In the fast-paced financial markets, mutual funds have become the preferred choice of investors seeking to grow their wealth over long periods of time. With the right online tools, such as the MF calculator, investing in funds has become easier and more convenient. Investors can seamlessly get an estimation of their returns and make the right investment decision. This financial tool is most helpful when you are a beginner and want to analyse your returns.
In this article, we’ll guide you in choosing the right funds, the role of the online calculator, and the steps to start investing.
What are Mutual Funds?
A mutual fund is an investment that pools investors’ money and buys different securities such as stocks, bonds, and more. This is managed by professionals who help users diversify their portfolios, spread risk and make the most of their investments. Investors can start by making a lump-sum payment or investing in smaller amounts monthly, yearly, or quarterly, depending on their financial situation.
Here’s why everyone should invest in these securities:
- Professionals manage investments to make the right decisions.
- The risk gets reduced when your money is invested in diversified securities.
- You can choose the fund types and amounts per your financial goals and situation.
- When needed, you can redeem your investments conveniently.
Role of MF Calculator
An MF calculator is an online financial tool that helps you estimate returns and make informed decisions. Here’s how it helps to simplify your investments:
- Enter the investment amount, tenure and expected rate of return to get an overview of your investments and estimate the returns.
- Adjust the numbers to compare the different schemes available in the market.
- Learn how much you must invest monthly or annually to get the maximum returns.
- It eliminates the need to manually calculate, saving users time and effort.
- It helps you make investment decisions by choosing the best funds that are aligned with your goals.
Choosing the Right Mutual Funds
To select the right mutual fund, consider the below-mentioned factors:
- Investment Goals: Assess your investment goals and understand if you are considering generating long-term wealth or for short-term needs.
- Risk Tolerance: Different investment categories differ depending on the risk tolerance ability of the investors. High-risk investors can choose equity funds, and low-risk investors can opt for debt funds.
- Past Performance: Analyse the past performance of the investments and get an estimate of the future results.
- Use Online Tools: Make use of MF calculators to get an overview of the potential returns as per the amount you are planning to invest.
Steps to Start Investing in Mutual Funds Online
Here are the steps you need to follow to start investing in MF online:
- Opt for a reliable and trusted platform like Bajaj Finserv.
- Sign up by providing the necessary details and complete your KYC verification.
- Explore the funds offered by the platform and use the calculator to get an overview of the returns.
- Determine whether you want to pay a lump-sum amount or go with SIP.
- Choose a fund, start investing, and keep a regular check on the progress.
Conclusion
It is concluded that out of all the securities available in the market, mutual funds are one the most powerful and promising investments for growing wealth over time. Platforms like Bajaj Finserv are the most trusted and safe for experienced and beginner investors. Users can seamlessly use MF calculators on the platform to get an estimate and make the right decision. Manage your portfolios efficiently and in the comfort of your home, as everything on Bajaj Finserv is digital.
Remember to stay consistent, monitor your investment regularly, and choose a reliable platform to earn maximum returns.
