Mutual funds are one of the smartest ways of investments available today. Liquid funds are your parking lots for that contingency fund (this could be your income of 4-6 months), multi asset funds are those multi-talented funds that work as a great diversification tool when you want the best of all three asset classes—equity, debt and gold. Then comes the turn to introduce you to one of the very popular investment avenues in mutual funds—diversified equity mutual funds.
These are like your best friend—with you for the long-term. As a disciplined investor you should link your investments to equity mutual funds with your long-term financial goals. However, there are over 400 equity mutual funds in India today. Which one do you choose? The one from the most “famous” fund house? Or the one which your friend has invested in? Or the one that has top ratings?
Goal-based investing
