Certified Financial PlannerCM

Download Presentation
How to become Crorepati?
Systematic Investment Plan

Fixed Maturity Plans (FMPs) / Monthly Income Plans (MIP) / GILT funds / Income funds/ Liquid schemes invests in Debt securities and are relatively less volatile helping you build a balance portfolio according to your risk appetite. They are also tax efficient making them an attractive investment option.


There is a wide range of funds which can be selected based on your risk appetite and financial goals.


(A). Equity diversified funds:

  • Large Cap Funds
  • Mid Cap Funds
  • Small Cap Funds
  • Equity Linked Saving Schemes (ELSS)

(B). Debt Funds:

  • GILT Funds
  • Income Funds
  • Monthly Income Plans (MIP)
  • Liquid Funds
  • Income Funds
  • Fixed Maturity Plans (FMP)

(C). Sector Specific Funds:

  • Banking
  • Pharma
  • Power
  • Infrastructure
  • Information Technologies

(D). Balanced Category:

  • Balanced Fund
  • Hybrid Equity oriented Funds
  • Hybrid Debt oriented Funds

(E). Index Funds and Exchange Traded Fund (ETF)

What is Mutual fund?

Mutual funds are professionally managed investment schemes that pool the money of investors together to invest into equities market, bonds, and debt instruments. Mutual funds are one of the cost effective and simple ways to take the advantage of equity as an asset class.

Mutual funds are considered as one of the best available investments as compare to others they are very cost efficient and also easy to invest in, thus by pooling money together in a mutual fund, investors can purchase stocks or bonds with much lower trading costs than if they tried to do it on their own. But the biggest advantage to mutual funds is diversification, by minimizing risk & maximizing returns.

Advantages of Mutual fund?

Professional Management:-

The basic advantage of funds is that, they are professional managed, by well qualified professional. Investors purchase funds because they do not have the time or the expertise to manage their own portfolio. A mutual fund is considered to be relatively less expensive way to make and monitor their investments

Diversification :-

Purchasing units in a mutual fund instead of buying individual stocks or bonds, the investors risk is spread out and minimized up to certain extent. The idea behind diversification is to invest in a large number of assets so that a loss in any particular investment is minimized by gains in others.

Do not put all eggs in one basket!!!!!!

Economies of Scale

Mutual fund buy and sell large amounts of securities at a time. Therefore, help to reducing transaction costs, and help to bring down the average cost of the unit for their investors.

Liquidity

Just like an individual stock, mutual fund also allows investors to liquidate their holdings as and when they want other than ELSS funds.

Variety

Mutual funds offer a tremendous variety of schemes. This variety is beneficial in two ways: first, it offers different types of schemes to investors with different needs and risk appetites; secondly, it offers an opportunity to an investor to invest sums across a variety of schemes, both debt and equity. For example, an investor can invest his money in a Growth Fund (equity scheme) and Income Fund (debt scheme) depending on his risk appetite and thus create a balanced portfolio easily or simply just buy a Balanced Scheme.

Simplicity

Investments in mutual fund is considered to be easy, compare to other available investment instruments in the market. You can start investing in mutual funds through SIP mode at Rs.100/- per month.

Regulations

Securities Exchange Board of India (“SEBI”), the mutual funds regulator has clearly defined rules, which govern mutual funds. These rules relate to the formation, administration and management of mutual funds and also prescribe disclosure and accounting requirements. Such a high level of regulation seeks to protect the interest of investors

The Systematic Investment Plan (SIP) is a simple and time honored investment strategy for accumulation of wealth in a disciplined manner over long term period.

SIP investments reduce the risk on investment and volatility of market.

Testimonials

I have had never invested money in equity. However, I have been advised to start investing money in equities by Mutual Fund SIP. Now I know, how to take advantage from the equity as an asset class. Thanks for the great advice.

Rahul Saxena – MBA Marketing- IIM

“Thanks for the great service. I didn’t know anything about investing until I called Fcafe.You made it seem easy.”


Gaurav Mahtur- Head -IT

“I have been dealing with Financial Cafe for the last 3 years and I can vouch for professionalism and honesty in all their dealings. I have never had the need to look for another establishment for any of my financial requirements”

Dr. Rajeev Garg

“I used to lie awake nights worrying about how I was going to put two kids through MBA. Now I sleep like a baby. Thank you Financial Cafe”


Renu – Homemaker

I congratulate for good work and wish them best of luck for future.

Jasvinder Singh- Head- India & South-east Asia

Though my comfort in handling technicalities involved in financial domain has always been my forte in the past, Financial Café has helped me develop new insight about the financial planning. Indeed, Financial Café is perfectly suited for all individuals, who seriously believe in shaping the future.

Manoj Verma- Vice president- Sales

The simplicity & clarity in the approach adopted by financial café is remarkable. Their step-up approach is very pragmatic and easy to implement. I found portfolio rebalancing generating better returns as you put more money in equity when share market are lower level and withdraw money when markets are at their peak.

CA. Sachin Gupta

More...
Refer your friends