Low-Risk High Return Mutual Funds In India
Mr Vijay wants to invest money for the marriage of her daughter. Being the only employed person in his family, he had to pay house bills and other family necessities. He wants to pre-plan for his beloved daughter’s marriage in the future. Banks offer mutual fund investment where people like Mr Vijay could invest in pre-defined intervals. After a set period, he could gain the return on his fixed assets. With the help of mutual fund investment, he would save money with additional benefits over time.
The bank also offers schemes like Liquid funds and Ultra Short funds, where he can choose the safest mutual funds. These low-risk, high-return mutual funds enable Mr Vijay to invest his money with low market risk. This scheme has a quiet maturity period with high returns. To fulfil your long-term goal, you can invest in Mutual funds like Mr Vijay. Now, he can happily start investing in his daughter’s future marriage without worrying.
What is low risk, high return fund?
It is essential to know about mutual funds if you are new to investment. Investing in mutual funds on pre-defined intervals helps you gain a return on your investment over some time. After a maturing period, you can take the benefit of profit. However, mutual funds are based on market risks that mean if the market fall, then the value of invested assets also falls. That’s why investing in low risk mutual funds is essential for average investors. You need to find the low-risk, high-return mutual funds schemes that will help you decrease the risk of loss. Some of the best low risk mutual funds offer investment starting from a meager price, which means low risk.
For investing in a mutual scheme, you first need to invest money to mature. After this mature period, your assets start making returns. Depending on your liking, you can invest in pre-defined intervals like weekly, monthly, or yearly. You can gain profit over some time. This plan is beneficial to maintain the regularity of investment that helps to fulfil a long or short-term goal. You can even withdraw your money in a crisis. This flexibility allows the investor to take control over his/her money. With the low risk high return mutual funds, you can gain high returns over a while.
Here’s are the low risk high return mutual funds
1. Liquid Funds
Liquid Returns are the type of mutual funds where you invest in securities with a maturity of up to 91 days. This scheme does not have a locked-in period. The investor gets money on the deposit money they invested with a fixed return rate. This is a safe scheme for those looking for low risk mutual funds.
- PGIM India Insta Cash Fund offers net assets of ₹528 with a maturity period of 27D. You can earn a 3.3% return on your investments in 1 year. This is a low risk mutual funds scheme. These are low risk mutual funds that will help you gain returns with low market risk.
- Indiabulls Liquid Fund offers ₹167 net assets with a maturity period of 29D. You can earn a 3.1% return on your assets in 1 year.
2. Ultra Short Term Funds
Ultra Short-term funds provide more return than liquid funds. This is a combination of debt investments with corporate bonds, certificates of deposits, etc. This plan is much more convenient for newbie investors as it gives low risk high return mutual funds. Investors can invest in these low risk mutual funds to get higher returns. These Ultra short-term funds have a low period of maturity, from 6 months to 1 year.
- Aditya Birla Sun Life Savings Fund has net assets of ₹16,758. The maturing period is 6M 29D with a 3.9% return in1 year time period. This is the best low risk high mutual funds return.
- Indiabulls Ultra Short Term Fund offers a minimum of ₹18, which is the lowest net asset to invest. The time duration is 1D. In 1 year, you can gain a 4.2% return on your investment. It is the safest mutual funds investment plan.
3. SIP mutual fund
SIP mutual fund is the investment in a mutual fund to fulfil the long-term goal. You can invest a minimum of ₹500. With the minimum money, you can start investing with a return of 15-18% over a period of time. With the pre-defined intervals investment, you could earn more money. The advantage of mutual fund investment is that you can withdraw money anytime.
Investing your money in low-risk, high-return mutual funds could bring you many benefits. The above-mentioned mutual fund plans will help you choose the safest mutual funds to invest in to minimize the market risk. For a newbie investor, it is important to check all the necessary information related to terms and conditions. Also, mutual funds are based on market risks, so invest in the best low risk mutual fund.
What is the benefit of investing in a mutual fund?
Mutual funds allow you to invest your assets, where you could gain a return on your investment over some time. There are different types of mutual funds; you can invest in low-risk, high-return mutual funds, as you could gain more return by investing minimum money. You need t to be aware of all the market risks.
Which one is better? Liquid funds or Ultra short-term funds?
If you want a high return, Ultra short-term funds are better than Liquid funds. It allows you to invest a minimum amount and don't have a longer maturing period, which allows your assets to return faster. One more advantage is Ultra short-term funds give more return with low market risks. So, if you want to invest to gain more return, Ultra short-term funds are for you.