Jan 01, 1970 3 min read

Mutual Fund Sahi Hai! Is It For All?

Know how mutual fund is right for you. Here are the reasons which prove AMFI’s tagline “Mutual Fund Sahi Hai” satisfactory.
In the Indian market, mutual fund investments are still considered doubtful. Not everyone is convinced of the efficiency and effectiveness of these plans, and thus they don’t find them trustworthy. But with an initiative taken by AMFI in the month of March 2017, many clients have got associated with us, and they are eager to know the actual sense of the phrase, “Mutual Fund Sahi Hai”.

So if you too have the same concern and want to know whether mutual fund is right for you or not, then you are at the perfect place. Here we will explain you how a mutual fund is an absolute answer for all your investing needs.

The major concern of every investor while making the choice of investment is whether it is suitable for their financial goals or not. It is quite important to make sure that the funds or the plans that you are choosing for your portfolio match your requirements. Here are some of the major factors which explain that mutual fund has a solution for every investor.

Equity Mutual Funds - “Capital Appreciation Ke Liye Sahi Hai.”

The first category in online  mutual fund investments is the equity asset class, which has such schemes or plans that invest in the equity stocks or shares of the companies. These funds are highly volatile because of the equity factors as they are directly linked with the stock market, and their performance is measured with the stock indices. In the long run, these investments provide tremendous growth and high-yielding returns, and thus they are best suited for the capital growth of the investors.

Debt Mutual Funds - “Regular Income Ke Liye Sahi Hai.”

If you are an investor who desires to earn a regular income and constant growth on your investments, then debt funds are the perfect choice for you. They have investments in the bonds, money market instruments, debt securities, treasury bill, and government securities, which tend to generate fixed income on a regular basis and provide income security at the time of maturity. The risk appetite for these funds is low to medium.

Hybrid Mutual Funds - “Balanced Growth Ke Liye Sahi Hai.”

There are various plans in mutual funds which provide the benefits of both the worlds, i.e., equity and debt. The investors who are risk averse and want to earn the dual benefits of capital growth and stable income on a simultaneous basis should consider these plans for their portfolio. They have investments in both equities and debts and help the investors in gaining balanced income along with financial growth over time.

So you must have understood that mutual funds have a bundle of investment options and you can choose any of the schemes that suit your requirements. Furthermore, the basic factors which make “Mutual Fund Sahi Hai” for all include:

  • No lock-in for your investment money: Your money does not get locked in the investments as the schemes in mutual funds are open-ended in nature which can be redeemed or withdrawn anytime you require.
  • The risk and returns are balanced: Mutual funds invest the money in different sectors, companies, and even market caps, and thus your funds are properly allocated in various investment avenues. With diversification, the investors gain the benefit of minimising the risk exposure to a single investment, and the returns are enhanced.
  • Goal planning is made easier: Whether you have a long-term goal, or you want to plan for a short-term duration, you can plan your financial goals very easily with a variety of investment schemes falling in different categories.

Accordingly, saying “Mutual Fund Sahi Hai” is no doubt absolutely correct, and if you start investing in it now you can definitely achieve all your financial goals with ease. We, at MySIPonline, have an expert team of advisors and if you need any assistance, you must get in touch with us right away to plan your prosperous future.

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