Why Balanced Mutual Funds Is The Best Investment Option During Volatile Times

Nov 8, 2021

In today’s times, if there’s one thing you can be sure of, it’s that times are volatile. Ever since the pandemic struck, the entire world has gone through so much uncertainty that we now take it for granted. From rules about flying to different destinations to investing in the right mutual funds, the level of uncertainty can make one indecisive or worse, make the wrong decision for themselves and their family.

While we can’t do much about rules related to flying to different destinations, we can help with choosing the right mutual fund even during these unprecedented times of uncertainty.

Before we get there, let’s first define what you should seek from mutual funds today. First, given the extreme uncertainty around everything thanks to Covid-19, the main priority is to ensure that you invest in a mutual safe that keeps your money safe without eroding its value, which basically refers to debt funds. Second, your funds should be able to grow and keep pace with your lifestyle, which typically means investing in equities.

Until now, investors had the option of choosing either debt or equity funds, depending on their risk appetite. But have you ever wondered what you could do with the security of debt and the bullishness of equity in a single mutual fund?

Balanced Mutual Funds –

Well, you don’t have to think about it anymore as you can get benefits of both debt and equity funds by investing in Balanced Mutual Funds. These funds are managed by professional fund managers who study the market closely and decide how to allocate your funds so that you get maximum value out of your investment.

For example, if stock markets are at a high as they are currently, the fund manager might move 60% of your investment to equity and 40% to debt. This will be reversed in case the market starts slumping so that you don’t suffer any major blowback.

Another advantage of Balanced Mutual Funds is that the fund manager periodically books profits to realign the portfolio, which means more returns to you as an investor over a longer period of time. These schemes also have the advantage of attracting both types of investors, whether you’re conservative or aggressive.

Balanced Mutual Funds , have become a hot favourite among investors looking to park their money without worrying about its future returns. This also means that various fund houses have their own Balanced Mutual Funds for investors. How you choose the one best suited to you depends on a host of factors that apply to you but we’ve done the hard work and found the one Balanced Mutual Fund that every investor will be happy to choose.

Start your journey in the wonderful world of Balanced Advantage Fund with as little as INR 5000. You can get started with your investment right here.

Disclaimer: Mutual fund investments are subject to market risks, read all scheme related documents carefully.