MUTUAL FUNDS IS ALL YOU NEED 8 Value Funds Invest in companies No, better off

based on with index and

fundamental mid-cap funds
S. FUND TYPE PARTICUALARS SHOULD YOU characteristics that
No. INVEST? are undervalued in
1 Large Cap 80% of money No because 82% quality
Fund invested in large cap of large cap funds 9 Contra Funds Take contrary calls No, too risky
companies – Top 100 have with respect to the
underperformed fluctuation seen in
in the past 5 the market
years movement
2 Index Fund Invest in an index Yes! The cheapest 10 Focused funds Invest in a small No, too risky
such as Nifty 50 or and safest way to number of
Nifty Next 50 invest in the stock companies that are in
market some way related to
3 Mid-Cap Funds Invest 65% in mid cap Yes! Still large each other
companies beyond number of them 11 Thematic Invest only in a No, too risky
250 are able to beat Funds particular sector or
the Index industry such as
4 Small Cap Invest 65% in small Yes! They can pharma, infra, it etc
Funds cap companies 101 greatly 12 ELSS Funds Invests 80% in equity. Yes, to save taxes
to 250 overperform the It forms part of your
index if chosen section 80C
wisely. deductions. There a
5 Flexi- Cap fund Invest at least 65% in Yes, but not lock in period of 3
large, mid and small. mandatory. years
No Restriction.
6 Multi-Cap Invest at least 75% in Yes but not
Funds large, mid and small. mandatory
At least 25%
allocated in each
7 Dividend yield Invest only in No, can invest if
funds companies that give you’re retired
high dividends