MUTUAL FUNDS FOR LOW RISK, HIGH LIQUIDITY, TAX SAVING BENEFITS
We Help You Find Funds That Meet Your Needs
Why Invest in Mutual Funds
FREEDOM TO DECIDE YOUR RISK APPETITE
LOW LIQUIDITY RISK
TYPES OF MUTUAL FUNDS WE PROVIDE
A popular choice, our customers prefer these funds as the returns are higher than debt and hybrid funds. Equity funds also carry a tax benefit and diversify your risk across AAA stocks, proving to be less risky than stock trading.
These short to mid term, liquid, market credit instruments are preferred by clients who go by credit ratings and would like a fixed, regular income. Ratings are issued by noteworthy organizations like CRISIL, CARE, FITCH, ICRA and Brickwork.
These mutual fund schemes invest across both debt and equity asset classes, and are ideal for customers who want to generate income in the short term while holding on to capital appreciation in the long term. These schemes cater to both the most risk conservative and risk taking consumers.
Ideal for customers who want to regularly set aside a sum to build a portfolio. Systematic Investment Plans take a small fixed sum from your savings account every month and invest it into your desired mutual fund scheme.
Frequently Asked Questions
Q1 WHAT ARE MUTUAL FUNDS?
Think of mutual funds as existing professionally managed wealth portfolios in different asset classes (like equity, company stocks and debt instruments like treasury bills, gold, other commodities and more).
Q2 WHAT IS THE PROCESS OF SELECTING A MUTUAL FUND?
Investors choose which portfolio to invest in depending on the sum they want to invest, the purpose of investing, when they want to exit and how much risk they want to take. Some investors prefer to invest in certain sectors and industries.
Q3 HOW RISKY ARE MUTUAL FUNDS?
Every market instrument is exposed to some degree of market risk but mutual funds are one of the only instruments that are heavily regulated by SEBI and are transparent in terms of fund investment mandates, documentation and audited reports.
Q4 WHEN SHOULD I START INVESTING IN MUTUAL FUNDS?
It is never too early or too late to invest in mutual funds. From planning for your retirement, to creating an emergency fund for your children, parents, spouse to putting aside money to buy a future asset, mutual fund investments are determined by what your financial goals are and how fast you want to reach them.
Q5 DO MUTUAL FUNDS GIVE ME TAX BENEFITS?
Yes, some mutual funds give you tax benefits. Equity Linked Saving Scheme (or ELSS) is one of such schemes. Our advisors are well equipped to walk you through specific funds should you choose to avail tax benefits.
Q6 CAN I INVEST IN MUTUAL FUNDS FOR MY PARENTS, AND CHILDREN?
Absolutely! As explained earlier, it’s easier to set aside and grow wealth for your loved ones by allocating a regular sum to a managed portfolio. You can also choose the investment horizon (also known as the time period) by when you wish for them to avail the return.
Asset Management Company or AMC is a company registered under SEBI, which manages HNI wealth portfolios, hedge funds, and in the case of mutual funds, manages its underlying assets and takes the decision to invest or divest. AMCs are also called money management firms.
Mutual funds collect a sum from investors when they join or leave a scheme (as management fees). The amount charged from an investor upon exiting a mutual fund scheme, before its stipulated period, is known as the exit load.
This is the fee collected from the investor upon purchasing a mutual fund scheme. This amount reduces the overall burden on the investor as it is deducted from the total amount invested. Off late entry load fee has been banned to further facilitate the investor.
Also known as the total amount invested in a fund. As is known, a multitude of investors invest in a particular mutual fund scheme. The total amount collectively is called the corpus. If a scheme has 100 units and each unit is worth Rs. 1000 then the total mutual fund corpus (by all investors together) is Rs. 100,000.
Assets Under Management or AUM refers to the current, cumulative market value of instruments and investments managed by a portfolio company, wealth manager, hedge fund, AMC or any such financial institution
Net Asset Value or NAV is the total value of a structure, calculated by minusing the total value of the liabilities from the total value of the assets. In the case of mutual funds, it’s calculated by minusing the liabilities from the assets and dividing that by the total number of outstanding shares, all at the end of the day.
Equity Linked Saving Scheme or ELSS is a particular type of mutual fund that is close-ended, with a lock-in period of 3 years in India and with tax benefits under 80C of the Income Tax Act 1961. These schemes also have better liquidity.
This is another name of hybrid fund, owing to the fact that hybrids have the benefit of fixed income, while also having the benefit of long term capital appreciation. They are also convenient and have varying asset classes depending on the risk appetite of the customer.
A Debt Fund is a pool of investment who’s asset class mainly comprises of fixed income, credit instruments, including but not limited to bonds and securitized assets. These funds are preferred by customers who wish to invest in low risk instruments, preserve capital or wish to cushion their current portfolio.
A Systematic Investment Plan or SIP deducts a small, fixed amount from your savings account and uses the power of compounding to help you grow your current income. SIPs generally have a 2x return than fixed deposits. The benefit lies in automatic, monthly, small sums being deducted to create a wealth pool for you or your family