VR Logo

Anytime Investing

Mutual funds are investment vehicles that offer diversification, choice and liquidity

I am 43 and I have Rs 5 lakh now that I want to invest for the long-term. Where can I put this for maximum benefits?
- C. Chellani

For 43-year old you are late with investing in equities. However, mutual funds are the right investment vehicle for you to invest in as these offer you diversification as well as liquidity for the long-term. You should not consider investing lump sum, because of the risk that investments pose, and you should consider investing small sums regularly through the systematic investment plans (SIP) offered by mutual funds.

We suggest you consider starting with a balanced fund through an SIP such as HDFC Prudence or Reliance Regular Savings Balanced fund. Experience the investment and the performance of these funds over the next six months to understand how investments in mutual funds behave. You can then consider moving into other categories of mutual funds depending on your risk appetite and investment goals. However, do remember to track your investments at least once a year to make any changes to it.

Post Your Query