Fight market volatility with these great Mutual Fund schemes. Read on to know more!
While a lot of people still believe that keeping their money in Savings Accounts is the best way to save, others who understand inflation know that isn’t exactly the best way to go about it. Sure, Savings Accounts can help you store cash, but they most certainly don’t help you save. Given the rising rate of inflation, saving for your future can be an arduous task if you don’t explore some solid investment options.
Additional Reading: 5 SIP Schemes That You Can Invest In With Only Rs. 500
Mutual Funds are one such option that help you save better for your future ahead. They are basically managed by an asset management company and offer people diverse options to invest in schemes and funds. As you might already know, mutual funds come with their share of risks. Since they are market dependant, you, as an investor, need to understand each and every aspect about them well enough to make a profit. Of course, you can always get an expert’s help to tackle them well.
Additional Reading: Planning To Invest In Mutual Funds? Here’s All You Need To Know
If you are sceptical about investing in Mutual Funds, here are some things you need to know:
They Come With A Good Return On Investment (ROI)
As compared to various other investment instruments in the market, Mutual Funds definitely offer a better ROI. If you want to beat inflation and save for a bright financial future , Mutual Funds are the way to go. Depending on your goal, you get the option of investing either for a short or long term.
They Can Be Diversified
The option to diverse your portfolio actually helps reduce the risk of investment significantly. What that means is that you can invest in different industries and even if one sector sees a fall, others can help you stay afloat. Likewise, you also have the option of investing in either long term equities to reduce the overall risk involved.
Additional Reading: ELSS 101: To Invest Or Not To Invest?
They Have Tax Benefits
This is one of the best reasons to invest in Mutual Funds. Who doesn’t want tax benefits, right? Under Section 80C of the Income Tax Act, 1961, ELSS Funds are exempted from tax.
They provide liquidity
When you invest in open end mutual funds, you can also make withdrawals as and when you like.
Additional Reading: How Mutual Funds Work
We hope these reasons are enough to convince you that Mutual Funds are one of the best investment instruments available. To further help you fight market volatility, here are five Mutual Fund schemes that you must check out:
Here are some of the key details:
Who are the Fund Managers? Ashish Nayak and R. Sivakumar
What’s the value of assets under management? Rs. 294 crores
What’s the 1 year and 3 year return (%)? 11.38 and 6.68
What are the top three equity holdings? HDFC Bank, Kotak Bank and HDFC Ltd.
Who is the Fund Manager? Harsha Upadhyaya
What’s the value of assets under management? Rs. 17,803 crores
What’s the 1 year and 3 year return (%)? 12.62 and 11.65
What are the top three equity holdings? HDFC Bank, Reliance Industries and L&T
Who are the Fund Managers? Satyabrata Mohanty/Lovelish Solanki/Pranay Sinha
What’s the value of assets under management? Rs. 1,477 crores
What’s the 1 year and 3 year return (%)? 6.37 and 7.70
What are the top three equity holdings? ITC, HDFC, Yes Bank
Who are the Fund Managers? Sankaran Naren/Manish Banthia/Ihab Dalwal/Rajat Chandak
What’s the value of assets under management? Rs. 26,050 crores
What’s the 1 year and 3 year return (%)? 10.39 and 9.19
What are the top three equity holdings? HDFC Bank, HDFC Ltd., Infosys
Who are the Fund Managers? Amit Ganatra and Taher Badshah
What’s the value of assets under management? Rs. 1,074 crores
What’s the 1 year and 3 year return (%)? 21.68 and 12.95
What are the top three equity holdings? Reliance, HDFC Bank and HDFC Ltd.
Source: Economic Times / Value Research Returns
Happy investing! Looking for more options? We have them right here for you.