Mutual fund investments via Systematic Investment Plans (SIPs) are popular among investors looking for a disciplined and flexible approach to growing their wealth.
In this regard, this guide will assist you in identifying the best SIP to invest in for 2024 while explaining how an SIP return calculator can be an invaluable tool in your investment strategy.
What SIPs Are and Why They Matter?
SIPs offer an effective, incremental investment strategy. Instead of contributing a large sum simultaneously, it enables investors to make smaller, regular contributions.
This approach aligns well with various financial goals, whether saving for retirement, buying a house, or general wealth creation. In addition, investing through SIPs in mutual funds offers benefits like portfolio diversification and rupee cost averaging, minimising the impact of market volatility.
Top-Ranked Mutual Funds in India for 2024
To provide clarity in your investment journey, here is a list of some of the best equity mutual funds, along with hybrid mutual funds in 2024:
Equity Fund Plans:
1. Kotak Emerging Equity Fund
2. Canara Robeco Bluechip Equity Fund
3. Edelweiss Focused Equity Fund
4. ICICI Prudential Focused Equity Fund
Hybrid Fund Plans:
1. Kotak Equity Hybrid Fund
2. ICICI Prudential Equity & Debt Fund
3. Sundaram Aggressive Hybrid Fund
Key Considerations Before Investing in 2024’s Best SIPs
Before jumping into any investment, it’s important to consider several factors that can impact the effectiveness of your investment in SIPs.
Tailoring SIPs to Your Needs:
Your SIP investments should align with your financial objectives and risk profile. The internet is a treasure trove of information on the top-performing mutual funds, aiding you in making data-driven decisions.
Individual SIPs for Specific Goals:
It’s wise to have a diversified portfolio for various financial goals. This enables better tracking and asset allocation. An SIP return calculator can project the estimated returns based on the amount you plan to invest each month, the expected rate of return, and the investment tenure.
Understanding Your Risk Tolerance:
Every investor has a different risk appetite. Factors like your monthly income, financial commitments, and investment horizon should be considered. Diversify your portfolio per your risk capacity.
In-Depth Analysis of Best SIP Plans for 2024
Let’s look closely at some of the best SIPs to invest in for 2024, as listed above.
1. Kotak Emerging Equity Fund: This fund primarily invests in emerging companies, focusing on mid and small-cap stocks. Its investment objective is long-term capital appreciation by identifying companies with high growth potential within these segments. The fund manager uses a bottom-up stock selection approach to diversify portfolios.
2. Canara Robeco Bluechip Equity Fund: Designed to target long-term growth, this fund primarily invests in large-cap stocks, particularly in well-established companies with a strong market presence. It aims for stability and growth by selecting blue-chip companies with a history of consistent performance and stable growth.
3. Edelweiss Focused Equity Fund: Known for its concentrated investment strategy, this fund maintains a focused portfolio comprising high-conviction stocks. It aims for long-term capital growth by investing in a limited number of companies that the fund manager perceives as having high potential.
4. ICICI Prudential Focused Equity Fund: With a focus on high-conviction stocks, this fund aims for long-term capital appreciation. It maintains a concentrated portfolio to capitalise on the growth potential of select companies and follows a research-driven approach to in-stock selection.
5. Kotak Equity Hybrid Fund: This fund follows a mix of equity and debt investment strategies to balance growth and stability. It invests predominantly in equities while also allocating a portion to fixed-income instruments, ensuring diversification and managing risk.
6. ICICI Prudential Equity & Debt Fund: This fund balances equity and debt securities to achieve long-term capital appreciation with lower volatility. Combining equities’ growth potential with the stability of debt instruments aims for consistent returns over the long term.
7. Sundaram Aggressive Hybrid Fund: Balancing growth and stability, this fund invests in a mix of equity and debt instruments. It seeks capital appreciation by focusing on equities for growth potential while using debt instruments to manage risk and volatility.
Conclusion
Choosing where to put your money in SIPs for 2024? To find the best equity mutual funds, consider what you want and how much risk you’re okay with. Make your money work for you by picking funds that match your goals. It’s all about making smart choices and grabbing those opportunities for more gains in the dynamic investment world.
