“Savings In the time of market volatility”
Markets have been volatile in recent times due to various reasons. For investors looking to play safe in the current environment, debt investments with small dose of Equity may be a suitable choice.
In this regard, conservative hybrid funds can be considered by investors with modest risk appetites, as these have delivered double digit returns over medium as well as long term. On post tax basis these funds would still comfortably deliver more than the prevailing inflation rate. And these are schemes on low risks. Market regulators SEBI’s mandate allows conservative hybrid funds to invest only 10-25 percent of their portfolio in Equity while 75-90 percent must be parked in debt securities. ABSL Regular savings fund can be considered by conservative investors with a three to five year time horizon. It has delivered above average returns consistently (10% plus) and has been among the consistent performer.
Investing lumpsum may be a good idea. In the case of conservative hybrid funds but investors with modest risk appetite can consider. SIPs for goals that are around five years away.
Why Invest
- Among top few schemes in its category
- Safe debt portion and healthy maturity profile
- Multi-cap approach to choosing stocks
- Good Replacement for FD
A blog from Santosh G Akerkar.For Educational and Awareness purposes.
