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MUTUAL FUND- A NEW AGE WEALTH CREATOR |
Mutual funds have shown to be the most effective asset for accumulating wealth. Due to the expansion of the Indian market and foreign investment, India is now on the verge of becoming a commercial hub as a result of the corona effect. Following Corona, all foreign investors and businesses are relocating their production facilities from China to India. According to the report, the Indian economy is recovering faster than other developed economies.
In compared to bank fixed deposits and other saving plans, mutual funds provide excellent returns to investors. All mutual fund companies gave returns ranging from 25% to 100% in 2020-2021. If someone invested Rs. 1,000,000 in March 2020, their gains would be nearly doubled now.
In reality, SEBI has raised the offshore investment ceiling for mutual fund companies from USD 600 million to USD 1 billion, with the total mutual fund sector limited at USD 7 billion. The increased ceiling would allow mutual funds to devote a larger portion of their assets to overseas securities. Following that, a slew of new NFOs (New Fund Openings) were launched, and mutual fund firms shifted their focus to global funds. This has a significant influence on investors as well.
Banks' fixed deposit rates, on the other hand, are steadily declining. According to a poll conducted last year, consumers should withdraw their assets from the bank and put them in a mutual fund. Yes, investing in mutual funds carries some risk, but as the famous dialogue from the web series Scam goes, "Risk hai to ishq hai," people choose to accept risks in exchange for better returns.
Finally, people are smart enough to capitalize their risk factors, and in the digital world, all results and investment details of any company are available in a single click, and anyone can invest in a fund by comparing results, so it can be concluded that mutual funds are the New Age Wealth Creator today in a real way.
