Are you interested in starting Online Mutual Fund investments in India? If so, you’re not alone. A whopping 68% of Indians are interested in investing in mutual funds, making the country one of the top growth markets for this sector. However, starting online mutual fund investments can be a daunting task.
Here’s a step-by-step guide on how to go about starting your online mutual fund investments in India.
Why should you start online mutual fund investing?
Mutual funds are the best investment in India as they offer an effective way of diversifying your portfolio and gaining access to a range of stocks and bonds at a very low cost. With the introduction of online mutual fund investments in India, investing in mutual funds is not only more accessible but also more convenient and efficient than ever before.
How to start online mutual fund investments?
You can start online mutual fund investments in India in just 4 simple steps:
Step 1: Keep your KYC Documents handy:
First and foremost, you need to have the required KYC (Know Your Customer) documents with you. The KYC documents typically include photograph, address, bank details and PAN (Permanent Account Number).
KYC documents are required by AMCs to verify your identity and allow you to start online mutual fund investments.
Step 2: Open A Online Mutual Fund Investment Account:
Once you’ve the KYC documents handy, you can apply for an online mutual fund investment account from any of the online platforms of your choice. There are many different online mutual fund platforms available to choose from which allows investors to compare a range of mutual fund schemes available in the market and make an informed decision. Platforms such as AssetPlus, Groww, Paytm Money, Zerodha Coin, SBI mF are some of the popular online mutual fund platforms available in India.
Once you’ve chosen the online platform of your choice, you will have to register and open an account with the platform by filling out a form and providing the necessary KYC documents. This process is usually pretty straightforward and does not usually take more than a few minutes to complete.
Step 3: Research the best investment in India:
After the account is opened, you can compare the different mutual fund schemes available on the online platform to choose the best investment in India for you.
- Start with setting a goal for each of your investments.
- Keep a deadline by when the goal is to be achieved.
- Calculate how much you can afford to invest today in lumpsum and in SIPs at regular time intervals.
- Decide on the risk you can take and willing to take for achieving this goal.
- You should now start searching for the investment assets which have the attributes that match your goals, risk appetite, investment size and time horizon.
Step 4: Start Investing:
Once you’ve successfully registered for an online mutual fund investment account and have narrowed down your search for the best investments in India, you can start investing in mutual funds.
The last step is to transfer money from your bank account to your online mutual fund platform account. This is usually done via a NEFT transfer and the money will be available to you within a few hours. After the money is available, you will be able to go ahead and start investing in mutual funds via the online platform.
To summarize, starting online mutual fund investments in India is a relatively easy process. All you need to do is acquire the necessary KYC documents, choose an online platform and create an account, complete the eKYC process and transfer money from your bank account to the mutual fund platform. With the introduction of online investments, it’s now easier than ever before to start investing in mutual funds and diversify your portfolio.