Buy Mutual funds or Stocks?
Where do you get vegetables you eat at your house? Do you grow them yourself or buy them from the market or mandi? Growing vegetables yourself is the best option to get healthy food. However, the time, know-how and effort required for getting the right seeds, watering them, giving organic fertilisers etc is huge. If you opt to buying vegetables from the market you can get the best options with minimal effort. As an investor, you have an option to buy mutual funds or directly in shares of good companies.
If an investor invests in shares of firms directly there is a higher risk associated as the onus of selecting the correct companies lies with you. It’s a very big task as you need to shortlist the firms you want to invest from thousands of companies listed on the BSE and NSE. After short listing, tracking their performance and investing are different ask altogether.
Whereas in case, if you opt to buy mutual funds this task of stock picking is left to expert fund managers. Then you are left with only the task of tracking performance of the funds rather than individual stocks held in the fund. If you buy mutual funds you have additional advantages like with growth/dividend options, different investment styles like systematic transfer plan or opting for SIP besides helping to ride over volatility by investing smaller amounts.
So be smart and buy mutual funds by signing up with EzeeHouse.com.
You can also find out the best mutual funds to invest form long term by clicking here.