- Date : 24/12/2019
- Read: 6 mins
Here are some parameters that you need to keep in mind while choosing a mutual fund scheme.
With 42 mutual funds and close to 2000 open-ended schemes, choosing a fund for investment can be a daunting task. To make this process a little easier for you, we have compiled a quick checklist that you can refer to before selecting a scheme. Scheme category Post SEBI rationalisation, all schemes have been bifurcated into 10 equity funds, 16 debt funds, 6 hybrid funds, 2 solution-oriented funds and 2 schemes falling in ‘others’ category. For every category, SEBI has a well-defined asset allocation. Hence, you can broadly understand where the scheme will invest by simply looking at the scheme category. This will simplify your shortlisting process based on your needs. Here is a table summarising the asset allocation for each category of equity fund: ...
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