Mutual Funds Investment Method

Mutual Funds Returns

Following are the reasons, why most of the people choose mutual fund as the best investment
method Today.

• Your money is managed by professional funds manager.  Every mutual fund has a fund manager, who will be responsi9ble for your money management, time to time he monitors the performance of your mutual fund and if required he do changes in the portfolio of mutual fund, so it’s like invest and forget.  But it’s better to keep an eye on quarterly basis, not even on monthly basis.


• Mutual funds invest money in various stocks instead of a single stock if you choose equity link mutual fund.  Even if you choose any other mutual fund they will invest in various sectors, fields.  Government securities funds etc.  So your risk is reduced and you can get higher returns.  If you see the past records of any top mutual fund, then minimum 12% to 15% returns they had
  declared, which is very good returns as compared to any bank returns.


• Investors can buy and sell their mutual fund units any time, especially in open ended mutual funds.
  
  
  


• There is no compulsion for the amount to invest in mutual fund, you can start investing from Rs.500.  Investing in mutual fun becomes easy for every one due to smaller amount.


• Now-a-days most of the Mutual funds are offering online facility.  So you can view and monitor NAV’s charges, mutual fund plans, redeem units etc.  using online facility by sitting at home
  or in a cyber café.


• You have lots of varieties of Mutual Fund and brand names.  You can choose to invest in
  any sector you like, any field, any investment pattern you like, so, investing in mutual fund is very flexible.


• Very important is you get income tax benefits by investing in tax saving mutual fund and also 100% income tax exemption on all mutual fund dividends.