As the famous author Robert Kiyosaki of the ‘Rich Dad, Poor Dad’ fame says – Let the money work for us instead of working for the money. As the quote indicates that you might be making handsome amount of money but you need to let the money do the talking by investing it in the right place at the right time. When it comes to investing, there are a plethora of options but those depend on your financial strength, existing portfolio, current market trends, liabilities, etc.
The financial plan of a 22-year old who has just started working would look very different from the financial plan of a 35-year old who has a family [wife, kids, other dependents, etc.]. It goes without saying that their risk appetite would also be different.
Everyone wants to make money but when it comes to investing, we do not take the risk since passive investors are mostly not aware of the right investment offerings. Hence, it becomes important for financial institutions to educate retail investors so that they can also make their money work 🙂 One such initiative is launched by Reliance Mutual Fund called the Mutual Fund Day or the #MFDaysOn7th that is celebrated on 7th of every month.
Broad objectives of Reliance Mutual Fund Day are:
- Start an industry-wide revolution for mutual fund investments.
- Educate potential investors about mutual fund investments.
- Dedicate one single day which serves as a reminder for all to invest in mutual funds.
- Help the investors to fulfill their dreams by investing in the asset class.
The background for starting this initiative is that in India only 3% of the people are investing in Equity Funds and the remaining 97% are investing in traditional way of investments like FD, RD, Loans and other small deposit schemes. Though Mutual funds as an investment vehicle have gained immense popularity over the last couple of years with its average Assets Under Management [AUM] touching a record high of Rs 17.37 trillion as of January 2017, its penetration is fairly low as compared to other global and peer benchmarks [Source]. They are clearly missing out on the India growth story and hence the company wants them to be aware of Mutual Funds which is not just equity but the common most vehicle for retirement plan.
If you are an active investor who has already invested in mutual funds and want to help your friend or your near & dear ones then you should definitely check out their other initiative called Fund For A Friend. Via this initiative you can nominate your friend to play a game on Mutual Funds and in return he would get know about the ‘depth of understanding’ he has about investing in mutual funds 🙂
So, if you are wary investor planning to take your first step into the world of mutual funds then there is no better place to start off than #MFDaysOn7th. As their tagline says
Har mahine ki tarikh saat, Kijiye Mutual Fund ke aadat ki shuruat!