6 Factors to be kept In Mind before Investing In Mutual Funds
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6 Factors to be kept In Mind before Investing In Mutual Funds

6 Factors to be kept In Mind before Investing In Mutual Funds

Mutual fund is one of the best and most sought-after investment options in the finance market due to its capability to earn a lot of returns for its investors. But before investing in mutual fund, it would be advisable to keep the following points in Mind:

1. Investor’s Age

This is one of the most important factors that you must consider before investing in a mutual fund scheme. As one of the best mutual fund advisors in India, we suggest clients who are in their golden years to invest more in secured mutual funds than riskier ones. A young person has more opportunities and capabilities to earn, and this ability boosts their confidence to take higher risks.

6 Factors to be kept In Mind before Investing In Mutual Funds

2. Disposable income

One should keep in his mind, the net disposable income he has on a regular basis and shall take investment decisions accordingly. They shall prefer the top mutual fund to invest in as per the amount they can actually willfully and freely invest because when it comes to long term investment taking credit for investment is not a feasible idea.

3. Investment objective

When you think about investing, it shall be smart and well planned. The goals that you want to achieve shall be set in your mind. It might be anything like buying a house, a new car, retirement planning or anything else. The monetary value of such goals shall be pre-decided by you. Being one of the leading mutual fund company in Delhi NCR, we suggest our clients to estimate a fairly reasonable investment objective and then to make regular investments for the same. We follow the philosophy of INVEST FIRST and spend the rest and not first spend and then invest because we understand that never happens.

4. Experience of the fund management team

All financial consultants in Delhi and other parts of the country will definitely suggest you this point. Before making any investment on the professional advice of your mutual fund advisors please verify the experience of the fund management team managing your portfolio. This can be a make or break decision for you because most of the financial decisions you take would obviously be influenced by your mutual fund advisors.

5. Fund performance

Before spending a single spending a single penny on any fund, carefully examine its past performance.  There are different ways you can do this. You can compare the scheme with benchmark, compare the scheme with other funds of same category, see the total return, study the risk-adjusted return and check the portfolio diversification.

6. The tax implications

This is one essential factor if you want to invest a huge corpus or invest for a long term basis. Before investing in any share you might want to check the tax implications of the Income tax Act, 1961, where one side it might provide you deduction under section 80C on the other side there might be some other tax implication. So be aware of all such conditions and regulations.

We, at VSRK are one of the best mutual fund advisor in India and a part of the leading names in the list of top financial consultant in Delhi NCR. We, as a Mutual fund company in Delhi NCR, have an immense experience if over 30 years in suggesting top mutual funds to invest to our clients and thereby creating wealth for them and helping them to achieve their financial goals.

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