Today, we live in an inflation-based economy where the value of money decreases with time. Therefore, it is very important to invest properly in life to avoid any financial worries later in life. We can find many good investment opportunities in front of us and by investing money in such opportunities, we can get good results. One such great opportunity exists in front of us in the form of Mutual fund investment. We can invest in different types of mutual funds that invest our money in different options. In the previous article Managing money can be easy, I have added some important points about investment. Today, I will discuss Mutual funds and what is the advantage of investing in mutual funds. We are not required to worry much about the right investment option because each mutual fund has its dedicated team of advisors or investment consultants who make investments after doing lots of research.
We can easily find many good Mutual funds in a market where returns are very high as compared to other investment options. By planning your investment in Mutual funds, you can secure your financial freedom in life. Though, it is also true that all mutual funds do not give good results; however, with proper research, we can buy some best funds in the market that have a great track record. There are many mutual funds that have given returns of more than 50% in the past. We all know that the returns offered by other investment solutions like FD are not so good.
I bought a mutual fund 10 years back through SIP of Rs 1000 for 12 months and it was a dividend-based plan. In the last 10 years, my money has almost tripled and every year, I get dividends to the tune of Rs 1500 to Rs 2500 which is 13 to 20% of return every year. In such a manner, we all can plan good investments in mutual funds to see good returns in future. If anyone is planning for the future, then he must invest in growth plans than dividend plans because the growth plans provide more results in future as compared to dividend-based plans.
Today, It has become very easy to invest in mutual funds with the help of apps like ICICIdirect etc. With a single click, we can buy mutual funds of our choice. On these sites/Apps, we can easily check the track record of all mutual funds and decide which mutual fund is best for us.