Afraid of investing your whole money in Equity funds as they are high-risk funds but still looking for good returns then try investing in the Balanced funds.
Balanced funds also called hybrid funds as the money is invested in both stocks and bonds. These types of Mutual funds are ideal for those people who are looking for a mixture of safety, income, and modest capital appreciation in a long term goal.
In these types of funds, investors can invest around 60% of their assets in stocks and 40% in bonds maintaining balanced growth with moderate risk on the returns.
People often ask, is it worth investing in Balanced funds for the Long term?
Balanced funds are good to invest for long term growth because they are the mixture of equity stocks and bonds providing fixed income reducing the risk for the investors and they are good for your Retirement, therefore, always choose the best-balanced funds for retirement.
The mix of the mutual funds may shift over time or it may be fixed.
Still in doubt then Know why balanced funds are better: (Advantages and Disadvantages)
When we compare balanced fund vs equity fund, the Balanced Funds are safer compared to the equity funds as they protect capital by their investment in debt so you can expect well-balanced fund returns.
These funds invest around 60-80 percent of their assets into equities and the rest investment in debt.
There’s no lock-in period for the investment, the investment can be withdrawn any time but if redeemed before a certain period an exit load is deducted set by the mutual fund company.
To check the investment required to achieve your goals, you can check through an online balanced fund calculator and you can invest by Directly visiting the company website or if facing issue in choosing the right funds for you then try using third party apps for direct investment like coin by Zerodha, ET money, Mycams, and other apps..
Two ways to invest in Mutual Funds:
Top Best Balanced Fund To Invest In (Source: Cleartax):
|Fund name||3-year returns|
|Mirae Asset Hybrid-Equity Fund||11.31%|
|ICICI Prudential Advisor Series – Conservative Fund||10.56%%|
|Motilal Oswal Dynamic Fund||8.98%|
|SBI Equity Hybrid Fund||12.03%|
|ICICI Prudential Balanced Advantage Fund||9.69%|
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