Unlike equity mutual funds debt funds are not as volatile hence you can park a lumpsum amount in debt funds
17-Oct-2016 •Research Desk
Can I make a lump sum investment in debt funds?
-Prashant Sharma
Yes, it is perfectly okay to invest a lump sum in debt schemes. Unlike equity mutual funds debt funds are not as volatile, hence you can park a lumpsum amount in debt funds.
On the other hand, it is advisable to stagger your investments in equity and balanced funds over a period by opting for a systematic investment plan. This would help you avoid any stress in case the markets decline sharply right after you invest.
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