Sep 08, 2016 4 min read

Start SIP by Choosing the Best Mutual Funds in India

By reading this blog, you would be able to conclude how you can make an efficient investment in the best mutual funds through SIP and make the best investment of your life.
If you are looking for making a smart investment plan to achieve all your desires in the future, then you must opt for something that is ‘Systematic’ enough to cater your needs. There is a saying that goes, “A dream doesn't become reality through magic; it takes sweat, determination and hard work.” So, if you too desire to live your dreams, then you will have to choose the correct path and work for it efficiently.

The Systematic Investment Plan(SIP) is a medium to make all dreams come true. It is the most feasible and convenient way of investing in the mutual fund programme so as to achieve the set targets in a well-structured manner. So, let us understand in-depth, what it is and how it functions!

SIP provides a way to invest in the mutual fund programme by making monthly payments of a certain amount regularly. Accordingly, one needs not worry about making a full payment of a huge corpus at once. Instead, one can invest by making small payments at a regular interval. Also, with the help of the SIP calculator, one can easily compute the investment value that shall be generated at a later date and decide whether to opt for the scheme or not.

Furthermore, the SIPs also help in earning comparatively higher returns due to the power of compounding. According to which, the investments yield ‘interest on interest’ and hence generate accumulated funds for the future. Not only this, one of the most important features of the Systematic Investment Plan, i.e., ‘Rupee-Cost Averaging’ provides the cost benefit as well to the investors. Accordingly, the average cost of investing via SIP is comparatively less which helps the investor in saving their monies in a better way.

So, you can opt for investment in the mutual fund by opting for the most viable medium, i.e., SIP. Hereunder is the list of the top-performing mutual funds that are among the must-haves for an investment portfolio:

  1. DSP BlackRock Micro Cap Fund: It is an open-ended equity scheme, that falls under the ‘Small & Mid Cap’ category and ranked first under it as per CRISIL ratings for the quarter ended June 2016. It is yielding high profits for the investors and helping them in meeting their investment goals. The primary objective of this scheme is to provide capital appreciation from a well-diversified portfolio. It has provided annualised returns of around 54.40% for three years and 28% for the five-year investment programme. One can opt for this plan if he/she desires to gain maximum profits in the long-term duration.
  2. Franklin India High Growth Companies Fund: An investor who wishes to put his/her hard-earned money into diversified equity schemes to provide high growth to capital can opt for this plan. It is ranked second under the ‘Diversified Equity’ category by CRISIL for the quarter ended in June 2016. Its yields as per the past records are commendable, and hence, it is assured that investments in this scheme would definitely help in reaching the set financial goals. It seeks to achieve capital appreciation through investments in Indian companies/sectors with high growth rates or potential.
  3. SBI Blue Chip Fund: This plan is a product of SBI Mutual Fund, which is among the best AMCs in India. In order to provide high capital growth and appreciation in the long-term duration, it has designed the portfolio in a well-diversified manner and hence assures yielding of greater returns. It holds first rank under the ‘Large Cap’ category by CRISIL for the first quarter of 2016 ended in June. Its performance as against the set benchmark is appreciable, which is the proof of its proficiency of creating wealth in the future.
  4. Birla Sun Life Pure Value Fund: This is an open-ended equity plan, which aims to generate consistent long-term capital appreciation by investing predominantly in equity and equity-related securities by following value investing strategy. It is ranked third under the ‘Small & Mid Cap’ category by CRISIL for the quarter ended June 2016. Furthermore, if we consider its return’s performance, we would conclude that it provides approximately 44.20% and 23.80% returns in three and five years investment tenure. By creating a well-diversified portfolio, it aims to fulfil all the required investment goals of the investors in an efficient manner.

These schemes provide the option of investing via SIP and thus would help in making huge wealth in the most feasible and convenient manner. These four plans are performing effectively in the market and would definitely yield high profits in the future. So, you can opt for any one of them and make a worthwhile investment.

You can buy these schemes online as well by availing the services of MySIPonline. It has various tools and solutions that would help you in taking the best decision for your future.

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