Reliance mutual funds is professionally managed venture that belongs to the Reliance group. It is considered to be an exceptional investment plan that was established on 24th February 1995. Aimed for providing the best of mutual funds for its customer, this venture is registered with the Indian Securities and Exchange Commission, and thus is entitled to be one of the finest options in the Indian market.
The mutual funds that are offered by this company is generally categorized into five types which are
- Fixed income funds
- Money market funds
- Equity Funds
- Hybrid Funds and
- Stock exchange funds
To build a proper investment plan it is important to understand the type of mutual funds on which you want to invest. As without acknowledging the future prospects of the funds you will never be able to receive maximum benefits from it.
Reliance mutual funds-Fixed Income or Salary Funds
The reliance mutual funds based on salary or fixed income is a specifically designed for those who are employees of a particular organization. This facility is an amazing option for those who hold surplus amount of money in their salary account and want to enhance it with various investment schemes.
With the salary advantage offered by reliance, the employees can have the opportunity to manage their money in such a way that it yields better returns in the upcoming future. Fundamentally, this investment works with similar principles as that of the Liquid Fund Investment and hence offers numerous withdrawal options just like any other form of bank account.
Any sort of payments that are made to the employee such as Incentives, Reimbursements and Bonus are part of this mutual fund scheme.
Reliance mutual funds-Equity Funds
The equity funds are versatile mutual funds that made through the stock exchange market, representing ownership shares or equity of a market. The use of equity funds is of utmost importance for diversifying the various aspects of mutual funds.
Benefits of Reliance mutual Equity funds can provide and they are-
Capital Acceleration: This is regarded as one of the major benefits of equity. When a company grows and starts earning profit then it usually goes with reinvestment in order to grow even better. With time the growth rate keeps on increasing and so does the market value of their shares and this is what leads to capital acceleration for the investors.
Diversified Portfolio: There is a widespread diversification of equity spread, where the initial investment is usually quite small. This means that the investor would purchase different stocks from various economic sectors at once but in different times. Hence, if one stock reduces during a certain period of time then other type of stocks can make up for the loss.
Dividend: Going with the huge companies usually gives investors an amazing stream, ensuring regular income in dividends. Such dividends are given by companies usually during their good and bad times. Going with a diversified portfolio yet again ensures steady form regular income.
Liquidity: The stocks are traded worldwide on major exchanges every day. This is what makes the equity by reliance mutual funds a form of investment with high level of liquidity.
Reliance mutual funds-Hybrid or Exchange Traded Funds
The hybrid or exchange traded funds are a bit different from the equity but they are enlisted under the stock exchange market. In this form of investment, the investor relies on a basket of stocks mostly incorporates different forms of indexes such as BNE, Sensex, S&P, Nifty and CNX. The value of these investments is always derived from the net value of various stocks.
It is reckoned to be a hybrid form of investment because of the number of shares that are involved in one particular investment plan is more than one whereas the investor is just one entity. This concept of a single investor investing on a group of stocks is what makes it hybrid reliance mutual funds.
There you have it, there are many integral types of mutual funds that are brought to you by reliance. However, make sure that you invest on the appropriate type which would help you in getting the results that you always desired of.
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