Starting to invest money can feel both exciting and a bit scary, especially if you’re new to mutual funds. As we enter the year 2024, the search for top 5 mutual funds in India becomes increasingly important. Besides that, it serves as a vital step for individuals looking for a reliable and straightforward path to grow their wealth. In fact, Mutual funds for beginners act as an entry point into the intricate realm of investments, offering a professionally managed portfolio spanning diverse asset classes.
That is why, this article aims to navigate the landscape of the best mutual funds for beginners in India, highlighting options tailored for novice investors. By analyzing performance trends, risk factors, and practical considerations, the intention is to equip new investors with the knowledge required to make informed and strategic decisions in the ever-evolving world of mutual fund investments for beginners in 2024. Here is the list of best mutual funds for beginners.
Best Mutual Funds to invest in 2024 for SIP:
- SBI Equity Hybrid Fund
- Axis Small Cap Fund
- Parag Parikh Long-Term Equity Fund
- Mirae Asset Tax Saver Fund
- Motilal Oswal ELSS Tax Saver Fund Direct Growth
Top 5 mutual funds in india
1. SBI Equity Hybrid Fund
Direct Plan for SBI Equity Hybrid Fund Growth shows up as a desirable choice for investors looking for a well-rounded strategy for building wealth. The fund, which has been around since 1987, is a testament to a history of wise investing decisions. A notable addition to portfolios of investors wishing to take advantage of the advantages of both debt and equity investments, SBI Equity Hybrid Fund is prepared to offer a prudent blend of growth potential and stability as investors negotiate the intricacies of the financial landscape and it is one of top 5 mutual funds in india.
2. Axis Small Cap Fund
Axis Mutual Fund introduced the Axis Small Cap Fund Direct-Growth Equity Mutual Fund Scheme. Moreover, the plan aims to provide long-term capital growth through a diverse portfolio that is mostly composed of small-cap company shares and equity-related derivatives.
3. Parag Parikh Long-Term Equity Fund
An open-ended Flexi Cap equity scheme that makes investments in equities and equity-related instruments is the Parag Parikh Long Term Equity Fund. Additionally, the fund makes long-term investments in businesses. Since its launch in 2013, the fund has been managed by PPFAS Mutual Fund. In short, its benchmark is the Total Return Index for the NIFTY 500. Therefore, it is one of the best mutual funds in 2024.
4. Mirae Asset Tax Saver Fund
Long-term capital appreciation is the main goal of the Mirae Asset Tax Saver Fund. The fund, which was established in 2019, represents a modern perspective on the financial markets. A noteworthy option for novice investors looking to take advantage of tax savings while participating in the possible development of stocks is mutual fund investing. In a nutshell, with investors navigating the complex world of wealth development and tax planning, the Mirae Asset Tax Saver Fund continues to offer a well-balanced mix of tax efficiency and financial growth.
5. Motilal Oswal ELSS Tax Saver Fund Direct Growth
This scheme’s primary goal is to provide long-term capital appreciation. A diversified portfolio with a focus on equities and equity-related products is used to achieve this. Best mutual funds in 2024 achieve long-term wealth development by intelligently choosing investments and capitalizing on the growth potential of well-selected assets. This tax saver fund provides investors with the benefit of tax benefits under Section 80C of the Income Tax Act because it is an Equity Linked Savings Scheme. For investors with a longer time horizon than the standard three-year lock-in period, investing in mutual funds for beginners is an appealing choice due to the dual benefits of tax savings and long-term financial appreciation.
Choose the Best Mutual Fund in India?
- Determine Your Comfort Level with Market Volatility to Find the Right Risk Profile for Your Investments. Evaluate Your Risk Tolerance.
- Examine Historical Performance: Assess the historical performance of beginner-friendly mutual funds, paying particular attention to steady returns and efficient risk control.
- Analyze fund managers: Select investments handled by seasoned experts with a solid track record.
- Diversification is important. To spread risk and boost possible rewards, choose funds with a well-balanced portfolio across several asset types.
- Recognize the philosophy of investing: Make sure the mutual fund investment plans for beginners align with your investment philosophy in order to meet your financial objectives and preferences.
- Verify Transparency and Reputation: Examine the fund’s transparency, client service, and reputation.
- Consult a Professional: Seek advice from a financial professional for ideas and individualized insights.
Ways to Invest in Top 5 mutual funds in India:
There are several ways to invest in the top mutual funds for novices in India in 2024, and each has advantages of its own.
- Direct Plans: Choose a direct plan to invest with the mutual fund house directly, cutting out the middlemen. Likewise, this maximizes your returns by typically having lower expense ratios.
- Online Platforms: For the purpose of investigating, choosing, and overseeing mutual fund investments, make use of online investment platforms featuring an intuitive user interface. These platforms frequently provide a large selection of funds for simple comparison.
- Systematic Investment Plans (SIPs): If you want to approach investing with discipline, think about using SIPs. In addition, by enabling you to invest fixed sums on a regular basis, this strategy encourages rupee-cost averaging and lessens the effects of market volatility.
- Financial Advisors: Speak with a financial advisor to customize your portfolio to your unique requirements and circumstances and receive specialized investment advice.
- Companies that manage assets (AMCs): By going to their offices or via their internet platforms, you can invest directly with the AMC. Well, direct access to the most recent fund data and changes may be obtained in this way.
Whether you’re aiming for long-term growth, tax efficiency, or a balanced investment strategy, mutual funds for beginners come with unique benefits. Achieving financial prosperity involves carefully evaluating factors like past performance, diversification strategies, and the expertise of fund management. Moreover, as we move into the upcoming year, selecting the best mutual funds in 2024 an active process that involves adapting to market trends and ongoing assessment. Finally, by staying informed, diversifying wisely, and making the most of each fund’s unique features, investors can start a rewarding and resilient investment journey in 2024. Apart from this, turn to Taazabytes to stay informed about Mutual Funds Investment ideas.