Using MF to Achieve Your Financial Needs

Most mutual fund investors might be breathing a sigh of relief as their returns on investment in mutual funds are turning positive now, after a long time. All the categories of equity mutual funds including sectoral funds have generated positive returns in the last three months ending November 15,2019. Thanks to the rising equity market, which is currently trading at a kissing distance of its all-time high and this has contributed in equity dedicated MFs delivering positive returns.

Nevertheless, it has also prompted many investors to book profit. This is reflected in the latest mutual fund flows data of October 2019, which shows that baring a couple of category of funds, most of them have witnessed a fall in the net inflows, on a sequential basis. This, in a way, is taking a myopic view and we would have advised that investors could have held their positions. If you invest with a proper planning, mutual funds can potentially enable you to meet all your financial goals, be it your child's education, buying your dream house, to building a corpus for your retirement.

Mutual fund investments, along with insurance, are a perfect tool to achieve your various financial needs that may be critical to secure your financial needs through life. Our cover story this time deals with four major needs that come with different stages of your life and how mutual fund investments can help you in achieving them. To reap the benefit of any investment, you need to exercise patience and you may lose big by exiting early from your investments.

Investments in ETFs are gaining ground in India; however, they are yet to reach their potential due to some misconceptions about them. One of the major misunderstandings about ETFs is their liquidity. In our special report we have tried to clear the air around ETF liquidity and how you can trade in ETFs.