retirement planning investment using mutual funds

Invest in Mutual Funds can be the Best Idea in 2024


Last Updated on 25/12/2023 by Deepak Singla

Earn. Spend. Save. This is the cycle of every month live by most of us. By now we are sure you know how much importance of saving is. Perhaps you have heard about the significance of investment, When considering investing in mutual fund If not, here is the quick primer- When you save your money sit idle and put money work for you.

So why should investors consider investment in mutual funds over others to achieve their investment goals? If you are still bounded whether Mutual funds are the best choice for you?

These 10 responses may help why you should invest in mutual funds. How mutual funds can be part of your wealth building portfolio.

Disciplined Investment:

Really habits are hard to break. The no better habit could be there then investment for your secure future. Start the Systematic investment plan in mutual fund. In this investment opportunity, you are committing to invest a certain amount on the day of the month, consistently for the certain number of month or years. Such commitment helps you in a productive action towards your future. It is a fixed component of your monthly income in which other expenses have to factor. This is the way of your future goal.

Higher Refunds:

Mutual funds can provide you a right avenue for investing in the variety of market, which takes time and can deliver superior returns compared to other traditional investment plans. The Dept. Funds (DF) has consistently beaten Fixed deposit (FD) returns. They are presenting a good investment plans plan for investors at lower risk. The adventurous investor share gives a great investment avenue for higher returns.  According to the data analysis, it reveals that equality funds give around 10-15% returns in 10 years.  Identify and invest in right mutual funds and get a head you’re saving.

 The superfluity of schemes:

investor who would prefer to invest in mutual funds have a variety of option to select out of. Every mutual fund’s scheme has its own characteristic, scheme objective and even the target of interest of investor with the similar plan. The Bond funds for those who wish to achieve short-term financial goals.  For investors who prefer for certain professional investment go on to invest in passive funds. This advantage helps you to build a diversified portfolio at a lower cost.

Defeats the invasion of inflation: 

By Investing in the mutual funds, you shield your investment from the monster of inflation. Actually, the Mutual fund provides an ideal option to place your saving for long term inflation adjusted growth. This provides devaluation in your hard earned money over the years. The systematic investment plan, one can tackle inflation with the power of compounding.

Professionally managed:

The mutual funds are actually managed by fund managers, whose every day task is to track the market and manage investments. Fund managers always seek the wining stock to buy, when to buy them and when to sell. They spend many hours analyzing the market’s performance of the companies if they found it fit, they fund.  The delivering high returns are the fund manager’s job. You can rest assured, just knowing that you invest in the right mutual fund. He/She is likely to manage your funds for long run better than you.


Investing in the mutual funds now a day is like a piece of cake. The whole process offered online by many players in the industry.  Starting an investment can be done easily in the better way with few clicks. Even tracking the performance of your investment can be done easily online. In last the mutual funds provide a right ground for investing with least effort and with a potential of maximum ROI.

A fund with your name on it:

In the world of mutual funds there is a wide variety of choice to pick from debt funds, equity funds, liquid funds, tax-saving funds etc.  Depending upon your profile and goal, there are many funds ideal for you. Unlike a PPF or an NSC, where the rules are already laid down for you, here you can choose what type of fund you want, how long you want to stay invested, how much you want to invest, and much more. Just like how a tailor-made outfit is often a better fit for you than a ready-made garment, a personalized mutual fund portfolio with the right advisor is the best fit for your goals.

No Lock-in:

The traditional investment plan comes with long- lock-in periods, which makes it hard for you to get your money out, in times of emergencies. On the other hand, the mutual funds broadly come with less or not lock-in periods. Most mutual funds don’t have lock-in period and give you the flexibility to redeem your money when you need it. The tax-saving even comes with a short lock-in periods of 3 years.  So most likely you are saved from the hassle of fixed, long lock-in period.

Expertise from the experienced:

Mutual funds are backed by a team of some professional analysts who analyze the current and potential holding of Investment decisions are made by fund managers who gauge the performance of the fund(s) and analyze the fund and prospects in the market that would lead to achieving the objective of the Mutual Fund scheme. Fund managers and research analysts are professionals with layers of rich experience and specialization in the field of Mutual Fund.


“Don’t put all your eggs in one basket”, the adage we have heard. This is the premise of diversification. Diversification means spreading your investments across asset stocks and classes to reduce your risk. With the mutual funds, you can get the benefit of default diversification, as your fund manager invests across a variety of stocks. It is the ideal way to get a taste of the equality markets with lesser risk.


Mutual funds allow investors to pool their money for a specific time, managed by a professional fund manager. It offers an array of innovative products like fund of funds, exchange-traded funds. Fixed Maturity plans, exchange-traded funds. Fixed Maturity Plans, Sectorial Funds and many more.

Consult your financial adviser on how to balance your portfolio by selecting the right mutual funds.