What is Mutual Funds and its types?

Money matters. Of course, everyone knows that. But even then, most people are wary of talking about Money. And that is actually not really good.

Also Read: How much income should I earmark for investment purpose?

Since money worries are something that everyone has and these never go away, no matter how much savings you have every month. So, let’s talk about money and find answers to your money worries.

A simple solution to sorting your money worries is to invest it in mutual funds. Many of you have heard about Mutual Funds but wondered what it is.

Mutual Funds is the best way to invest your money so that it can grow and give you returns over a period of time.

Mutual Fund is an investment vehicle run by a professional fund manager who collects funds from different investors who share common objective and invests them in stocks, bonds etc.

Further Reading: What is Mutual Fund

Since it is managed collectively, the possibilities of returns are higher. These funds are registered under SEBI and henceforth quite secure.

Mutual Funds are of three kinds:

  1. Equity Mutual Funds – These funds invest in company shares and are done for longer time durations. These involve a little more risk. But yes, with high risk, the probability of getting returns is also high.  
  2. Debt Mutual Funds – These are comparatively low-risk funds that invest money into government securities, treasury bills, corporate deposits etc. You can invest in these funds from overnight to for 10 years. These are fewer risk funds and carry little volatility.
  3. Hybrid or Balanced Mutual Funds – These funds invest their money into both debt and equity to ensure better returns than the debt mutual funds. The decision for the ratio of investment is taken by the fund manager to get maximum returns from both kinds of investments and ensuring better post-tax returns. To know more, click Budwisefunds.com.

In today’s times, Mutual Funds is a safe investment and very crucial too. Investing your money is an essential part of everyday life to secure your future given the uncertainties of life.

However, modern schedules leave no time to make deep research to find out the best investment options.

And even if one is able to research, making the right decision is often difficult due to lack of in-depth knowledge and risk evaluation of the market. In such a scenario role of a financial expert, budwisefunds becomes very important.

Also Read: Why Investing is Important and Why does anyone need to invest?

Mutual Funds ensure a safe investment that can generate good returns. Besides, these companies know the markets inside out and can evaluate the risks involved.

They have the best research and sophisticated tools for a better analysis of the market. Since the actual investment is made collectively, Mutual Funds offers an opportunity to invest even small amounts of money in good schemes which are otherwise not possible individually.

With Budwisefunds, you can invest or start your investment with as low as Rs. 100 per month.

Moreover, one can access coveted investments and large portfolios through Mutual Funds which cannot be done alone.

SEBI Regulations ensure that these investments fully compliant with the objectives as given in the scheme information document.

Further Reading: Mutual Funds Sahi hai 

Budwisefunds is a professionally owned and managed mutual fund distribution company that offers best investments in Mutual Funds.

Offering regular updates and statements to empower you to make informed decisions, Budwisefunds offers impeccable services and flexibility of choice.

You can choose the kind of plan you want depending on your financial goals.

Further Reading: HDFC Fund

With a thorough knowledge of the market, Budwisefunds makes sure you get good returns on your money with safety and security.      

To open your lifetime free mutual fund investment account, please click here.

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