Mutual Fund Calculator: MF investment is subject to market risk but in the long-term the investor is exposed to less risk and higher returns, said Sudarshan Rungta, CEO at Rungta Securities. While speaking on the Zee Business Mutual Fund Helpline show, Rungta said that those investors can an go for mutual fund investment who cannot afford to take the risk of investing directly in stock market. He said that in the long-term, means for 10 years or more time-horizon, one can expect to get at least 10 per cent return on one's investment here.

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On mutual fund vs stocks issue, Rungta said, "Mutual Funds investment is an indirect stock exposure where one's money is managed by the fund manager. So, it is good for those who are new in terms of equity investment. In fact Systematic Investment Plans (SIPs) have further made mutual fund investment easier for those who are in the nascent phase of one's career. For them investing a big lumpsum amount is not possible, but investing via monthly SIP for long-term is easier."

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Rungta said that if someone has mid-level risk appetite, then equity mutual funds are better suited for such investors as they just need to check their portfolio and the fund performance after a certain period of time.

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Asked about how much money will be required to be invested by an investor every monthly if he wants to get Rs 1 crore in 10 years, Rungta answered, "Invest around Rs 40,000 in monthly SIP. Assuming 10 per cent annual return on it, one can expect to get around Rs 1 crore after 10 years."