GOAL BASED INVESTMENT

GOAL BASED INVESTMENT

Every individual has financial goals that he wills to reach in short,medium or long term period.Investing regularly to be able to reach the respective financial goal is called goal-based investing.An investing for an individual should be goal based,have purpose then it will be the true investment only.

HOW DOES GOAL BASED INVESTMENT WORKS

Good investment advisors are encouraging,involving their invester to do not make random investment in mutual funds and instead map these withbtheir various financial goals.Most indian investors do not have a structured approach to savings and investment.Most people does not have their saving targets their goals as the amount of money they save depends on their habit of spending.

HOW CAN YOU PLAN FOR FINANCIAL GOALS

First,you need to know your various financial goals which you wish to achieve over various time period.Then you need to figure out the time to reach to your goal.Once you are clear about goal and time frame workout  the present cost of each of these goals.Now apply to the current cost and know the future value of your goal.

Investmen in mutual funds can help in meeting these goals.

Mutual Funds are ideal investment solutions for a wide variety of financial goals .You can use different kinds of mutual funds with different investment objectives to reach your goal.Some most suited mutual funds options are

1.EQUITY FUNDS

 These funds invest primarily in equity and equity related security.

2. DEBT FUNDS

 They invest in fixed incomes securities like money market instruments,government Bonds etc.

3.HYBRID FUNDS

Hybrid funds invest in both,fixed income and equities.

4.ELSS MUTUAL FUNDS

You can invest in mutual fund equity linked saving scheme for your goal.

MUTUAL FUNDS PROVIDE FLEXIBLE INVESTMENT OPTION FOR GOAL BASED INVESTMENT SO ITS BEST TO CHOOSE FOR ARE INVESTMENTS.