Sharekhan's Guide To Mutual Funds Investing

Investing in mutual funds with Sharekhan is a straightforward process. To get started, you'll need your PAN and bank details, and you can choose from two main options: a one-time lump sum investment or a Systematic Investment Plan (SIP). Lump sum investing involves a single, usually large, investment through a one-time down payment via cheque or bank transfer. On the other hand, SIP allows you to place orders for multiple schemes at once, depending on your requirements and budget. Sharekhan's 'One-Click SIP' feature streamlines this process, enabling you to start multiple SIPs with just one click. Before investing, it's important to remember that mutual funds are subject to market risks and gains, and thorough research is necessary to make informed decisions.

One-Click SIP: Invest in multiple schemes at once, with a single click

Sharekhan's One-Click SIP feature is a quick and convenient way to start your financial journey and invest in multiple schemes with ease. With just one click, you can begin investing in mutual funds and take advantage of the many benefits this offers.

One-Click SIP simplifies the process of investing by allowing you to place orders for multiple schemes simultaneously, depending on your requirements and budget. No longer do you need to struggle with selecting from numerous schemes; instead, you can now customise your investment strategy and budget with ease. This feature is available on both the Sharekhan app and website, providing you with convenient access to start your investment journey.

To get started, simply log in to your Sharekhan account, and you will be just one click away from placing your One-Click SIP order. The process is straightforward and user-friendly, ensuring a seamless investment experience. You can also open a free Demat account with Sharekhan in just 15 minutes, making it easy to get started with your investments.

Before investing, it is important to identify your requirements and strike a balance. Choose an investment goal that aligns with your financial objectives and then utilise the One-Click SIP feature to achieve your goals. Whether you are a new or existing customer, Sharekhan's One-Click SIP provides a fast and efficient way to invest in multiple mutual fund schemes, helping you build your investment portfolio with convenience and flexibility.

Customise your budget: Choose your investment goal and customise your schemes

When investing in mutual funds through Sharekhan, it's important to customise your budget and choose the right investment goal and schemes. Here's a step-by-step guide to help you through the process:

Choose your investment goal:

Firstly, identify your investment goal. Are you saving for a short-term goal, such as a down payment on a car, or a long-term goal like retirement? Your investment horizon, or how long you plan to invest for, will impact the types of mutual funds you choose. Sharekhan's "Funds We Like" page can help you select schemes that align with your investment goals. Their Mutual Fund Research team carefully researches and selects these schemes.

Customise your schemes:

Once you've set your investment goal, it's time to customise your schemes. With Sharekhan's One-Click SIP feature, you can start multiple SIPs (Systematic Investment Plans) at once, investing in multiple schemes with a single click. This feature allows you to strike a balance by identifying your requirements and investing in SIPs accordingly. You can also customise your budget by picking and choosing the schemes that fit your financial plan.

Lump sum investment:

If you have a large sum of money to invest, you might consider a lump sum investment. This involves making a single, usually large, investment through a one-time transaction. Lump sum investments can be made via cheque or bank transfer and are useful for taking advantage of low market entry points or parking money in the short term. Sharekhan's "Funds We Like" page can help you identify suitable schemes for lump sum investments.

Regular investing:

If you're not investing a lump sum, you can still build your wealth over time through regular investing. SIPs allow you to invest a fixed amount at regular intervals, helping you develop a disciplined investment habit. With Sharekhan's One-Click SIP feature, you can easily start multiple SIPs and accelerate your financial journey.

Remember, investing in mutual funds involves market risks, so it's essential to do your research and carefully consider your goals and budget before investing.

Lump sum investment: A one-time transaction to invest a large amount

Lump sum investing is a one-time transaction that allows you to make a single, usually large, investment. This method of investing is simple, requiring only a one-time down payment that can be made via cheque or bank transfer. This type of investment strategy is ideal for those looking to take advantage of low market entry points or for parking money in the short term to achieve a near-term financial goal.

Sharekhan offers a variety of schemes for lump sum investments, which have been carefully researched and selected by their Mutual Fund Research team. These schemes can be found on their 'Funds We Like' page. Before investing, it is important to do your research, as mutual funds are subject to market risk. Sharekhan also offers resources to help you accelerate your investment journey, such as their Goal Calculator and Basic Calculator.

To get started with Sharekhan, all you need are your PAN and bank details. If you are already a customer, simply log in to your account and you will be one click away from your One-Click SIP order. This feature allows you to start multiple SIPs at once, with the ability to customise your budget and schemes to fit your requirements.

Investing in mutual funds with Sharekhan is a straightforward process. With their One-Click SIP feature, you can easily select and manage your investments. Remember to always consider your financial goals and conduct thorough research before committing to any investment scheme.

Payment options: Easily invest via cheques or bank transfers using multiple payment options

Sharekhan offers a variety of investment options for those looking to enter the world of mutual funds. One of the most convenient features is the ease of payment, with multiple payment options available to investors. This flexibility ensures that you can start your financial journey without hassle.

When investing in mutual funds through Sharekhan, you can opt for lump-sum investing, which involves making a one-time down payment. This can be easily done via cheques or bank transfers, providing you with a straightforward and secure method of investing your money. The process is simple and efficient, allowing you to take advantage of market opportunities quickly.

For those who prefer a more gradual approach, Sharekhan also offers a one-click SIP (Systematic Investment Plan) option. This feature enables you to start multiple SIPs at once, allowing you to customise your budget and schemes according to your requirements. With just one click, you can place orders for various schemes, making it a convenient way to invest in mutual funds. All you need to get started is your PAN and bank details, and if you're already a customer, logging in will bring you one step closer to your investment goals.

Sharekhan's payment options provide a seamless experience for investors. Whether you choose to invest through cheques or bank transfers, the process is straightforward and user-friendly. This flexibility in payment methods ensures that you can focus on making informed investment decisions without the hassle of complicated payment procedures. With Sharekhan, you can be confident in managing your investments efficiently and securely.

Market risks: Understand the market risks and gains associated with mutual funds

Mutual funds are a great way to invest, offering investors value for money and diversification. However, it is important to understand the market risks associated with them.

Firstly, mutual funds are subject to market risk, also known as systematic risk. This is because the market and the global economy are unpredictable and fluctuate due to various factors. For example, natural disasters, inflation, recession, political unrest, and interest rate changes can all impact the market negatively. In such scenarios, diversification of your portfolio may not help, and you will have to wait for things to stabilise.

Secondly, concentration risk is another factor. This is when an investor concentrates a large amount of their investment in one particular scheme or sector. While this can lead to huge profits, it can also result in substantial losses. Diversifying your portfolio is the best way to minimise this risk.

Thirdly, interest rate risk refers to the inverse relationship between credit availability and interest rates. An increase in interest rates during the investment period may result in a reduction of the price of securities, leading to a loss.

Liquidity risk is another factor to consider. This occurs when an investor cannot redeem their investment without incurring a loss, often due to a lock-in period or a lack of buyers in the market.

Lastly, credit risk refers to the possibility of the issuer of the scheme being unable to pay the promised interest. This often happens when fund managers include lower credit-rated securities to increase returns, thus increasing the risk of default.

While mutual funds are subject to these market risks, it is important to remember that all investments carry some level of risk. By understanding these risks and implementing smart investment strategies, such as diversifying your portfolio and investing through a Systematic Investment Plan, you can effectively manage and minimise these risks.

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