Are Mutual fund FMPs better than bank deposit?



what way mutual fund FMPs are better than bank fixed deposits.
I am a senior citizen. If FMPs are better, kindly suggest
a few with fixed tenure of 3 months to 1 year at 10-11% return.
thanks
savithri

Are Mutual fund FMPs better than bank deposit?
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4 Replies to “Are Mutual fund FMPs better than bank deposit?”

  1. You are senior citizen. Looking to your age. Bank fixed deposits
    are best investment for you. Invest in Bank deposits only. There
    is less risk. Select a reputed bank like State Bank of India.
    Mutual fund investment is risky. Its returns are based on
    Net Assets Value. It may reduce, more than that you will not
    get back your funds on demand say within a day. This is the
    best time for investment in Bank Deposits, select any period
    according to your financial needs depending on time.


  2. Madam, FMP’s are not as safe as bank deposits. The chances of liquidity risk are a bit on the higher side. The FMP’s are not backed by the RBI like it does with banks.

    Moreover, for senior citizens banks these days give interest rates of 11% atleast… Make use of that.

    Happy saving…

    Cheers,
    Anand
    mail me at [email protected] if you need any more details.


  3. After 1 and half years I lost my Principle amount to the tune of 50% in investing in Mutual fund.If I would have invested the amount in Bank FDR,I would not have lost the Principle.
    So better go in for Bank Fixed deposit, always safety,secure and protected by RBI guidelines.


  4. FMPs are low returns earning schemes. Most of these funds invest in the govt. bonds.
    Now with the RBI constantly slashing the interest rate, such Income funds can really outperform the Fixed deposits.
    Consider ICICI Prudential fixed income fund which has given 27% in the previous month





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