Mutual Funds for short term

How can I choose good valued mutual funds and earn for short term?

Mutual funds for the short term are held for a time horizon of three years. Thus, they are funds that ensure high liquidity, have less impact on rate cuts and other economic factors, and provide high returns than traditional savings schemes.

Short term mutual fund investment should be made in low-risk assets because a long-term investment can even out the losses during the extended time horizon. Another important consideration is your financial goal. You have to decide the fund and the required returns based on your financial commitment if it for an emergency or for the purchase of any desired item.

Here are few ways to choose mutual funds for the short term:

  1.    Debt funds are a good option for short-term mutual funds as it is invested in bonds and other money market instruments that are extremely safe. They provide higher returns than fixed deposits in three years.
    
  2.    You can also choose ultra-short-term debt funds. It has a tenure between three to six months and is invested in high yielding bonds.
    
  3.    You can also choose liquid funds that invest in financial instruments with a maturity of up to 91 days. 
    

Based on your financial goal and risk tolerance, choose the funds. And, before you decide, try to compare different funds, their returns, and performance over the past.

earn for short term is only luck

Nope, it’s not. It is a only way in fact. I learned this from my own experience, when I bet on long-term investment and did not have any income, moreover, it went into the red. After I switched to short-term investments, read a lot of guides on this subject, closely check all the platforms and chose one (it’s not a secret, I chose Binomo), things went smoothly.

Returning to the question of how to choose where to invest, you first need to find a platform on which it will be easy to do this and all operations are transparent. Then watch the charts, any big drops are followed by ups. Read literature about shapes and graphs.

OK, let’s say that in order to invest for a long time, you need to calculate everything and even then there will be no guarantees. But it’s even easier to get burned on short-term, no?

You just need to not put all your eggs in one basket. Of course, somewhere you will lose, but somewhere you will gain. This is the benefit of short-term investments. In addition, it will allow you to learn to see the market and make more relevant decisions.

Short term has a rather vague definition. Few days is also short term and anything less than 3 years is also short term. If you require the money in the next few months and the need is non-negotiable, then choose safety and make an FD of it. On the other hand, if the need is still 3 to 5 years away then you can invest this money in a money market fund or an ultra short term fund for bit better returns while also maintaining adequate level of safety.

Short-term is better because it is profitable here and now. For example, you invest in a trade and think that in a minute it will creep up. Indicate this and if the schedule really has grown, then you take your money and profit by the specified percentage.

It’s good that I looked here! You should have written about this more specifically in the other topic!

It would be strange if I repeated the same thing from topic to topic. I hope you understand. It’s good that you are here :slight_smile:

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