Recently I have seen an article which says “doing bank FD’s won’t make you rich its better to invest in Equity Mutual Funds which gives good returns”.
I am with a zero knowledge on this kind of investment
I am 28 years old now, I want to invest 20k-30k per month for next 15-20 years.
What % of returns I can expect by that time?
Please guide me whom I should approach and how to invest.
Thanks & regards
Harsha-The lines of some expert is true but not FULLY. It is half truth. Because for every goal or for accumulation of wealth EQUITY is not panacea. You have to understand your financial goals. If they are short term in nature (For example, like 5 years or less) then stay away from equity mutual funds. However, if you are long term investor like 7+ years, then definitely EQUITy is an asset class which will give good benefits.
As you said above, your goal is 15-20 years. So definitely you can consider investing in equity mutual funds. Do remember that investing equity, holding it for long term and once in a year review is a MUST to succeed in equity investment. You can expect around 10% to 12% as a return for equity investment (if you are long term investor). Do remember that how long you hold in equity makes you richer but not any equity mutual fund.
Now how to invest, if you want to learn and start on your own then you can invest in DIRECT Mutual Funds by visiting individual mutual fund companies. However, if you don’t have knowledge then go through an adviser of your area or me. Option is with you to choose.