I have Rs 1 lakh to invest to get a better return than the bank. Should I invest in lump sum or SIP?
Sridevi Nair, Trivandrum
It is good that you are looking at mutual funds for your investment requirements. When you invest in mutual funds, you need to be clear on how long you can hold this investment. This will help in selecting right mutual fund scheme. All schemes are subject to market risks. Debt mutual funds provide tax-efficient returns than your fixed deposits. Equity mutual funds provide inflation adjusted returns over the longer period of time. Depending on your risk tolerance and the holding period for this sum, you can select a fund that will do the needful for you.
