There is a common saying in investments - 'Don't put all your eggs in one basket', which basically means 'don't invest all your money in one instrument.' But the real question remains - how diversified is diversification?
mutual fund are one kind of those investment which diversify your  folio in field which u are interested or as per your return goal. As mutual fund includes sectors such as:-

  • Banking
  • Equity
  • Public sector
  • Debts
  • Gold
  • Real estate
  • International investment
  • Derivatives 

Even mutual fund has given u option for investing money in different way as per your income and goal. They are :-                                                          

  • Index fund.
  • Fixed maturity plan(FMP)
  • Monthly income plan (systematic investment plan SIP)
  • Capital protection oriented schemes.


It’s called an SIP, short for Systematic Investment Plan. This approach allows you to take savings, big or small, and grow them in a way that it leads to you becoming wealthy. It needs only one thing. Money in the bank on the day of the auto-debit. Everything else is automated.


Money keeps getting invested every month, in the mutual fund of your choice and for as many years as you would like, and before you know it, the habit of investing get automated.


You just need to do your job and get your salary. It’s like you just have to book an hour and the entire workout, commuting to the gym and the diet is done for you without you realizing it. Now there’s a thought!


This approach pretty much makes you a disciplined saver and investor by default. If only fitness was this simple!