Benefits of Investing in Mutual Funds - Franklin Templeton India

benefits

of

investing

in

mutual

funds

most developed markets investors invest is savings primarily

mutual

funds

because they're great for all the

benefits

they offer in

India

while many corporates invest in

mutual

funds

extensively most individual investors are not quite sure if it's the right thing for them as they are not fully aware of its

benefits

well you're in for a surprise because

mutual

funds

are one of the few investment options that will give you an any other investor

uniform

benefits

let's talk about the

benefits

that lend shall we

mutual

funds

offer a wide range of products across asset classes that are suitable for different investment durations from one day to a lifetime or suitable for different investment needs such as cash and fixed income

funds

for investors seeking steady growth in income at lower risk or hybrid

funds

a mix of equity and fixed income for investors seeking growth at moderate levels of risk or equities for investors looking for

growth over the long term but willing to take a higher level of risk another benefit professional management the big advantage is that your money is managed by qualified and experienced professionals whose job is to manage money their decisions are based on independent investment processes and then there's economies of scale whereby the services of professional fund managers are possible thanks to the pooling of everyone's investments these economies of scale extend to all areas of money

management like costs related to investment research customer service etc that may otherwise be very expensive for individual investors there's also portfolio diversification allowing investors to diversify across different asset classes and within an asset class like if you wanted to buy one share of every company listed in a popular index it would be cumbersome and rather costly on your own but it's a lot more cost-effective through a

mutual

fund much easier isn't it another

problem if you're on your own is liquidity you know it there have probably been times when you found yourself stuck with a stock and you can't find a buyer or worse still you can't find the company you've invested in this would not happen through a

mutual

fund investors can redeem the investments at prevailing nav per unit either on any business day specific intervals or closure of the scheme depending on the type of

mutual

fund scheme few

mutual

fund schemes may also offer

certain tax

benefits

as compared to other investment options these are great you thing but this is your hard-earned money we're talking about and you want to see where it's going in detail Tara you'll be happy to know that

mutual

funds

also offer a great degree of transparency making sure you're kept informed exactly every

mutual

fund has a clear investment objective and a performance track record which is disclosed periodically to investors allowing them to compare different

schemes easily

mutual

fund schemes also disclose the nav per unit on a regular basis finally there's the scheme's portfolio published periodically showing details of the amount of money invested in each security quantity of securities market value scheme expenses and the proportion as percentage to total portfolio value and once you make an investment with a

mutual

fund you'll have the investment comfort of being able to make more purchases with minimal documentation simplifying the

investment activity to a great extent the

benefits

continue investors have regulatory comfort because the Securities and Exchange Board of

India

has mandated strict checks and reporting of the

mutual

funds

activities and investors benefit from such protection you see the tons of

benefits

of

investing

in

mutual

funds

it really doesn't matter if you're an individual or a corporate go ahead and get started all to win the same race we hope you enjoyed watching this video watch more and

we'll help you learn about different

investing

concepts you can also write to us with your feedback at editor'

Templeton

com

mutual

fund investments are subject to market risks read all scheme related documents carefully