Top 3 Retirement Mutual Funds that more than doubled your investments in 5 years
For deciding the corpus you would need to consider all such factors as inflation, the time value of money and taxes.
Retirement mutual funds, besides the other conventional investment options, including NPS, PPF and EPF among others, offer a mix of both equity and debt allocation. These funds typically come with a lock-in of 5 years or till the retirement age more than the lock-in term in the case of ELSS or equity linked savings scheme.
So, in a case if an investor’s risk appetite allows more of equity allocation, he or she can surely bet on these funds for enhanced equity participation and flexibility.
Here are the top 3 retirement funds that have more than doubled investors’ money in 5 years:
HDFC Retirement Savings Fund-Equity- Direct Plan (G):
Ranked 5-star by Value Research, this fund manages an asset size of Rs 5,159.4 crore, while NAV of the fund is Rs 54.17. The fund charges an expense ratio of 0.67 per cent.
Investors can start investment into the scheme with a lump sum payment of minimum Rs 100, while for initiating a SIP one needs to shell out just Rs 100.
The scheme’s performance is benchmarked against the Nifty 500 TRI.
Top holdings of the fund include HDFC Bank, ICICI Bank, Axis Bank, SBI and Infosys among others.
The fund since inception in February 2016 has given a return of 22.5 per cent.
A Rs 10000 monthly SIP in the fund in 5 years, with an investment of Rs 6 lakh, will be now worth over Rs 12.6 lakh, which translates into an annualised yield of 30.22 per cent.
ICICI Prudential Retirement Fund- Pure Equity Plan- Direct Plan (G):
Ranked 5-star by Value Research, this fund manages an asset size of Rs 795.85 crore, while NAV of the fund is Rs 32.13. The fund charges an expense ratio of 0.76 per cent.
Investors can start investment into the scheme with a lump sum payment of minimum Rs 5000, while for initiating a SIP one needs to shell out just Rs 100.
The scheme’s performance is benchmarked against the Nifty 500 TRI.
Top holdings of the fund include Bharti Airtel, Ambuja Cements, DLF, Ultratech Cement, L&T, Tech Mahindra and Inox Wind among others.
The fund since inception in February 2019 has given a return of 24.54 per cent.
A Rs 10000 monthly SIP in the fund in 5 years, with an investment of Rs 6 lakh, will be now worth over Rs 13.4 lakh, which translates into an annualised yield of 32.85 per cent.
ICICI Prudential Retirement Fund- Hybrid Aggressive Plan- Direct Plan (G):
This fund from the house of ICICI Prudential Mutual Fund manages an AUM of Rs 476.86 crore. NAV of the fund as on June 21 is Rs 26.27 and it is rated 4-star by Value Research. The fund charges an expense ratio of 0.85 per cent.
Investors can start investment into the scheme with a lump sum payment of minimum Rs 5000, while for initiating a SIP one needs to shell out just Rs 100.
The scheme’s performance is benchmarked against the CRISIL Hybrid 35+65 Aggressive Index.
Top holdings of the fund include Bharti Airtel, Jindal Stainless, Ultratech Cement, Ambuja Cements, Bharat Electronics and Indigo among others.
The fund since inception in February 2019 has given a return of 19.92 per cent.
A Rs 10000 monthly SIP in the fund in 5 years, with an investment of Rs 6 lakh, will be now worth Rs 11.44 lakh, which translates into an annualised yield of 26.16 per cent.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.