Published on July 14, 2021
If you’re thinking about investing in mutual funds, it is important to ensure that you’re investing in the right kind of fund that is aligned with the purpose of investment.
While there are various types of mutual funds based on their structure and investment objectives, such as debt funds & equity funds, it’s obvious that for the best returns on a fund, you must invest in the best-performing funds in the market.
This article will help you gain some clarity about which mutual fund to invest in by analyzing different mutual fund schemes based on their market performance.
A mutual fund is an open-ended managed investment fund that pools money from investors to purchase stocks, bonds, and other assets. If you want to invest in mutual funds, your aim must be to create a more diversified portfolio.
A mutual fund can be roughly categorized into three types:
1. Equity Funds are usually long-term investments, ranging from 4 years and more.
2.Debt Funds range from short to medium term.
3. Hybrid Funds are investments that range from medium to long term.
Let’s have a look at the best mutual funds that you can invest in depending on their fund performance, track record, and consistency:
Liquid fund
Growth at par with inflation
Fund size= ₹10,256 Cr.
3-year CAGR= 5.38%
2. ICICI Prudential Savings Fund (G)
Low duration investment
The historical growth rate of 6.5% per annum
Fund size= ₹30,234 Cr.
3-year CAGR= 7.66%
Ultra short investment
The relative safety of capital
Fund size= ₹11,759 Cr
3-year CAGR= 6.35%
Diversified investment
The expense ratio= 0.89%
Fund size= ₹10,276 Cr.-
5-year CAGR= 20.26%
Large-cap
Fund size= ₹27,142 Cr.
5-year CAGR= 16.40%
Large-cap
Fund size= ₹25,721 Cr.
5-year CAGR= 16.07%
Diversified investment
Fund size= ₹3,835 Cr
5-year CAGR= 15.75%
Tax saving
Expense ratio= 0.47%
Fund size= ₹3,835 Cr.
5-year CAGR= 15.75%
Tax saving
Fund size= ₹2,226 Cr.
5-year CAGR= 19.94%
Liquid fund
Fund size= ₹21,794 Cr.
3-year CAGR= 5.40%
Liquid fund
Fund size= ₹21,794 Cr.
3-year CAGR= 5.38%
Investing in the best mutual funds can help you achieve both long and short-term goals depending on the purpose of your investment. Even though mutual funds are subjected to market volatility, lots of them have a proven track record, excellent fund performance, and perform consistently.
A mutual fund is an open-ended managed investment fund that pools money from investors to purchase stocks, bonds, and other assets. If you want to invest in mutual funds, your aim must be to create a more diversified portfolio.
Parag Parikh Flexi Cap Fund (G) is considered one of the best equity mutual funds you can invest in today. The investment has the following features: