I have Rs 50,000 in my savings account and want to invest in mutual funds on long term basis but as a lump sum investment. Could you please suggest different mutual funds that I can invest in?
- Chandana Reddy
Long-term investing works well when investing regularly in a systematic manner for wealth creation. There is an element of risk in timing your investment when you go in for lump sum investment. If you can split these investments into blocks of Rs 5,000 and invest over the next ten months in a large-cap fund such as DSPBR Top 100 Equity or Franklin India Bluechip, it will be a good investment choice. You cannot adopt invest and forget approach when investing in mutual funds, these are dynamic in nature and their performance varies with market fluctuations. Do track the performance of these funds at least once year to make sure they are progressing well; else shift to a better performing fund.