Want to invest in MF? Read this
by Ravi Kumar Blogger LiveThe finance market
is doubtlessly not much predictable. There are various avenues in the market
where people can invest and get a good
return, but in majority cases, there can be no surety of earning. Hence
those who love to have a good return with
safety for their investment, only a few options are left. Among these options, some are not much viable as they can
offer the return with security, but it is
much low than the inflation rate also. The best example here one can quote is a
bank fixed deposit. Investment in gold
and land are also good options, but there
are also some limitations associated with them which do not make them be the right option.
The mutual fund:
In the present finance world,
the investment in mutual fund is a viable option for all those who want a good return, the safety of money, investment in instalments and also transparency in
the system. The direct mutual fund investment is also possible nowadays which can
help one keep the balance monitored himself. The system is simple and still
attractive that can help even a small investor t get a good return over a period.
The options:
In the world of
mutual funds also there are various options available such as ELSS, Gilt Funds, Liquid Funds and normal
investment. One can also go for the dividend option, growth option as per his
choice. The investor can also check the funds where his amount will be invested and select a particular option that
can help him attain his future goals. In the market,
the MF companies launch specific fund targeting a specific sector. One needs to
check the same and go as per his choice to invest in a particular company. Here one needs to see that there is also risk
in investing in mutual funds as the price of the units can vary as per the
stock market because ultimately the amount of mutual fund is also invested in
the stock market only. However, there are
fund managers to monitor the investment position
from time to time and make changes in a way that can help them secure
the amount of investors in mutual funds.
How to benefit from
mutual fund investment?
While investing in the
mutual fund, one must remember that it is
a long term investment and hence one must not think that he has invested the
amount before one year and still it has not grown. Due to such period of
investment only the investors are recommended to go for the SIP in which even
if the unit prices are reduced or
increased the investor stays in benefit only.
The investor can also go for the dividend reinvestment options which can also help him grow his fund. In SIP one needs to invest a definite amount every month and hence over a period the amount will be increased to a good extent. For the small investors who cannot take the risk of investing a huge amount, this can be the best option for creating a good portfolio over a period. Learn more at Gulaq Mutual Fund Blog
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Created on Jun 11th 2019 02:19. Viewed 300 times.