Because of their attractive returns and overall high performance in previous market cycles, mutual funds are quickly becoming a popular choice for novice and seasoned investors.
It is easy to access mutual funds and there are many Mutual fund representatives in Mumbai, as well as smaller cities like Tier 2 and 3. If you’re new to the investment world and want to learn more about SIPs or other systematic investment plans, we recommend that you contact a Mumbai or Delhi MF agent. However, before you approach a broker, or agent, you need to be familiar with the basics of mutual funds investing. To make your job easier, we have created a beginners guide for mutual fund investing. However, this guide does not cover all aspects of mutual fund investing.
KYC Compliance: Mutual funds require that you are a beginner investor. The agent or mutual fund agency that you approach will ask for basic identification such as PAN cards, addresses proof, photos, bank account details, and other information. You can also approach a mutual agent if you don’t have these documents so you can get started on your investment journey.
Your investment goals: Now that you have completed your documents, it is time to think about your investment goals and expectations. The investment route for mutual funds is different if you’re looking to save your retirement. Mutual funds can help you reach your financial goals regardless of your financial goals. However, you need to be clear about what you expect from them.
Contact an agent: Mutual funds agents need time to understand the implications and risks. You must take the time to learn about finance if you’re new to it. It is best to seek out a professional such as a financial planner or fund manager who can explain things in plain English.
Risks Many first-time investors believe mutual funds are 100% safe and risk-free. It is false as every mutual fund scheme is susceptible to financial cycles and market risks. You must understand that you will be exposed to some risk no matter which mutual fund scheme you choose. It is up to you to decide whether you are comfortable with this level of risk.
