What are the kinds of financial goals I can fulfill with Mutual Funds?
The best part about Mutual Funds is that no matter what your financial goal is, you can find an appropriate scheme for it.
So if you have a long term financial goal like planning for your retirement or your child’s future education than equity funds could be a choice to consider
If your endeavour is to potentially generate regular income, a fixed income fund could be considered.
You may have suddenly received a windfall of money and are yet to decide where you wish to invest, you can consider a liquid fund. A liquid fund is a good substitute to consider for a savings account or even a current account to park your working capital.
Mutual funds also offer investment options for saving tax. Equity Linked saving Schemes (ELSS) are specifically designed to do the same
Mutual Funds are a one-stop shop for practically all investment needs.
Long term. Short term. Your choice...
Are Mutual Funds ideal for short term or long term?
“Mutual Funds could be a good saving tool for short term.”
“You must be patient with your Mutual Fund investments. It takes time to deliver results.”
People regularly come across both the above statements, which are clearly contradictory.
So what period are Mutual Funds suitable for? Short term or long term?
Well, that depends on what one’s investment goals are, and most goals are driven by time. There are schemes suitable for short periods, there are several schemes suitable for longer horizon, and then, there are schemes for any period in-between.
Consult your Mutual Fund distributor or your investment advisor, discuss your financial goals, and then decide where you want to invest. For example;
1. Equity-oriented Mutual Funds- Look for longer periods, typically 5 years and above.
2. Fixed Income oriented Mutual Funds-
1. Liquid Funds - For very short term – Less than 1 year
2. Short Term Bond Funds – For the medium term – 1 to 3 years.
3. Long Term Bond Funds - For the long term – 3 years or more
As you explore our website, you will know more about the various kinds of Mutual Funds too. So, trust the expertise of your advisor, know your goals, and invest!
Are Mutual Funds ideal for short term or long term?
“Mutual Funds could be a good saving tool for short term.”
“You must be patient with your Mutual Fund investments. It takes time to deliver results.”
People regularly come across both the above statements, which are clearly contradictory.
So what period are Mutual Funds suitable for? Short term or long term?
Well, that depends on what one’s investment goals are, and most goals are driven by time. There are schemes suitable for short periods, there are several schemes suitable for longer horizon, and then, there are schemes for any period in-between.
Consult your Mutual Fund distributor or your investment advisor, discuss your financial goals, and then decide where you want to invest. For example;
1. Equity-oriented Mutual Funds- Look for longer periods, typically 5 years and above.
2. Fixed Income oriented Mutual Funds-
1. Liquid Funds - For very short term – Less than 1 year
2. Short Term Bond Funds – For the medium term – 1 to 3 years.
3. Long Term Bond Funds - For the long term – 3 years or more
As you explore our website, you will know more about the various kinds of Mutual Funds too. So, trust the expertise of your advisor, know your goals, and invest!
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