SBI Mutual Fund for Lumpsum Investment 2024: Get Great Returns with Lumpsum Investment, Know the Best Schemes
SBI Mutual Fund (SBI MF) is one of the leading and most trusted mutual fund companies in India. If you are planning for a lumpsum investment, SBI Mutual Fund in 2024 offers excellent options. Lumpsum investment refers to investing a large amount at once, which can help you earn better returns over the long term. In this post, we will discuss the best schemes based on their performance and suitability for lumpsum investment.
Benefits of Lumpsum Investment
Lumpsum investment is attractive to investors as it allows them to put a large sum of money in the right direction at one go. Some of the key benefits are:
- Long-term returns: If you invest in the right scheme, you can earn great returns over the long term.
- Systematic approach: By investing once, you don’t have to worry about recurring investments.
- Gain from market highs: You can benefit from sudden market upswings, maximizing your returns.
Best SBI Mutual Fund Schemes for Lumpsum Investment
- SBI Bluechip Fund
- Type: Large Cap Equity Fund
- Risk: Moderate to High
- Average Return: 12-14% over 5 years
- Minimum Investment: ₹5,000
- Objective: The fund aims to provide good returns by investing in leading companies.
- Who is it for: Investors looking for low-risk investment in large companies.
- SBI Small Cap Fund
- Type: Small Cap Equity Fund
- Risk: High
- Average Return: 20-25% over 5 years
- Minimum Investment: ₹5,000
- Objective: To provide high returns by investing in small and emerging businesses.
- Who is it for: Investors who are willing to take high risks for higher returns.
- SBI Equity Hybrid Fund
- Type: Hybrid Fund (Equity and Debt investment)
- Risk: Moderate
- Average Return: 10-12% over 5 years
- Minimum Investment: ₹5,000
- Objective: To provide stable returns through a mix of equity and debt investments.
- Who is it for: Investors looking for moderate risk and stable returns.
- SBI Magnum Gilt Fund
- Type: Gilt Fund (Investment in government securities)
- Risk: Low
- Average Return: 7-8% over 5 years
- Minimum Investment: ₹5,000
- Objective: To provide safe returns by investing in government bonds.
- Who is it for: Investors looking for secure returns with minimal risk.
- SBI Focused Equity Fund
- Type: Focused Fund (Investment in select few stocks)
- Risk: Moderate to High
- Average Return: 15-18% over 5 years
- Minimum Investment: ₹5,000
- Objective: To deliver high returns by investing in a limited number of companies.
- Who is it for: Investors seeking higher returns by focusing on selected companies.
Comparative Performance of Schemes
Below is a comparison of the various SBI Mutual Fund schemes based on their performance:
| Scheme Name | Risk Level | Average Return (5 Years) | Minimum Investment | Suitable For |
|---|---|---|---|---|
| SBI Bluechip Fund | Moderate | 12-14% | ₹5,000 | Low-risk investors |
| SBI Small Cap Fund | High | 20-25% | ₹5,000 | High return seekers |
| SBI Equity Hybrid Fund | Moderate | 10-12% | ₹5,000 | Medium-risk investors |
| SBI Magnum Gilt Fund | Low | 7-8% | ₹5,000 | Secure investment seekers |
| SBI Focused Equity Fund | Moderate-High | 15-18% | ₹5,000 | Investors focusing on selected companies |
Best Time for Lumpsum Investment
The best time for lumpsum investment is during a market dip or correction. This allows investors to buy more units at a lower price, increasing future returns. However, predicting market conditions is difficult, so patience is crucial when investing a lumpsum amount.
Tax Benefits
Several SBI Mutual Fund schemes, such as ELSS (Equity Linked Savings Scheme), offer tax-saving benefits. If you are looking to save on taxes in 2024, ELSS can be a great option. Investments in ELSS are eligible for tax deductions of up to ₹1.5 lakh under Section 80C.
How to Invest?
Investing in SBI Mutual Fund via lumpsum is quite easy. Here are a few ways you can invest:
- Online portal or app: You can invest online through the SBI Mutual Fund website or third-party apps.
- Through agents or brokers: You can also invest through a trusted agent or broker.
- SBI Bank branch: Visit your nearest SBI Bank branch to invest in mutual funds
