Please guide me to put 4 lakhs in mutual fund. Is it better to opt for STP than lumpsum investment in mutual fund? I would like to save 2 lakhs for 20 years for retirement and other 2 lakhs for 5 years for house building purpose. Kindly suggest some mutual fund and the expected returns from it.
2 Answers
Hi,
Do you own any existing investments in Mutual Funds?
For Retirement goal : You may pick one Multi-cap fund and one mid-cap fund.
For 5 year goal : You may pick one Short term debt fund (ex : Franklin Low Duration Fund) and one Equity balanced Fund.
Advisable to opt for STP. But do watch out for tax implications as STP from a liquid fund are subject to capital gain taxes.
Kindly read :
Hi,
For your long term goal, you may invest in your existing funds itself.
For ex : SBI multicap or Franklin HGC or Franklin SC fund etc.,
Suggest you to kindly go through this article as well ;
Why your Best Mutual Fund Schemes may not remain as ‘the best’? | Categorization & Rationalization of MFs
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