Why Choose Mutual Funds?
Mutual funds are a vehicle to pool funds from public investors to be subsequently invested in a portfolio of securities by an Investment Manager. It is highly suitable for those who do not have much time to monitor the market.
Types of Mutual Funds
- Money Market: Lowest risk, suitable for a timeframe of less than 1 year.
- Fixed Income: Majority allocated to bonds, suitable for 1-3 years.
- Equity/Stock: High risk but large potential returns, for terms over 5 years.
Start with small amounts regularly (DCA) to build good investment habits.
