Mutual Funds are among the hottest favorites with all types of investors. Investing in mutual funds ranks among one of the preferred ways of creating wealth over the long term. In fact, mutual funds represent the hands-off approach to entering the equity market. There are a wide variety of mutual funds that are viable investment avenues to meet a wide variety of financial goals. This section explains the various aspects of Mutual Funds.
MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS. READ ALL SCHEME RELATED DOCUMENTS CAREFULLY.
Advantages of Mutual Funds
Professional Management , Diversification , Convenient Administration, Return potential , Low cost , Liquidity , Transparency, Flexibility, Choice of schemes , Well regulated & Tax benefits .
How to invest in Mutual Funds, Selection Process- 3 steps
Step 1 Identify your investment needs What are my investment objectives and needs? How much risk am I willing to take? What are my cash flow requirements?
Step 2 Choose the right mutual fund. The track record of performance over the last few years in relation to the appropriate Benchmark and similar funds in the same category. How well the mutual fund is organized to provide efficient, prompt and personalized service. Degree of transparency as reflected in frequency an d quality of their communications.
Step 3 Select the ideal mix of schemes Investing in just one scheme may not meet all your investment needs. You may consider investing in a combination of schemes to achieve your specific goals.