Mutual Fund Sahi Hai

Mutual Fund Sahi Hai. Is it really Sahi for you? With around 43 SEBI registered AMCs/ MF houses and more than 1300 different schemes, it is definitely not going to be any easy to know which scheme would be the right fit for you.

Whether the market is bearish or bullish, you will always come across brokers or so called financial service providers who will say that this is the right time to invest. And then there are some who will make promises of guaranteed returns as high as 30-40%.

The point to be noted is that nothing is guaranteed in life and the same applies for MFs. It is always good to be fully aware of your personal finance rather than depending completely on a service provider. When investing in MF, ensure that you are only taking the direct plans. When you go via a broker/distributor, then by default the plan chosen is a regular plan which means a fixed share of your money goes as broker commission. This amount in the long run will have an impact in the over all returns from your investment by the accrued savings on the commission. You can invest in a DIY ( Do-it-yourself) manner if there is enough time available to understand and get in to the details or engage with an RIA.

It's your hard earned money. Act prudently!