Are you confused? Indian mutual funds vs direct investment in stocks market
I'll start with a few questions
1. The best Indian mutual funds companies are rolling out attractive mutual fund schemes in the SIP mode, why the sudden shift from promoting lump sum investment in mutual funds to the already existing SIPs???
I think these mutual fund companies want to confuse you further so that you choose between the two options and they get to lay their hands on your money and the three year lock in period( or is it going to be 5 years lock in period?) will ensure that they can enjoy the investors money, pay their employees and after the lock in period is over and the investor redeems his money levy another 5- 10 % for premature redemption. I think it is winning proposition for the mutual fund companies and a costly learning lesson for the poor investor.
The government and the regulatory bodies wanted to encourage the salaried class to invest in the equity market and therefore they gave tax exemption for investment in ELSS funds so that investors invested with these mutual fund managers, secure in the knowledge that their money would grow in the competent hands of these financial whiz kids.
post on multibaggers.