Design a site like this with WordPress.com
Get started

Share vs mutual fund

Shares or Mutual Funds? Where to invest.

This is very important for any investor to know. Where should he invest his money? There are many ways of investing money. But in the present time, two methods of investment are coming in the eyes of the people very fast. Where today all small and big investors want to invest-. (1) Mutual Funds. (2) Stock market.

Apart from these two methods of investment, investment can be done in many places. Some of them consider investing in real estate, fixed assets and bonds as a safe and sound investment. But investing in these assets requires a lot of investment. Because of which small investors are not able to invest money in these properties. Stock market and mutual funds are beneficial for both small and big investors to invest in this asset class .

(1) Mutual Funds

Mutual funds are the shortest and easiest way to invest. Investing in mutual funds can earn more profit with less risk. Because the entire responsibility of the money invested by you in mutual funds lies with the big fund manager. Your investment in mutual funds yields a specified return. The way it is safe to invest in mutual funds determines your return. But mutual funds are beneficial for such investors who are not aware of the stock market and its benefits.

You can invest in mutual funds in two ways -. (1) In the form of SIP. (2) One time investment. Investing in Mutual Funds One can invest in mutual funds in either of the two ways, SIP and one-time investment.

(1) SIP – Mutual fund in which fund you want to invest in SIP. In that fund you can invest a fixed amount in a month. You can choose according to how much money you have to invest in SIP and in how many months. This is how SIP is done in mutual funds. There are many ways to do SIP.

(2) ONE TIME INVESTMENT – Investing directly in Mutual Funds is also done.  There are also many types of mutual funds, out of which you choose the mutual fund which you like and invest money in it together for a specified time.  In both types of investments, your money is handled by the fund manager.  And both these methods are most commonly used for mutual funds as an investment

How to invest in mutual fund

(2)stock market or share

Investing in the stock market is done just like mutual funds. But the full responsibility of the money invested in the stock market lies with the investor. In the stock market, you buy shares on your own responsibility. And the ups and downs in the stock market have to be managed by yourself. Investing money on your own in the stock market is not safe. And therein lies the risk. But the profit in the stock market is also not determined. If you invest in the stock market properly. So higher returns can be obtained from this.

Making money from the stock market is not easy. For this you must have knowledge of stock market. Because investing in the stock market without knowledge can cause huge losses to the investors. For this reason, before investing in the stock market, one should get information about the stock market. Only then should you invest your own money in the stock market.

In the stock market we have to buy shares of the company whereas in mutual fund we have to invest money in the fund. To buy shares of the company directly in the stock market. Buying shares of a company means buying a stake in the company. And we should buy the shares of that company only after getting all the information about that company.

The way the company progresses in the stock market.  That’s how that company stock moves forward.  This is how investing is done in the stock market and mutual funds.  To invest in both mutual funds and stock market, you must have a demat account.  Without demat account you cannot invest in mutual funds and stock market.

For all types of information related to stock market and mutual funds, visit our website-:. http://www.happylivelife.wordpress.com

Advertisement

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: