Is MF good for long-term investment?
These Long Duration mutual funds typically provide great dividends to an investor. Like debt funds, they do not provide a fixed return over a period of time, but the return is dependent on the performance of the company on a daily basis. Hence the market value of equity mutual funds changes on a daily basis.
Which mutual fund gives highest return for long-term?
List of Equity Mutual Funds in India
| Fund Name | Category | 1Y Returns |
|---|---|---|
| Axis Growth Opportunities Fund | Equity | 44.8\% |
| Nippon India Pharma Fund | Equity | 20.4\% |
| Axis Midcap Fund | Equity | 40.1\% |
| Mirae Asset Emerging Bluechip Fund | Equity | 39.8\% |
Which type of fund is best for long-term?
Following are the funds that you may consider investing through SIPs keeping the long term horizon in mind.
- UTI Nifty Index Fund (20\%)
- Mirae Asset Large Cap Fund (20\%)
- Canara Robeco Blue Chip Fund (20\%)
- Parag Parikh Flexi Cap Fund (15\%)
- UTI Flexi Cap Fund (15\%)
What are the benefits of investing in mutual fund?
Mutual funds are one of the most popular investment choices in the U.S. Advantages for investors include advanced portfolio management, dividend reinvestment, risk reduction, convenience, and fair pricing. Disadvantages include high fees, tax inefficiency, poor trade execution, and the potential for management abuses.
What are the problems of mutual fund in India?
They have their own set of problems regarding costs, services, regulations, profitability, participation, financial instability and others, which have been causing big concern to investors. The growing realisation on such issues is adversely affecting the investors’ stake in mutual funds industry in India.
Are mutual funds good for long term investment?
All mutual funds would go through some good and poor performances. It is always recommended to stay invested in long term in mutual funds, especially equity funds and balanced funds which yield best results in long run. Long Term Investment – Know Benefits of Long Term Mutual Funds
What does long term investment mean?
Long term investment means holding different assets like mutual funds, securities, shares and stocks for more than a year. A year seems to be a long time, but it does not qualify to be called as a long-term investment. Long term investments are mostly investments that go far in time for a span of 3, 5, or 10 years.
What are the tax implications of investing in mutual funds?
Long term capital gains upto Rs 1 Lakh is totally tax free. Dividends paid by equity mutual funds are tax free in the hands of the investor but the AMC pays dividend distribution tax (DDT) at the rate of 11.648\%. Tax on debt mutual funds – The minimum holding period for short term capital gains in debt funds is 3 years.
Are mutmutual funds tax friendly?
Mutual funds, on the other hand, are one of the most tax friendly investment options available to Indian investors. An important point to note in mutual fund investments is that, an incident of tax arises only upon the sale of units of a mutual fund scheme.