a monthly income of Rs. 70,000, your SIP contributions of Rs. 10,000 reflect a disciplined approach towards wealth accumulation.

The recent drop in the stock market presents an opportunity to invest more in equity, given your long investment horizon.

Equity investments carry higher risk but also offer the potential for higher returns over the long term, especially for young investors like yourself.

However, it's essential to consider your risk tolerance and investment objectives before increasing your equity exposure.

Diversification is key to managing risk in equity investments. Consider allocating additional funds across different sectors or asset classes to mitigate concentration risk.

Regular review and monitoring of your investment portfolio are crucial to ensure alignment with your financial goals and risk tolerance.

While equity investments have the potential for higher returns, they also come with higher volatility. Be prepared for short-term fluctuations and stay focused on your long-term investment objectives.

In conclusion, increasing your equity investments can be a prudent decision given your age and long investment horizon. However, make sure to assess your risk tolerance and diversify your portfolio accordingly.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

...Read more

Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

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What happens to the dividend that company declare for mutual fund investors. Is it reinvested by fund houses
Ans: When a company declares dividends, mutual fund investors receive these dividends in the form of dividend payouts or reinvestments, depending on the mutual fund's dividend policy.

If you're invested in a dividend reinvestment plan (DRIP) mutual fund, the dividends declared by the companies in which the fund invests are automatically reinvested back into the fund. This means that instead of receiving cash payouts, the dividends are used to purchase additional units of the mutual fund at the prevailing net asset value (NAV).

On the other hand, if you're invested in a dividend payout mutual fund, the dividends declared by the companies are distributed to investors in the form of cash payouts. These payouts can be either credited directly to your bank account or reinvested in additional units of the mutual fund, depending on your preferences and the options provided by the fund house.

Fund houses typically provide investors with the flexibility to choose between dividend reinvestment and payout options based on their investment objectives and preferences. It's important to review the dividend policy of the mutual fund and understand how dividends are handled before making investment decisions.

In summary, the treatment of dividends in mutual funds depends on the fund's dividend policy and the investor's preferences, with options for reinvestment or payout.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

...Read more

Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

Asked by Anonymous - Apr 16, 2024Hindi
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Is it good decision to start SIP in goldbees?
Ans: Starting a Systematic Investment Plan (SIP) in Goldbees entails investing in gold exchange-traded funds (ETFs), which track the price of gold. Let's evaluate this decision:

Gold has historically served as a hedge against inflation and economic uncertainty, offering diversification benefits to investment portfolios.

Investing in Goldbees through SIP allows for systematic accumulation of gold over time, leveraging rupee cost averaging.

However, it's important to note that gold prices can be volatile in the short term, influenced by factors such as geopolitical tensions and currency fluctuations.

Gold does not generate any income or dividends, unlike stocks or bonds, which may impact overall portfolio returns.

Additionally, gold does not generate any intrinsic value or cash flow, unlike productive assets such as stocks or real estate.

Investors should carefully consider their investment objectives, risk tolerance, and portfolio diversification before allocating a significant portion of their portfolio to gold.

While gold can be a valuable addition to a well-diversified portfolio, it's essential to avoid overexposure and maintain a balanced allocation across asset classes.

In conclusion, starting an SIP in Goldbees can be a prudent decision as part of a diversified investment strategy, but investors should weigh the pros and cons carefully.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

...Read more

Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

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Hi..I am 41 and planning to invest in SIP for my short and long term goals. Short Term Goal: Invest 50000 per month in SIP for next 4-5 yrs...so what kind of funds should I invest in for decent return? Long term goal: Invest 30000 per month in SIP for next 15-20 yrs...what kind of funds are advisable for optimum returns?
Ans: It's fantastic to see your proactive approach towards planning for both short and long-term financial goals. Let's delve into suitable investment strategies for each goal:

Short-Term Goal (4-5 years):
For short-term goals, stability and liquidity are paramount. Opt for mutual funds with a focus on capital preservation and consistent returns. Consider allocating your SIP investments to debt funds or hybrid funds with a conservative allocation to equity.

Debt funds, such as short-duration or corporate bond funds, provide relatively stable returns with lower volatility. They are ideal for preserving capital and meeting short-term financial needs.

Hybrid funds, specifically conservative hybrid or balanced hybrid funds, offer a mix of equity and debt instruments. They provide a balance between growth potential and downside protection, making them suitable for medium-term goals.

