Mutual Fund Investment: 5 criteria to pick the right mutual fund

The mutual fund portfolio should be carefully designed keeping in mind your financial objective, investment horizon, and risk appetite. Whether it is a short-term or long-term goal, there are several mutual funds to cater your investment needs. As selecting a mutual fund is a unilateral decision, you can refer to past performance of a mutual fund, however, your portfolio should completely focus on the financial goal.

Here’s a list of 5 criteria in picking a mutual fund:

Here are the criteria through which you can pick a mutual fund

  1. Define your financial goals in clear and measurable terms
  2. Know the investment objective of the fund
  3. Focus on your risk appetite and financial needs
  4. Check the Alpha of mutual funds schemes
  5. Track the business environment and macroeconomic scenario
  6. Analyze the performance of fund manager
  7. Remember to check the expense ratio

Read this article for more info: - Essential Guide to Pick Mutual Funds

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