Best mutual funds for a lump sum investment

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Mutual funds have almost become synonymous with the word SIP. SIP refers to a systematic investment plan that allows you to invest smaller quantities of money every month in a mutual fund scheme of your choice. This method enables systematic growth over time and can be ideal for those who do not have lump sum funds at their disposal for investment. However, if you do not want to take the SIP route and prefer to invest your money in a lump sum, you can check out the following mutual fund options:

  1. Canara Robeco Bluechip Equity Fund Growth: This is a large-cap equity mutual fund that can be suitable for a lump sum investment. The mutual fund has a net asset value (NAV) of Rs. 41.61. The fund’s net assets are valued at Rs. 5,208 crore. The fund has delivered returns of 24.5%, 21%, and 19.2% in the last one year, three years, and five years, respectively. This is a suitable choice for investors with a high-risk appetite.
  2. Aditya Birla Sunlife Digital India: This is another option that you can consider for a lump sum investment in equity mutual funds. Its NAV is Rs. 160.18. The total mutual fund size is Rs. 2,842.40 crores. Moreover, the fund has delivered returns of 85.23%, 40.74%, and 33.61% in the last one year, three years, and five years, in that order. This is a sectoral or thematic fund and carries very high risk.
  3. Franklin India Technology Fund Direct-Growth: This equity mutual fund has delivered returns of 57.51% in one year, 32.83% in three years, and 27.04% in five years. The fund’s NAV is Rs. 384.18, and its net assets are valued at Rs. 745.25 crore. This is also a sectoral or thematic fund and hence carries very high risk.
  4. IDFC Government Securities Constant Maturity: If you are looking for a lump sum investment in debt mutual funds, you can consider the IDFC Government Securities Constant Maturity fund. This fund has delivered 2.73% returns in one year, 11.31% in three years, and 9.73% in five years. The fund’s NAV is Rs. 37, and its total net assets are Rs. 286.93 crore. This mutual fund carries moderate risk.
  5. Nippon India Credit Risk Fund: This debt fund is another high-risk option for a lump sum investment in mutual funds. The fund has delivered returns of 14.2% in one year, 3.5% in three years, and 5.1% in five years. The fund’s NAV is Rs. 29.7, whereas its size is valued at Rs. 1,108.30 crores.

To sum it up

SIPs are a popular method of investment in mutual funds, but you can benefit equally from lump sum investments too. These five mutual funds can be a good choice for a lump sum investment in 2022. You can choose them as per your goals, budget, and risk appetite. Once you have made up your mind, you can use the Tata Capital Moneyfy App to start investing your money in a lump sum or through a SIP.