How You Can Use the ‘SMART Fund Explorer’ to Accomplish Your Financial Goals

Many of you may devote considerable efforts to improve your financial condition, but without clearly defined goals, it might be difficult to make any changes. Setting goals is crucial to create your financial plan, and it will be simpler to concentrate on investing techniques if you have set S.M.A.R.T financial goals in mind.

"If you don't know where you're going, any road will take you there". 

Having said that, you must know your destination before beginning a journey, similarly you must decide on your financial goals before beginning to invest your hard-earned money. You must have a clear financial objective in mind. Aligning your investments to your financial goals will help you achieve your goals more effectively, whether it be saving for retirement, buying your dream house, or your child's education, etc.

So, do you think your investments are aligned to your financial goals? Or are you struggling to plan your investments in mutual funds?

Well, thanks to technology, here's a unique tool, PersonalFN's SMART Fund Explorer is a simple yet effective solution for you to plan your investments smartly in order to achieve your financial goals. You see, there is an enormous number of mutual fund schemes available for you to invest in. There are a good number of categories these funds split up into; however, it is crucial to invest in worthy mutual funds.

PersonalFN's SMART Fund Explorer will allow you to customise your mutual fund portfolio as per your requirements and prevent any uninformed decisions.

1. Log on to www.PersonalFN.com on the home page, you will see 'PersonalFN's SMART Fund Explorer' banner; click on that link.

   

2. Now you have arrived on PersonalFN's SMART Fund Explorer Page. As you can see below, you are required to fill in a few details related to your financial goals.

   All you have to do is follow these 4 simple steps:

   Step #1 - Select the type of goal (buying a house, child's education, child's marriage, car, retirement, etc.).

   Step #2 - Determine a suitable time frame for achieving these goals.

   Step #3 - Insert the amount of money that you are willing to invest towards your goal.

   Step #4 - Choose the type of investment (lumpsum or SIP).

   And click on the My SMART Investment Plan tab.

   

3. After you click on the tab, it will draw the return expectation for your investments and the targeted future value required to achieve your financial goals.

   

4. Next, it will provide you with two mutual fund investment plans with options (A & B) which include investment across asset classes and market cap.

    

5. You may choose either of the options (A&B) based on your risk profile. Further, click on the tab as shown below to proceed with your investment plan.

   

6. Your one-time subscription to PersonalFN's SMART Fund Explorer will assist you with to plan your investments smartly in mutual funds.

   

How PersonalFN's SMART Fund Explorer will be beneficial for investors?

• It is a unique tool that makes it easy for investors to plan their mutual fund investments at their leisure and free from the influence of any intermediary.

• Since you can align with your goals and invest in worthwhile schemes that will deliver the required returns within the specified time frame, it offers transparency to track if your investments are on the right track.

• It offers professional assistance with a list of top recommended mutual fund schemes by our research team. A rigorous research approach serves as the foundation for these recommendations.

• This tool is an ideal solution for novice investors who are unable to understand market trends and are seeking to invest in mutual funds towards their financial goals.

• Since it offers asset allocation with two investment plans, investors can choose the one suitable for their risk profile and avoid taking undue risk

• Investors who lack market knowledge but are keen on investing in mutual funds, may consider this tool to make informed investment decisions as per their suitability.

• It allows you to evaluate expected returns and future value of your targeted goal if you invest in lumpsum or via Systematic Investment Plan (SIP).

Know that your different financial goals need different time horizons and investment amounts; as a result, achieving all of your goals with a single approach is not possible. You can attain your objectives and build long-term wealth by making investments in well-chosen rewarding mutual funds.

The rationale behind PersonalFN's SMART Fund Explorer is that it will adapt your investment strategy to your needs, diversify your portfolio, and give you a list of worthy mutual fund schemes that are in line with your financial goals.

This pyramid displays the risk potential of each category. While large-cap funds are more stable and less risky than their counterparts, they also give up some of their potential for return. Similarly, liquid funds carry low risk, whereas small-cap and mid-cap funds are at the higher end of the risk-return spectrum. Thus, building a well-diversified mutual fund portfolio that helps sustain various market phases is important.

It is important to analyse a number of qualitative and quantitative aspects while choosing the best suitable mutual funds. In addition, you should consider personal factors like your age, risk tolerance, timeframe to achieve the goal, etc.

At PersonalFN, we understand that not everyone has the expertise to choose the best-suited mutual fund schemes. The lack of market knowledge and fear of market volatility often discourage people from investing in market-linked financial instruments. However, with PersonalFN's SMART Fund Explorer, investing in mutual funds can now be made easier and smarter.

MITALI DHOKE is a Research Analyst at PersonalFN. She is an MBA (Finance) and a post-graduate in commerce (M. Com). She focuses primarily on covering articles around mutual funds including NFOs, financial planning and fixed-income products. Mitali holds an overall experience of 4 years in the financial services industry.

She also actively contributes towards content creation for PersonalFN’s social media platforms in the endeavour to educate investors and enhance their financial knowledge.