What is MCLR? The Marginal Cost of Funds-based Lending Rate (MCLR) is the minimum interest rate below which a bank cannot lend. Introduced by the Reserve Bank of India (RBI) in April 2016, it replaced the older Base Rate system to improve transparency in loan pricing and ensure better transmission of monetary policy. Key Components…
Month: June 2025
What Are Contra Funds?
Contra funds are a type of mutual fund that adopts a contrarian investment strategy. This means they invest in stocks that are currently out of favor or undervalued, with the expectation that they will perform well in the long term. The idea is to buy low and sell high, capitalizing on market overreactions. Key Features…