My relative want to invest 1 lakh rupees on Open ended Mutual Fund, suggest any good ones.
Ans: For a 1 lakh rupee investment in an open-ended mutual fund, it's essential to consider factors like investment goals, risk tolerance, and investment horizon. Here are a few options across different categories:
Large Cap Funds: These funds invest in well-established companies with stable earnings. They offer relatively lower risk compared to mid and small-cap funds.
Multi-Cap Funds: These funds invest across large, mid, and small-cap stocks, providing diversification and the potential for higher returns.
Balanced Funds: These funds invest in a mix of equity and debt instruments, offering a balance between risk and return.
Index Funds: These funds passively track a market index like the Nifty or Sensex, offering low-cost exposure to the broader market.
Tax-Saving (ELSS) Funds: These funds offer tax benefits under Section 80C of the Income Tax Act along with the potential for capital appreciation.
Ensure to assess your relative's investment objectives, risk tolerance, and investment horizon before making any investment decisions. Additionally, consulting with a financial advisor or mutual fund expert can provide personalized recommendations tailored to their specific needs and goals.