A new entrant in the world of mutual funds, Paytm Money has quickly captured the hearts of young investors. It’s simple and easy to use approach has made investing in mutual funds accessible to millions of users across India.
Paytm Money is a simple investing platform with no commissions and transaction fees.
If you haven’t invested in mutual funds and you are not KYC compliant, you can easily complete your KYC process through the Paytm Money.
Before investing in mutual funds, it is extremely important to assess your risk tolerance to understand the kind of risk that you can take. You can check your risk through the platform to invest in the right funds.
Investing in a mutual fund is a way to manage your money so that you can achieve your financial goals.
Mutual funds come with different options: Regular and Growth Option. When you invest through a broker or distributor, you need to invest through a regular plan. Direct plans are meant for individuals who are investing in mutual funds directly.
Direct Plans are cheaper than regular plans as in regular plans, the commission paid to the distributors is also considered. As direct plans come with lower cost, this will help to increase the returns given by your mutual fund.
Read: 5 reasons why you need a financial advisor or IFA
To invest in mutual funds, investors need to complete their KYC. KYC (Know Your Customer) is a mandatory verification step to ascertain the identification and address of the investor before investing in mutual funds or equities.
If you are a DIY investor, completing the KYC process may be a tad difficult as you have to download and fill the KYC document. You need to submit this to CAMS office, along with the Xerox copies of your PAN card and other identification proof. You also need to take your original documents for identification. This KYC process can be tedious for direct investors.
While you can do e-KYC, but it comes with certain limitations on your investment amount.
Doing the KYC process on Paytm Money is a cakewalk for most investors. All you have to do is add your PAN number, Aadhaar Card number along with their screenshots, upload the photo and other necessary items. You may also need to upload a five seconds video.
Click here to know the step by step process of completing your KYC process through Paytm Money.
There are hundreds of mutual funds that belong to different categories and asset classes. For a DIY investor, knowing the right mutual funds to invest can be a challenging task. With Paytm Money, you can easily invest in the top funds from the big funds that are handpicked by experts.
One of the most important that young people need to ace is to invest consistently. Not when they have excess cash lying on their savings account. To be honest, we all know where this road leads us to. We are never going to have enough money to save money at the end of the month.
Hence, the better way is to automate your investments so that money is automatically debited from savings account through net banking even if before you know it. The SIP payments will be automated on Paytm Money with 2 to 3 days while traditionally, it may take up to 20 days to process your order.
Click here to know more about the auto Pay option on Paytm Money.
One can easily manage their SIP and one time investments through the Paytm Money app. There may be times where you may need to pause their SIP investments to take care of other pressing needs. Paytm Money helps to do just that. You can easily resume the paused SIP. Investors can also stop their SIP investments when they want. However, you need to be extremely sure before stopping your SIPs and stopping your SIPs because of short term market volatility maybe not be the right approach.
Investing in mutual funds through Paytm Money is an extremely easy process. If you have recently started working, or haven’t invested yet, then Paytm Money can be a great way to start your investment journey.
Tags: paytm, paytm money, paytm mutual fund, mutual funds, SIp