Saving money is essential, but investing money is even more critical in the current age. Saved money is quickly losing value, and people are dipping into their savings as the cost of living has increased so much.
This is why it is important to start investing in long-term investments to have an excess when you need to use it. But not all forms of investment are equal. They involve different risks, time, or investments of significant sums to make sense or to get a sizable return.
One type of investment you should consider is mutual funds, as the best mutual funds provide a considerable return on investment if you are willing to tolerate the risk.
What are Mutual Funds?
Mutual funds are a type of investment where you can invest in purchasing securities. These securities might be in the form of equity, like stocks and bonds, or debt in the form of short-term debt. You can deposit a portion of money at one time or smaller sums of money in periodic investments.
They are subject to market fluctuations but are considered relatively safe investments, so you must select one that fits your needs and your appetite for risk.
Which are the best mutual funds to invest in?
For young investors looking to invest long-term, there are a few good options they can choose from.
- Quant Small Cap Fund Direct Plan-Growth
This a small-cap fund with high growth potential and offer incredible returns but have a high level of risk and volatility associated with it making it great for young investors who aren’t afraid of risk.
- Axis Long-Term Equity Fund
This mutual fund provides tax benefits, allowing you to save money on investments and from the returns. Although this brings a lock-in period of 3 years for investors looking to invest long-term, this is a great option.
- Mirae Asset Large Cap Fund: This fund invests in stocks of companies with large-cap known for their stability and long therm potential. This type of fund is known for its stability and long-term growth potential.
What are the best mutual funds apps in India?
You can use several apps to invest in mutual funds, but these three are some of the best apps I have used personally.
- Bajaj Finserv
Bajaj Finserv is a premier app for everything related to money, from insurance to UPI to loans and mutual funds, along with everything in between. It offers a complete package, so you only need one app for your financial needs. I have used this app for almost two years, which has been a great experience thus far.
- Groww Stocks
Groww is an app that deals with all things investment, and it allows you to purchase stocks, open mutual funds, and make regular payments using UPI. This is a good app with decent user interface.
- Coin by Zerodha
Coin is an app that provides commission-free mutual funds allowing you to track your funds and discover new funds to invest into.
Conclusion
Thus if you wish to achieve financial success, consider investing in these best mutual funds to invest in 2023 based on your needs.
You can do so by using one of these apps mentioned above and start making money and not only keep up with the inflation curve but also get ahead of it.
