Apart from taking on a big loan burden so early in one’s career, what happens if the young investor relocates? Kothari remembers a client who had invested in a tax-saving mutual fund on 29 March 2017. Ignore mutual fundA bigger problem is that people don’t invest enough in mutual funds, he said, as compared to traditional financial instruments such as Public Provident Fund, insurance, and fixed deposits. Most investors don’t want to invest time in learning about personal finance. Kothari also said that a mutual fund portfolio should ideally not have more than 6-8 mutual fund schemes, “to make the portfolio more manageable.”

Source: Mint October 24, 2017 11:26 UTC