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In the financial market the Mutual funds investment assume the secure means of investment,Its also given a good return in the adverse situation. Mutual funds are good one but these investment are not totally risk averse .In the recession period its OK to invest in the Blue chip or the software or AAA rated companies but the core sector and the primary sector perform well in the all situation after the recession. Investment will decided by the requirement of the investor.
There are three broad different plan of investment as per the investment requirement.
Liquid Plan:
Here the investor want to get the investment return in liquid cash the investor want to invest for short period of time and they are risk averse. Liquid plan investment mostly available in the money market.
1.Investment Horizon:
Investor in liquid plan go for the short term investment,hardly from six months to one year.
In the Liquid plan they want to get the money as soon as the depose the investment.
2.Investment Objective:
In the liquid plan the investor get the better return than bank deposit and also the investment converted into the liquid cash as per the investor need .
3.Investment pattern:
In the liquid plan investment 75% -80% of the investment made in the money market and the remaining portion of the investment in the Govt> bonds.
4.Risk Profile:
This type of the investment available for the people who are risk averse they don't want to take the high risk of the security market.
5.Liquidity:
As the plan name the here the liquidity or the transfer of investment into the liquid cash is very easy in comparison to other menace of the investment. The Net Asset Value of the day when the investment dispose or sale is available in this plan.
6.Tax benefits:
Tax benefits vary from country to country as per the Govt. norms.
Income Plan:
In this plan the investor want to get the better return of there investment there aim not to earn capital profit but they concentrate on the higher income or the income on the interest.
The investor in this category are basically medium term investor.
1.Investment Horizon:
Here the investor are go for the medium term investment avenue they don't prefer the hard core
risk of the investment in the security market but on the other hand they want to get better return than the generally fixed deposit in the banks.
2.Investment Objective:
Income plan investor are the medium term investor they invest there amount in the debt market or the Govt. bonds.
3.Investment pattern:
In the Income plan , 75% of the investment done in the Corporate and the Govt. bonds and the 25% of the investment made in the money market.
4.Risk Profile:
The type of investment the risk of investment is moderate .
5.Liquidity:
Liquidity of the Income plan investment is comparison to the Liquid plan is less but the investor get the Net Assets Value of the investment when they dispose the investment.
6.Tax Benefits
Tax benefits are also very from country to country as per the Govt. rules and regulation.
Growth Plan;
Here the investor are high risk taker and also the return of the investment is high in comparision to the other way of investment but the maturity period of the investment is high,and also the capital profit are the main motive in this investment.
1.Investment Horizon:
In this investment pattern the period of the investment is long than the other method of the investment. Generally period of the investment is more than one financial year.
2.Investment objective:
Here the main objective of the investment is to get the capital profit or the capital appreciation from the investment.
3.Pattern of the investment:
Here the 90%-95% of the investment made in the equity shares and rest of the investment made in the money market.
4.Risk Profile:
Risk of the investment is higher than other way of the investment on the other hand high risk menace high return.
5.Liquidity:
In this mode, investment not easily transfer to the liquid cash .Investment transfer to liquid asset on the Net Asset Value based on the current market.
6.Tax benefits:
Here also tax befits very with country rules and regulation.
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Orignal From: Different Investment Plans
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