Long-Term Goal (15-20 years):
For long-term goals, such as retirement planning, you have the advantage of time to weather market fluctuations and benefit from compounding. Equity-oriented mutual funds are well-suited for long-term wealth creation.

Consider investing in diversified equity funds or large-cap funds for stability and growth potential over the long term. These funds invest in established companies with a track record of stable earnings and market leadership.

Additionally, you may allocate a portion of your SIP investments to mid-cap and small-cap funds for higher growth potential. These funds invest in companies with the potential for rapid expansion, albeit with higher volatility.

Regular review and rebalancing of your portfolio are crucial to ensure alignment with your financial goals and risk tolerance.

In conclusion, for your short-term goal, prioritize stability and liquidity with debt or hybrid funds. For your long-term goal, focus on equity-oriented mutual funds for optimum returns over the extended investment horizon.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

...Read more

Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

Asked by Anonymous - Apr 19, 2024Hindi
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Hi I am investing in two small cap MF( axis small and quant small cap) from past two months. Now i want to add few more funds. Please advise if I can add quant infrastructure fund, sbi Magnum midcap fund, motilal oswal midcap fund. Or any other you can suggest. My holding is 7-20 years
Ans: Adding more funds to your investment portfolio can enhance diversification and potentially boost returns over the long term. It's great to see your proactive approach towards wealth creation.

Before proceeding, let's acknowledge your commitment to long-term investing, spanning over a period of 7 to 20 years. This duration aligns well with the potential growth trajectory of equity-oriented mutual funds.

When considering additional funds, it's crucial to maintain a balanced approach. While small-cap funds can offer high growth potential, they typically come with increased volatility. Mid-cap funds, on the other hand, offer a balance between growth potential and risk.

Before introducing new funds, assess your existing holdings' composition. Ensure that the new funds complement your current investments and contribute to overall diversification. Avoid overlap in sectors or styles to mitigate concentration risk.

Considering your investment horizon, actively managed funds may be more suitable than index funds. Actively managed funds have the potential to outperform the market, especially in dynamic market conditions. However, it's essential to choose funds managed by experienced and skilled fund managers.

Keep in mind the expense ratio and fund manager's track record while selecting funds. Lower expense ratios can translate to higher returns over the long term.

Lastly, periodic review and rebalancing of your portfolio are essential to ensure it remains aligned with your financial goals and risk tolerance.

In conclusion, adding mid-cap funds can complement your existing small-cap investments and enhance diversification. Choose funds managed by experienced professionals and regularly monitor your portfolio's performance.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |1802 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 2024

Asked by Anonymous - Apr 20, 2024Hindi
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Hi, I have a question about the expense ratio in mutual funds. I have invested in direct mutual funds both Parag Parikh ELSS (expense ratio - 0.69%) & Parag Parikh Flexi Cap (expense ratio - 0.57%). I have invested 25000/- each in both funds, one of my friend suggested to invest in any one of the funds as this will affect the returns for in longer period, and I am planning to invest for another 10 years in both funds. Question: Is it okay to be invested in both funds, I'm aware that the funds overlap, but I want to check on the expense ratio difference in the cost for 10 years. Can you please help me understand the calculation so that I can make a better decision? Expense ratio is calculated for the amount that I invest, either I invest 50k in one of the funds or split 25k each in both funds having a difference of 0.12% in expense ratio. How much of this will affect the end corpus and how is that I can calculate for the other mutual funds that I'm currently investing in? please suggest me on this.
Ans: It's great to see you taking an interest in understanding the impact of expense ratios on your mutual fund investments. Making informed decisions is key to financial success.

Investing in multiple funds can provide diversification, but it's essential to consider factors like expense ratios. Even small differences can add up over time, affecting your overall returns.

Opting for funds with lower expense ratios can help maximize your returns in the long run. However, it's crucial to weigh this against the benefits of diversification and the fund's performance track record.

If you're invested in overlapping funds with similar investment objectives, consolidating into one fund may streamline your portfolio and reduce overall costs.

As a Certified Financial Planner, I recommend evaluating the expense ratio difference over the investment horizon to gauge its impact on your end corpus.

While the difference may seem insignificant initially, compounding can magnify its effect over time, potentially resulting in a substantial variance in your final returns.

To calculate the impact, you can use online calculators or consult a financial professional who can provide personalized projections based on your investment amount and time horizon.

Remember, investment decisions should align with your financial goals and risk tolerance. Consider seeking advice from a Certified Financial Planner for tailored recommendations based on your individual circumstances.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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