Mutual Funds: These mutual funds can become the biggest strength of your old age..

Everyone has to retire someday. But despite retirement, everyone's expenses do not reduce in any way. On the contrary, if your children are not well settled in their lives, then you may have to face many more big expenses. This includes their education and marriage. In such a situation, a strong retirement fund can make your life worry-free. And mutual funds can help you a lot in this - just like a trusted friend, who comes to help at the right time.

Why are mutual funds beneficial?

You can invest in mutual funds according to your age, risk-taking ability, and future needs. By investing money at the right place at the right time, you can create a good retirement fund, which will maintain your independence.

Equity funds - when retirement is far away

If you are currently 30 or 40 years old and you still have 10-20 years left for retirement, then investing in equity funds can be very wise. These have a higher chance of returns than any other fund. Options like large cap, flexi cap, and mid/small cap can be beneficial for those investing at this age.

Hybrid Funds – To create balance
If your age is between 40 and 50, then hybrid funds can be very helpful for you. These are a mix of equity and debt. There are many types of hybrid funds available in the market, which can prove to be helpful in keeping your portfolio balanced.

Debt Funds – For a secure future
When approaching retirement, it is important to reduce risk. Then debt funds like liquid, corporate bond, or gilt funds are right. These give stable and secure returns.

Gold ETF – When it is time for security
Keeping 10–15% gold ETF in the portfolio without buying physical gold gives the strength of gold to your investment.

Retirement planning: 5 important tips

Start early

Increase your SIP every year.

Use a retirement calculator.

Diversify - balance equity, debt, and gold.

Rebalance your portfolio with age

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