5 things to know before investing in Mutual Funds

1. 5 things to know before investing in Mutual Funds

2. Investing in mutual funds is considered one of the best ways to build a long-term corpus. Although investing in mutual funds is fairly simple, there are still a few tips to pay attention to before starting your journey. Here are five things to consider and know:

3. Plan it • Investing in mutual funds through a systematic investment plan or SIP is an important financial decision. Each month (or quarter) a certain amount will be deducted from your account and invested in the fund. Therefore, it is important to plan expenses and make sure that on a fixed date every month; there is enough balance in your account for the mutual fund fee to be deducted.

4. The Time Factor • So when is the best time to invest in mutual funds, when the market skyrockets or when it crashes? In fact, they are both. Investing in mutual funds with online mutual fund investment portal is all about discipline and practice. Regardless of market fluctuations, mutual funds tend to provide decent growth over a period of time. Dubbed the rupee cost average, it is fairly proven that when you invest a fixed amount regularly, say in a SIP, the same investment buys more investment when prices are low and less when prices are high. So, an investor, stand still regardless of whether a bull is freaking out or a bear is knocking things down.

5. NAV as a Deciding Factor • Many investors see the net asset value or NAV as a key marker for making investments in mutual funds while mutual fund tracking for corporate. The idea is that a fund with a lower NAV will give more growth, while one with a high NAV will give less growth. In fact, while NAV does play a role, it shouldn't be the deciding factor for investment. There are quite a few parameters to pay attention to, such as history, fund management, and volatility that determine portfolio performance (Investors are encouraged to read the Scheme Information Document, Key Information Memorandum, and Statement of Additional Information Before Investing).

6. Taking Advice • People are often reluctant to receive advice on financial matters, due to lack of trust or lack of privacy. But, when it comes to mutual funds, it's always good to do a background check and get advice too. There are many financial advisers who will easily help and guide you in formulating an investment strategy and making it work. Try looking for professionals.

7. Ways to Invest • Once you've decided to invest in mutual funds as institutional investors and have things planned, now is the time to put it into action. There are many ways to invest, you can buy it directly from fund houses, or buy it from financial planners or distributors, or through banks. • In the end, remember, investing in mutual funds is all about discipline and time invested. Once you've mastered both factors, thanks to compounding, mutual funds can surely help you overcome any financial depression that may arise in the future.

8. About Us • CAMS GoCORP is a corporate investment portal designed to take investing by corporates to a new level. Discover simplicity, ease and safety in preparing and submitting Mutual Fund transactions, tracking investments and much more, with CAMS GoCORP. CAMS GoCORP is the only gateway you will need to transact across multiple Mutual Funds serviced by CAMS. No more multiple forms, faxes, transaction slips etc. • Website - https://gocorp.camsonline.com/CorpOnline/login.aspx