Best mutual funds next 10 years
What is mutual fund
Mutual funds may include investments in stocks, bonds, options, futures, currencies, treasuries and money market securities. Depending on the stated purpose of the fund, each will vary with respect to content and risk. Funds issue demand at the NAV or Net Asset Value of the fund and redeem the shares.
Systematic investment plans, known as SIPs, have become extremely popular with investors. Always choosing the best SIP is a difficult proposition. We have taken into consideration the ratings of Value Research Online, plus CRISIL, in addition to the portfolio and previous track record to follow.
HDFC small Cap Fund
This is another small cap fund that is rated well. You can invest in the fund with a small amount of Rs 1,000 every month. The fund has generated a three-year return of 9.94 per cent on an annual basis. A decent time frame of 5–10 years for SIP, this would be a good bet. However, as mentioned earlier, small cap stocks are risky and so there is an element of risk with small cap funds. Therefore, one must be cautious before investing.
JM Multicap fund Growth
The fund is rated 5-star by CRISIL. Under this scheme an investment of Rs 5,000 can be made internally through SIP and after that Rs 5,000 can be invested every month through Systematic Investment Plans. JM Multicap Fund has given a 17-year 1 year return and 14 year 3 year return. If the funds want to be kept for a long-term from the medium, buy into the fund.
Invesco India Midcap Fund
An investment of Rs 10,000 per month is made in this fund, Rs 3.88 lakh was received three years ago. The fund is rated 4-star by CRISIL and Value Research Online. After the initial investment of Rs 1,000, the investors have to make small investment of Rs 1,000 every month. The net asset value under the development plan is Rs 50.60. The fund owns Coromandel International, Whirlpool and ICICI Bank, its top three holdings. The three-year absolute return from the fund has been 38 per cent. This is a good investment for investors who are willing to take risks.
UTI Equity Fund Growth
It is also a multi-cap fund, which enables borrowers to take a moderate risk while investing. The fund has given a 1-year pattern of 13.92 percent. If you had to invest in this fund about 12 months ago through a SIP of Rs 1,000, then it would have been over Rs 13,165. The fund has a good portfolio which includes names like Asian Paints, HDFC Bank, Bajaj Finance and ICICI Lombard. CRISIL has given the fund a 5-star rating.