For a comfortable life, one needs to have sufficient income and saving. After working hard in a job or business, people try to save some amount and deploy it in a field where they can have a better return. In many options, the return is good, but the risk associated with the returns is high, and hence, one does not think it feasible to go for. The share market can help one get a good return, but there can be high risk, and one may lose the amount also. If one buys the land he can have good value in future that can help him get huge profit but the liquidity in this option is not available, and hence one may not find it that much feasible. The best way in such a scenario is the mutual fund investment.
The mutual fund:
One can find various
asset management companies that run different mutual fund schemes in the
market. These schemes are designed as per the vision of the company. Some of
them offer open-ended funds while some may have close ended also. One can find
several options such as growth, dividend and dividend reinvestment, which can
be fruitful to the investor in the long term. If one plans to go for a mutual
fund, he needs to choose the company and fund with great care. All the details
for the plan are available on the internet these days from where one can see
the vision and return offered by the company. Accordingly, one can also check
the NAV, which can help him know the total fund value of his investment.
Choose the right
fund:
Selecting the right
fund is very important for every investor in this field. The investor may
wonder about how to choose mutual funds
that can fulfil his wish. The best answer for this is choosing the same after
thorough research. Proper research before investing the money is much needed
for every investor. If one does not know how to understand the market and
mutual fund, it is better to ask an expert and find the most feasible option.
How to invest?
Investment in a mutual
fund is very simple. One needs to select a fund first. One can go for
investment via online mode or an offline one. In online mode, he needs to fill
an application form on the site of the company and provide supporting
documents. These documents can help one
clear his KYC requirements. Once the application is accepted, one can transfer
the fund online via any of the channels through which payments are accepted by
the concerned company.
In offline mode, one
can contact a broker or company directly. The application form here needs to be
filled manually. One also needs to give a copy of the documents and submit the
application with the cheque of the concerned amount. Once the application is
submitted, and the cheque is cleared, the company offers the units as per the
invested amount and NAV of the units. Hence it takes around two to three days
for the investment in this segment.
