Mutual fund lumpsum

Hi, Do you already hold any Mutual fund investments? If yes, you may kindly share the scheme names.. If this is your first investment, you may consider 2 to 3 funds - one equity oriented balanced fund & one diversified equity fund and/or Mid-cap fund. As you are investing a lump sum corpus, it is wiser to set up STPs (systematic transfer plans) from low-risk profile Debt funds (like Liquid funds) to Equity funds. You can invest lump sum amount in liquid funds and at periodic intervals (say monthly) can transfer pre-defined amount to equity funds for pre-defined period (say next 12 months). Kindly note that STPs are subject to tax implications as these are treated as normal redemptions. Also, STPs can not be set up across fund houses.  For ex : STP - > HDFC Liquid fund to HDFC Balanced fund can be set up, but HDFC liquid fund to ICICI Balanced fund can not be set up. Suggested readings : https://www.relakhs.com/calculate-kids-education-goal-amount/ https://www.relakhs.com/best-mutual-fund-scheme-risk-ratios/ https://www.relakhs.com/mutual-fund-portfolio-overlap-comparison-tools/ https://www.relakhs.com/best-mutual-fund-schemes-2017/ https://www.relakhs.com/best-balanced-mutual-fund-schemes-review/    

Kotak select focus fund equity direct plan for rs 8000 monthly

What is the benefit of STP compared to directly in equity

Hi, Kotak Select focus is a large-cap oriented fund and a decent fund. As the markets are their peaks, an STP can help you get the benefit of 'rupee cost averaging'.. In case, you are comfortable investing lump sum amount, with a long-term view, then lump sum investment should also be ok. Suggested reading : https://www.relakhs.com/sip-systematic-investment-plan/ https://www.relakhs.com/200-day-moving-average-dma-mutual-funds/