Mutual funds is a product that has offering for almost every kind of investor. You can choose from our extensively researched schemes to get best of the market returns according to your risk profile. Mutual funds also offer you higher tax efficiency than traditional deposit schemes(such as PPF) without any upper limit.
Two methods of investment :
1. Lump Sum Investment.
2. SIP ( Systematic Investment Plan ) wherein small amounts get transferred to Mutual Funds at monthly or quarterly rests, just like bank RD ( recurring desposit).
Managing Investments is a crucial task for someone to ensure alignment with goals and life stage. Professionals at True Money having practical experience in Investing will help you in efficient allocation of funds to generate better risk-adjusted returns. Customers can use our financial planning skills to meet the short/long term goals.
We do not charge any fee for this service.
Mutual Funds can be broadly categorised into three types viz. Equity, Debt and Hybrid. Equity MFs invest primarily in shares of listed companies wherein Debt MFs invest in Govt. securities, commercial papers, debentures, money market instruments etc.
Equity Funds/ Growth Funds
Funds that invest in equity shares are called equity funds. They carry the principal objective of capital appreciation of the investment over the medium to long-term. The returns in such funds are volatile since they are directly linked to the stock markets. They are best suited for investors who are seeking capital appreciation. There are different types of equity funds such as Diversified funds, Sector specific funds and Index based funds.
Diversified funds
These funds invest in companies spread across sectors. These funds are generally meant for risk-taking investors who are not bullish about any particular sector.
Sector funds
These funds invest primarily in equity shares of companies in a particular business sector or industry. These funds are targeted at investors who are extremely bullish about a particular sector.
Index funds
These funds invest in the same pattern as popular market indices like S&P 500 and BSE Index. The value of the index fund varies in proportion to the benchmark index.
Tax Saving Funds
These funds offer tax benefits to investors under the Income Tax Act. Opportunities provided under this scheme are in the form of tax rebates U/s 88 as well saving in Capital Gains U/s 54EA and 54EB. They are best suited for investors seeking tax concessions.
Debt / Income Funds
These Funds invest predominantly in high-rated fixed-income-bearing instruments like bonds, debentures, government securities, commercial paper and other money market instruments. They are best suited for the medium to long-term investors who are averse to risk and seek capital preservation. They provide regular income and safety to the investor.
Liquid Funds / Money Market Funds
These funds invest in highly liquid money market instruments. The period of investment could be as short as a day. They provide easy liquidity. They have emerged as an alternative for savings and short-term fixed deposit accounts with comparatively higher returns. These funds are ideal for Corporates, institutional investors and business houses who invest their funds for very short periods.
Gilt Funds
These funds invest in Central and State Government securities. Since they are Government backed bonds they give a secured return and also ensure safety of the principal amount. They are best suited for the medium to long-term investors who are averse to risk.
Balanced Funds
These funds invest both in equity shares and fixed-income-bearing instruments (debt) in some proportion. They provide a steady return and reduce the volatility of the fund while providing some upside for capital appreciation. They are ideal for medium- to long-term investors willing to take moderate risks.
Hedge Funds
These funds adopt highly speculative trading strategies. They hedge risks in order to increase the value of the portfolio.