Mutual Funds Investment
A Mutual Fund is an investment plan where money is collected from multiple investors and subsequently pooled to form a fund. This money is then invested in various other financial investments like company shares, stocks, and bonds with the objective of growth and get the highest possible returns.
What are the features of a Mutual Fund?
- Money is pooled from various investors.
- The fund is well managed by professional Fund Managers.
- The fund works under the guidelines of SEBI and hence safe.
- Mutual Fund allows access to large portfolios.
- Gateway to High returns as compared to conventional investing.
- Allows investors to invest in a lump sum or small amounts periodically (SIP).
- Mutual funds assist investors by investing across sectors and stocks thereby diversifying the unsystematic risks.
- Economies of scale ensure lower transaction costs.
- Variety of Products available to suit the risk appetite, financial goal and investment horizon.
- Promotes disciplined savings and is an important financial tool for financial planning.
What are the various types of Mutual Funds?
There are over thousands of Mutual Funds that exist in India which are handling thousands of Crores of Rupees. One of the qualities of Mutual Funds is that they are available for various categories of Investors. Though the classification of Mutual Fund is quite complicated, it can broadly be divided into three categories:-
1. Equity Funds: These funds invest in Stock Markets and is suitable for aggressive Investors only.
2. Debt Funds: These Funds invest in fixed income securities like Bond Market and is suitable for conservative investors.
3. Hybrid Funds: These Funds invest in a mix of Equity and Fixed Income securities in a particular ratio and is suitable for investors who want to enjoy the benefits of both the Equity and Debt funds.
Swaraj Finpro Private Limited – Your Mutual Fund Advisor
There are multiple Mutual Funds available in the market. Since the need for each individual is different from the other, a mutual fund which was good for your friend may not be good for you.
So, how will you pick the best mutual fund?
You should buy a mutual fund online only after you assess your financial goals, risk appetite, and time horizon. This kind of assessment is difficult for a common man but not for Swaraj Finpro Private Limited. We understand the mutual fund markets and can cherry pick the best one for you. Just keep your Cheque and KYC documents ready and leave the rest to us. We guarantee you the best results.