Lux Investing

Best SIP to invest for highest growth and which gives me flexibility of withdrawal when I am in need?

Pls suggest best SIP to invest for highest growth and which gives me flexibility of withdrawal when I am in need. my Budget is 5000/- pm Would it be good idea to beak up this in two SIP SCHEMES?

Public Comments

1. Hi Gaurav, Its nice to know that you have made up your mind to invest for you future goals and you have decided to choose mutual funds as a vehicle of investment. You have 2 goals in mind - a) Highest return on your investment. b) flexibility of withdrawal at any time. Hope you are very clear about your financial target (purpose and amount of money you want to accumulate) and duration(by when you want to achieve the target).I strictly advise that one must collect sufficient information before choosing a vehicle of investment. Also you should analyze your risk capability, whether you can take risk or you just need assured returns. I would advise you for both - a) Risk appetite -High : In case you have a long term target(3-5yrs) of wealth accumulation, you may opt to invest in Diversified equity funds (open ended schemes). The open ended schemes have a flexibility of withdrawal with nil charges after one year and 1-3% before one year. Few recommendations along with returns over last one year are as - i) HDFC Equity Fund - 45% ii) Principal Emerging Bluechip Fund - 43% iii) HDFC Growth Fund - 39% iv) DSP BlackRock Equity Fund - 37% v) IDFC Premier Equity Fund - Plan A - 56% You may choose any 2 funds based on your interests if want high returns associated with risks of equity market movements. Also if you are seeking even higher growth, you may choose one funds from above and one of the midcap funds with a division of 3k and 2k respectively. Few MidCap recommendations are as - i) HDFC Mid-Cap Opportunities Fund- 52% ii)Sundaram BNP Paribas Select Midcap - Growth - 42% iii) Birla Sun Life Midcap Fund - Plan A - Growth - 35% b) Risk Appetite - Low : Invest in Fixed Deposits with an assured returns of 7-7.5 % these days. You may contact banks - SBI, ICICI and others to know the current prevailing interest rates. Note : Please understand the above performance of funds may vary based on equity market movements in future so please do your research before picking the funds. Also once you choose your funds carefully, remain invested for a period of 3-5 years to achieve handsome returns.Wish you all the best. Invest wisely for a better tomorrow ! Cheers, Shashank
2. Your horizon must be at least 3-5 years . For short term , equity funds are not recommended. You can invest in the following funds 1) HDFC TOP 200 Rs 2000 2) DSPBR TOP 100 Rs 2000 3) RELIANCE GROWTH Rs 1000 Visit www.valueresearchonline.com to understand mutual funds.