What is a Mutual Fund?

A mutual fund is a professionally managed investment pool that combines money from many investors. This pooled money is then used to buy a variety of securities like stocks, bonds, and money market instruments.

Why Start Early with Mutual Funds?

Habit Building

Start small, invest regularly, watch your savings grow!

Market Fluctuations

Long-term investing averages out costs across market ups & downs

Time for Goals

The sooner you start, the sooner you reach your financial dreams!

Compounding

Early starts = more time for returns to grow on returns (powerful!)

SIP – Systematic investment planning

SIP stands for Systematic Investment Plan. It’s a method of investing in mutual funds where you invest a fixed amount of money at regular intervals (usually monthly) instead of a lump sum.

Why SIP ?

Discipline & Convenience

Automate your savings and avoid impulsive decisions.

Flexibility & Affordability

Start small and adjust contributions as your budget changes

Rupee-Cost Averaging

You buy more units when prices are low and fewer when high, balancing out the cost per unit over time.

Power of Compounding

Grow your wealth exponentially as your returns earn returns.

Wide Investment Options

Choose SIPs in mutual funds that match your risk tolerance and goals.

Classification of Portfolios based on Investor Risk Appetite

  • Aggressive portfolio

  • Moderate Portfolio

  • Conservative portfolio.

Benefits of Lumps up investment

One-Time investment

Lump sum investment is a one-time investment in a particular scheme/plan for a specific duration. It is generally chosen by individuals who have a large amount of money handy for making investments

Smarter investment Management

When someone wants to make a lump sum investment, they can manage the timing of their investment as per their risk appetite.

Convenience

Individuals who want to invest a big sum of money can often find it more convenient to make lump sum investments.

Compounding benefits

The power of compounding can help you gain profits on the interest you receive on your investment for financial instruments such as fixed deposit.

Here are Some of the Most Common Types of Portfolios, Categorized by Risk Tolerance And Investment Goals

  • Start

  • Plan

  • Save

  • Future

  • Goal