Mutual Funds
Mutual funds are becoming the most popular investment vehicle, offering various schemes with different investment objectives. We believe that investing through mutual funds is one of the safest, easiest, and most convenient ways to achieve successful investment outcomes.
A plethora of mutual fund schemes with different features makes choosing the right one difficult for investors. Analysing various mutual fund schemes across different parameters is an ongoing process.
Few people have the time, knowledge, or money to successfully build and manage a portfolio of individual stocks, bonds, and other investments. That’s why millions of people have chosen mutual funds as the foundation on which to build their investment strategy.
A mutual fund is a trust that pools the savings of a number of investors who share a common financial goal. The money collected is then invested in capital market instruments such as shares, debentures, and other securities. The income earned from these investments and the capital appreciation realized are shared by the unit holders in proportion to the number of units they own.
We distribute mutual fund investments through both online and offline modes.
In general, mutual funds can be classified into four broad categories:
- Liquid Funds: Appropriate if you are investing for a short period of time and desire capital preservation. Money market funds invest in high-quality, short-term securities.
- Debt Funds: Appropriate if you have a need for current income. Income funds invest in bonds, both corporate and government, having a range of average maturities.
- Hybrid Funds: Appropriate when you are seeking current income along with potential long-term growth. Hybrid funds generally invest in both bonds and dividend paying stocks.
- Equity Funds: Appropriate if you are investing for a long period of time and seek long-term growth potential. Equity funds generally invest the majority of their assets in Equity shares.
- Monthly Income Plans: Objective of the scheme is to provide regular income. Invests in government securities, corporate debt and money market instruments as well as a small portion in equity.
- Fixed Maturity Plan: These are closed ended debt schemes with a fixed maturity date and they invest in debt & money market instruments maturing on or before the date of the maturity of the scheme.
- Capital Protection Plan: Objective of the scheme is to endeavors to protect the capital invested on scheme’s maturity. Invest in debt and equity market and performance determined by the debt and equity market.
The Benefits of Mutual Funds
Mutual funds provide an attractive, cost-effective alternative to directly purchasing stocks or bonds. You don’t need to be wealthy to invest in them, and depending on the fund you choose, shares can be purchased for as little as Rs 1,000 per month.
- Diversification
- Professional management
- Liquidity
- Flexibility
- Convenience
- Various tax-saving options
Comparative Return FD v/s Debt Fund, FOF and Arbitrage Funds (Post Tax)
Mutual Funds and securities investments are subject to market risks and there is no assurance or guarantee that the objectives of the Scheme will be achieved. Read offer documents and other risk factors carefully before investing in any scheme.
As with any investment in securities, the NAV of the Units issued under the Scheme can go up or down depending on the factors and forces affecting the capital markets.
The name of the Schemes do not in any manner indicates either the quality of the Scheme; its future prospects or returns. Past performance of the Sponsor/AMC/Mutual Fund is not indicative of the future performance of the Scheme.