Achieve Financial Freedom by making your money work harder
Financial Planning seems to be easy when you have a fixed income every month. But what about a business person or anyone else who has unpredictable income. They do not have the luxury of a fixed income every month.
Debt mutual funds are considered to be ideal investments specifically for investors with a more conservative mindset. There are a huge variety of debt mutual funds in India, and often times it is difficult for the lay person to choose which one is best suited for their needs.
Hybrid mutual funds are those that invest in a mix of equity and debt. Depending on the proportion of money invested in equity and debt, there are different types of hybrid mutual funds in India. Hybrid mutual funds are the favorite choice of investors who are beginning to take on equity exposure. This is because the debt portion acts as a cushion in times of volatility in the market.
Equity mutual funds are also known as stock funds or equity funds. While there are many different types of equity mutual funds in India, diversified equity funds are known to be the most popular ones
As per the instructions of the Securities and Exchange Board of India (SEBI), mutual fund houses re-classified their schemes. The question that follows is: what is the logic behind this move? What does this entail and how does it impact you?
For those who haven’t started their investing journey yet, SIP or Systematic Investment Plan in mutual funds is the best way to start.
SIP allows you to start with as little as Rs 500 per month. Gradually as your confidence improves, you can start investing more.
This plan outlines how you can become a millionaire 10 times over in a span of 12 years.
To be financially free, you can plan to have a corpus which can be invested in such a way, that it can earn you a salary every month without you having to do anything else. And you need not wait till your retirement to follow your passion.
After my last post on “The Secret to Build a Comfortable Retirement Income or Passive Income”, I received questions from some of my concerned readers. They said, “We don’t have that kind of money to invest right now to generate passive income. What should we do?”
Setting aside a little money pool beforehand can ease up the load and cover your expenses until your maternity leave is over.
