An investor must have a plan in place and more importantly stick with it in spite of the changing market situations. With enough liquidity to support the market, the indices are nearing all-time high levels. Markets remain volatile on the shortto-medium term, but average-out over the longer horizon. An investor having seen the ups and downs of such market remains poised for the long haul and is largely undisturbed with such frequent fluctuations.
An investor must have a plan in place and more importantly stick with it in spite of the changing market situations. With enough liquidity to support the market, the indices are nearing all-time high levels. Markets remain volatile on the shortto-medium term, but average-out over the longer horizon. An investor having seen the ups and downs of such market remains poised for the long haul and is largely undisturbed with such frequent fluctuations.
Investors, especially the youngsters should not be too wary about the current market situation. When you are starting out, it’s easier to commit money for long periods, as you have few financial Keep an Eye on Your Financial Goals with Mutual Funds responsibilities and are in a position to take risks with your investments. The other advantage of starting young is that mid-course corrections are possible without any major impact on your portfolio.
And most importantly, mistakes made during the initial days of investing helps one learn the basics of investments that come to rescue in the later stages of life. What course will the market take and how long before it takes a turn again is not something any investor has ever been able to figure out with authority.
For retail mutual funds investors, therefore, here are few things to look at in these uncertain times.
Stay put if your goals are more than five years away
If the financial goal for which you are saving is at least five years away, it’s better to continue your investments in equity mutual funds. Studies have shown that equities have delivered high inflation adjusted return over long term than other asset classes such as debt or gold. Further, the volatility in short-medium term is higher in equities and hence holding them over longer period helps in easing out the volatility.
Prune equity allocation if your goals are 3-5 years away
This story is from the July 2017 edition of Investors India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the July 2017 edition of Investors India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Indians are Developing Weak Bones
In India, 1 out of 8 males and 1 out of 3 females suffer from osteoporosis, making India one of the largest affected countries in the world.
"The strategy behind the Tata India Innovation Fund centers on identifying companies that are driving transformative or incremental changes through innovation"
Yes, we certainly believe innovation is a powerful theme with immense potential for the coming years, and we are excited to bring it to our investors.
What is Hybrid Mutual Fund?
Hybrid Mutual Fund is a combination of more than one type of fund. While they invest in shares of companies listed on the exchange, like equity funds.
Should you invest in dynamic bond funds?
Dynamic bond funds have delivered a category average return of 8.68 per cent over the past year, making them the fourth best-performing category, following long-duration funds, constant maturity gilt funds, and gilt funds. With interest rate cuts yet to begin, these funds remain a viable option for investors seeking to benefit from possible rate reductions.
The Multicap Solution to India's MultiDimensional Growth
India is entering a transformative era of economic growth, backed by a unique combination of demographic strength, infrastructure development, and rising global prominence.
The Long-Term Benefit of Investing in Children's Future
A child is the most treasured part of any parent's life, and naturally, we want to give them the best of what the world has to offer. This often means not only ensuring we can meet their needs but also nurturing them to pursue their unique aspirations. Each child has their own dreams and challenges, making the early years critical as they lay the foundation for a healthy and fulfilling future.
ASK THE EXPERT
Ques. One of my friends told me that your company provides detailed Retirement plans. I want to know what is the procedure to get my Retirement plan. I will be retiring in March 2025. R.P Gupta, Noida
How to Naturally Reverse Fatty Liver Disease
The liver, located on the upper-right side of the abdomen, is the body’s largest internal organ and plays a critical role in detoxifying the blood and processing nutrients.
Banking sector which has underperformed in the last two years, now offers a favorable risk-reward profile
Do you think the market is overpriced? Is yes, should investors refrain from investing in index schemes at the current valuation?
India will continue to enjoy benefits of a close US relationship and trade will continue to grow
Q1. The US elections are said to be one of the closest till date, what impact will the election of a Republican / Democratic party have on the US economy and how is that going to affect India in the short as well as the long term?
