Manali Chavan, 28, who works with an MNC as an account executive, had always known the importance of saving money. Her parents always taught Chavan the importance of being financially secure and taking their advice seriously, she had been saving money ever since the day she received her first salary.

She did not want her money to just sit idle in a bank account and hence started investing in mutual funds through a systematic investment plan (SIP).

Presently, she invests `25,000 each month in different mutual funds. Sharing the reason behind choosing an SIP as her preferred instrument, Chavan explained, “Not having the correct knowledge and time to track markets actively leaves me with options like mutual funds. Also, investing in ELSS funds helped me save on my income tax. It also diversified my risk and gave me exposure to debt market to some extent.”

Chavan stated that since she works in the finance field, and is usually surrounded by people who discuss markets, funds and stocks, it helps her make decisions about which fund to invest in, and weigh pros and cons of such funds.

She said, “I invest with a long term view. Today the markets are unstable but this won’t be the situation forever. Markets eventually correct themselves. All I expect from my investments is to give me returns more than what I would have earned in a savings account or a fixed deposit.”

Chavan has been investing since four years now and during this time, she has learnt how to spread her savings across different avenues of investment, and keeping some portion aside to invest on her own in stocks and IPOs.

In future, Chavan wants to invest more in the stock market, debt markets and alternative investment funds, while continuing to increase her investment in mutual funds.