Exciting invest funds in a mix of equities

Exciting mutual fund
investment plans for you

Mutual fund investment plans

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At
retirement, people should make the best use of their retirement corpus so that they
can invest wisely, get reasonably good returns, and yet remain tax-free. But,
investment along with a steady income is the biggest challenge faced by most of
the people. One of the best options for a retired person is investing in mutual
funds. In this article, we suggest some mutual funds that are good to invest in,
offer decent returns, and are safe.

Types of Mutual Funds

1.      
Equity
Funds

 

Equity funds are mutual funds that invest their funds in
stocks. Equity funds tend to grow faster than money market and fixed income
funds, but you stand a risk of incurring a loss. As the main goal of any equity
fund is long-term growth through capital gains, certain equity funds invested in
a few market segments, may tend to have a slight element of risk.

 

2.      
Balanced Funds

 

A balanced fund is a great mutual fund investment plan for medium-term investors. As the name indicates,
Balanced Funds, which invest funds in a mix of equities and fixed income
securities, are often called hybrid funds. Normally, these mutual funds try to
maintain a balance of the funds invested by keeping more than 60% of their
investment in stocks and the remaining in bonds. You can enjoy tax-free returns
if you invest in Balanced Funds, which have a holding period greater than a
year.

 

3.      
Fixed
Income Funds

 

Fixed Income Funds are mutual funds that invest funds in a
combination of government securities, such as government bonds, certificate of
deposits, corporate bonds, and money market instruments that pay a fixed rate
of return. These type of mutual funds are considered safe and offer a regular
income. It should, however, be noted that that the returns are subject to the
availability of distributable surplus.

 

4.      
Money
Market Funds

Money Market Funds are mutual funds that invest in commercial
papers, commercial bills, treasury bills, certificate of deposits, and other
instruments specified by the Reserve Bank of India. These funds have a minimum
lock-in period of 15 days.

 

 

 

 

5.      
Liquid
Funds

Under Liquid Funds, your money is invested in short term
instruments that can be converted to cash easily, such as Treasury Bills and Commercial
Papers. These short term instruments, which are considered low risk, offer
reasonable returns and are excellent for short term investments.

6.      
Fixed
Maturity Funds

Fixed Maturity Funds are mutual funds which invest in Debt and
Money Market instruments, which are similar to bank fixed deposits. These funds
offer maximum benefit if invested for a longer time.

Now, that you have retired, this is the right
time for you to plan your post-retirement life judiciously. At this point, when
you now have a fair idea of the different types of mutual funds, there is no
reason for you to delay your post-retirement financial planning any longer. Invest
in the mutual fund of your choice so that you can live your lifestyle in
comfort and happiness.

 

So, go ahead and make that investment – Today!

 

https://www.investopedia.com/terms/e/equityfund.asp

https://www.thebalance.com/what-are-index-funds-2466441?utm_term=what+is+a+index+fund&utm_content=p1-main-2-title&utm_medium=sem&utm_source=google_s&utm_campaign=adid-9a58d18c-b31e-4019-8367-80a5c81791cb-0-ab_gsb_ocode-35421&ad=semD&an=google_s&am=broad&q=what+i

https://economictimes.indiatimes.com/wealth/invest/5-investment-options-for-the-retired/articleshow/54222117.cms

https://investguru.in/best-retirement-mf.aspx