I am 23 and new to mutual fund investing and want to invest Rs 10,000 every month. What fund should I invest in?
— Abhishek Tripathi
Age is on your side to benefit from long-term systematic investing in equity mutual funds. However, you should develop a belief for systematic investing in equity funds and not get fazed by a 10-15 per cent decline in the value of your investments, which is a possibility with equity mutual funds in the short- to medium-term. For a start, we suggest you to invest in only balanced funds in the first year. After one year, once you’ve understood how mutual funds work and experienced market volatility, you can work on a more sophisticated plan and add other equity funds to your portfolio. You can select funds to invest in from the fund select feature of our website and regularly invest in those schemes.