The prime reason for the investors regarding non investment is rigidity. Not everyone desires for fixing the money at one place and hence, do not wish for investing the same. But, have you ever tried sorting out this concern? Have you ever looked out for its solution? If not, then you surely are lagging behind in availing several benefits. Yes, the debt mutual funds provide an extreme advantage to the investors who are seeking investments in the non-rigid structure to earn better returns along with securitizing their funds.
So, let us first understand, what securitization is all about. Generally speaking, it is a process by which the assets are converted into money market instruments so as to assure easy cash convertibility as per the convenience of the owner. In the context of long-term debt funds, the assets, i.e., the capital of investors is put into such debt instruments which are open-ended by nature and offer liquidity to the investors.
Accordingly, by putting the money in the mutual fund debt schemes, the investors need not wait for the maturity of the plans and can redeem their cash as and when required with some extra earnings. Many of us believe in putting the money in the fixed deposit schemes or savings account of banks, but when you have the option for earning sound returns, then why not take the benefit of the same.
Uncertainty is the part of everyone’s life, and at that time, money plays a crucial role. We feel secure and sound to face that period. By investing the hard-earned money in the mutual funds’ debt schemes, you can make a foolproof strategy to face every tough situation in life. By providing flexibility and liquidity, it aims to fulfil the instant cash requirements of the investors.
Furthermore, there are multiple factors which make long-term debt funds more reliable for the investors. They include:
So, if you feel you too need securitization of your money, then you must choose debt mutual funds for your portfolio. We, at My SIP Online, have various solutions to cater all your investment-related needs, so as to assure financial stability in your life.
So, let us first understand, what securitization is all about. Generally speaking, it is a process by which the assets are converted into money market instruments so as to assure easy cash convertibility as per the convenience of the owner. In the context of long-term debt funds, the assets, i.e., the capital of investors is put into such debt instruments which are open-ended by nature and offer liquidity to the investors.
Accordingly, by putting the money in the mutual fund debt schemes, the investors need not wait for the maturity of the plans and can redeem their cash as and when required with some extra earnings. Many of us believe in putting the money in the fixed deposit schemes or savings account of banks, but when you have the option for earning sound returns, then why not take the benefit of the same.
Uncertainty is the part of everyone’s life, and at that time, money plays a crucial role. We feel secure and sound to face that period. By investing the hard-earned money in the mutual funds’ debt schemes, you can make a foolproof strategy to face every tough situation in life. By providing flexibility and liquidity, it aims to fulfil the instant cash requirements of the investors.
Furthermore, there are multiple factors which make long-term debt funds more reliable for the investors. They include:
- Tax exemptions in the case of investment held for more than three years.
- There is no tax deduction at source, and hence the investors fetch the complete amount of returns earned on their investments.
- The returns are completely linked to market and thus offer substantial returns at the time of market hikes.
- One has the option of investing in the schemes of debt funds via SIP investment plans as well.
- The cost associated with an investment in the debt mutual funds are comparatively lower and does not put the burden on the investor.
So, if you feel you too need securitization of your money, then you must choose debt mutual funds for your portfolio. We, at My SIP Online, have various solutions to cater all your investment-related needs, so as to assure financial stability in your life.
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