On the banks website under deposit schemes you must have come across flexi bank account or must have heard some where, but what exactly flexi bank account is?
Banks have introduced a new banking account- flexi bank account under this they offer higher interest of a fixed deposit and the liquidity of a savings account.
Whether a person is employed or approaching the retirement age, everyone searches for investment avenues which are safe and can offer regular income.
Heightened scrutiny by India’s central bank on debt investments by the country’s banks will take a toll on the domestic mutual fund industry’s asset growth, with banks set to shrink their fund holdings.
In recent weeks, the Reserve Bank of India has ratcheted up its rhetoric on the potential risk posed by the so-called circular trade between banks and mutual funds, where banks invest excess cash in debt funds while fund houses use a large portion of these debt fund proceeds to invest in banks’ certificate of deposits.
The central bank, in a private note issued to banks has asked banks to act as “self regulators” on their debt fund investments, three people familiar with the matter had told Dow Jones Newswires in mid-December.
Certificates of deposits are short-term instruments used by banks to raise funds.
While banks generally cut their mutual fund assets exposure at the end of each quarter to meet capital adequacy requirements, industry experts expect future data to show that the RBI’s moral suasion is having some impact.
Mutual fund assets in the quarter ended Dec.
