How To Track Mutual Fund Performance?

By Author: Shashank Pawar
Total Articles: 33

Selection of a scheme that is suitable for your investment plan is the first step towards setting and planning your financial goals. Choosing an investment plan is similar to selecting a mode of transport to reach your destination. The mode of transport depends on your budget, the time within which you need to reach the destination, and the probable risks in the particular mode of transportation. Choosing an investment plan is the same as this. Many a time, you can also use a combination of schemes to reach your financial goals. If you are looking to invest in mutual funds, several options like the liquid funds and equity funds are available to the investor.
Now that you have set your goals straight to invest, there must be one question constantly lurking in your mind. How to track my financial performance? It becomes even more critical to monitor your returns when you are investing in mutual funds. But many applications and tools have made it easier to keep a trail on your money.
You might consult an investment advisor, which is great. However, apart from his/her expertise, you also need to have some knowledge of mutual funds yourself. An investor keeps providing you with reviews and updates that gives an overlook on the current market situation and its effects on your mutual fund returns.
If you are overwhelmed by the plethora of investment options available in the market, you can always consult a mutual funds distributor or an investment advisor. Your financial goals depend on your needs and plans. Investment in mutual funds should be made according to that. But how to calculate the probable mutual fund performance and invest accordingly? There are calculators that help you figure the possible returns from a mutual fund.
Before calculating your probable mutual fund returns, you first need to know about the kind of returns you should expect from mutual funds. The amount depends a lot on the type of mutual fund you have invested. Also, the NAV of the fund fluctuates if the market is unstable. You can follow the nature of the market and the NAV with the help of online tools like a mutual fund calculator.
But how does a mutual fund calculator work? The calculator usually provides you with the total investment value at the time of maturity. This is calculated by enumerating the fund returns as per your investment horizon. The variables in that calculator include SIP amount, the expected rate of return, and investment duration. A mutual fund return calculator is a great tool to foresee your financial future.
In addition to a fund calculator, there are inflation calculators and goal SIP calculators as well. With an inflation calculator, you can calculate the effect of inflation on your mutual fund returns. The variables are the value of current expenses, time period, and annual inflation rate. With the Goal SIP Calculator, you can calculate the necessary monthly SIP investments for reaching your goal. The variables, in this case are - goal amount, investment duration, and rate of return.

Selection of a scheme that is suitable for your investment plan is the first step towards setting and planning financial goals & If you are looking to invest in mutual funds, there are several schemes in the mutual funds. Now that you have set your goals straight to invest, there must be one question constantly lurking in your mind. How to track my mutual fund performance?. Visit mutual Funds Sahi Hai online