Dangerous - Are mutual funds a good investment? Must read my personal experience before investing Mutual Funds. Understand It is Safe or have Risk.
Be it an advertisement on TV or an advertisement in the paper, it is written everywhere that before investing in mutual funds, consult a financial advisor, it is subject to the market and there can be risk.
This is both right and wrong, in this post I will give you an honest review of my mutual fund I have suffered huge losses as well as profit from it. So from this, you will understand whether there is risk involved or not.
Benefits of mutual funds -
Although every website, every advisor will tell you the benefits of investing in mutual funds, but today I will tell you my actual experience. ,
I started an SIP of Rs 3000 monthly in Tata Mutual Fund in 2016. It was through an agent, so his commission also went into it. Everything was going well. My annual profit was 18-28 percent, which was many times more than any FD (fixed deposit). By the end of 2019, I had accumulated around 2,80,000 rupees (Approx $3500) in my mutual fund account.
The calculation will probably be -
3000 x 12 months = 36000 in a year
2016-2017
2017-2018
2018-2019
Now let us assume 36000 x 3 = 108000
But how Rs 2,80,000 was made, so I don't even know the calculations of the mutual fund but I am telling the truth that it was made. There may be 2-3% up or down. I will post the proof soon if I get the back history.
The year 2019 November Today - I thought this is very good, a good fund will be collected in a few years. BUT -
It is subject to market and there may be risk -
Now let's talk about risk, what, and how risks can occur -
Today is July 2020 - I just opened my mutual fund application and saw a balance of Rs 85,000 (Approx $1050 only left). I was surprised as to what happened.
Then when I thought, I remembered that this is the time of Corona when all the markets have gone down, so I have also suffered a loss in mutual funds. But what could happen now? The only thing I kept remembering again and again was that mutual funds are subject to the market and there can be risks in it.
I thought I would withdraw the remaining Rs 85,000. At least 36000 x 3 = 108000, there is some left from your own investment. I was about to do this when my heart said that when this is the condition of an honest company like Tata, then how long will you survive by saving Rs 85,000? Let it be, if the world becomes stable then we too will become stable and if the world becomes a beggar, I will join one of them too. I did not withdraw that money.
Recovery from Corona -
Today is August 2022 - When I checked my mutual fund balance in December 2022, I was again surprised. Today the balance was around Rs 2,95000. And a relieved smile on my face because the world was recovering from a pandemic like Corona. Especially the world is surprised by the recovery that India has made.
Today is 2024, and the balance of the same mutual fund is even above super.
You think that if India has an honest government which does not indulge in corruption, then how can any country like us, recover even in any pandemic, the whole world has seen this.
We all are direct proof of that. I hope that my own experience or review has helped you understand a lot.
Note - Mutual funds are subject to market risks, the name Tata Mutual Fund is not derived from any marketing but from the right of being its user. Use your discretion, if your money is earned honestly and by voting for an honest party, then not a single penny of yours is going to go anywhere.
Jay Shri Ram
COMMENTS