Financial Awareness Level
Micro-Investing in Mutual Funds: Is ₹100 Enough to Get Started?
Investing in mutual funds no longer requires large sums of money. Thanks to micro-investing, investors can now invest ₹100 per month and start building wealth gradually. If you’re wondering “Can I invest ₹100 in mutual funds?”, the answer is yes! Let’s explore how minimum mutual fund investments work and why low-cost mutual funds are a great way to start your financial journey.
What is Micro-Investing?
Micro-investing is a strategy that allows investors to put small amounts of money into mutual funds regularly. This method is ideal for beginners and individuals with limited capital who want to develop a disciplined investing habit.
How to Invest ₹100 per Month in Mutual Funds?
- Choose a Mutual Fund Platform – You can invest through AMC websites, bank portals, investment platforms, or Branches of AMCs and RTAs.
- Select a Mutual Fund Scheme – Choose scheme which aligns wirth your goal.
- Start a Systematic Investment Plan (SIP) – Many mutual funds allow you to invest ₹100 per month via SIP.
- Complete KYC – Provide PAN, Aadhaar, and bank details for verification.
- Monitor and Stay Invested – Track your fund’s performance and stay committed for long-term benefits.
Minimum Mutual Fund Investment: Is ₹100 Enough?
Yes! Many mutual fund houses have reduced the minimum mutual fund investment requirement to ₹100, making it easier for first-time investors to enter the market.
Best Low-Cost Mutual Funds for Beginners
If you are looking for low-cost mutual funds, consider:
- Index Funds – Passively managed and have lower expense ratios.
- ELSS Funds – Tax-saving funds with a ₹100 SIP option.
- Debt Funds – Ideal for conservative investors seeking stability.
Advantages of Micro-Investing in Mutual Funds
- Affordable – Invest with as little as ₹100.
- Reduces Market Timing Risk – Investing small amounts regularly minimizes the impact of market fluctuations.
- Encourages Discipline – SIPs help in consistent and goal-based investing.
- Compounding Benefits – Even small investments can grow significantly over time.
Conclusion
If you're thinking, “Can I invest ₹100 in mutual funds?”, the answer is a resounding yes! With micro-investing, you can begin with a minimum mutual fund investment and gradually increase contributions as your income grows. The key is to start early, stay consistent, and let compounding work in your favor. Happy investing!
For further details click the link: Systematic Investment Plan - Build Wealth Wisely
Disclaimer:
The information is for general purposes only and not an investment advice. Readers should seek professional advice before taking any investment related decisions.
MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS, READ ALL SCHEME RELATED DOCUMENTS CAREFULLY.
FAQ Section
Can I invest ₹100 in mutual funds?
Yes, many mutual funds allow minimum investments of ₹100 through Systematic Investment Plans (SIPs), making it easy for beginners to start investing with a small amount.
What is micro-investing in mutual funds?
Micro-investing is a strategy where investors invest small amounts regularly, such as ₹100 per month, to build wealth over time. It is ideal for first-time investors or those with limited capital.
How do I start investing ₹100 per month in mutual funds?
Follow these steps to start investing with ₹100:
1.Choose an investment platform (AMC website, bank portal, or mutual fund app).
2.Select a mutual fund scheme with a ₹100 SIP option.
3.Complete KYC verification (using PAN, Aadhaar, and bank details).
4.Start a SIP with auto-debit from your bank account.
5.Track and stay invested for long-term growth.
What types of mutual funds allow ₹100 SIPs?
Many mutual funds offer SIPs with a ₹100 minimum investment, including:
- Index Funds – Low-cost, passive investment options.
- ELSS Funds – Tax-saving equity funds.
- Debt Funds – Suitable for conservative investors.
Is ₹100 per month enough to build wealth?
Yes, even small investments can grow significantly over time due to compounding. As your income increases, you can gradually increase your SIP amount for better wealth creation.
Are there mutual funds with SIPs starting below ₹100?
Yes, some mutual funds allow SIPs with a minimum investment of ₹100, making it even easier to start investing.
What are the advantages of micro-investing in mutual funds?
- Affordability – Start investing with as little as ₹100.
- Market Risk Reduction – SIPs spread investments across market cycles.
- Discipline & Habit Formation – Encourages consistent investing.
- Compounding Growth – Small investments grow into significant wealth over time.
Can I increase my SIP amount later?
Yes, you can increase or modify your SIP contributions as your financial situation improves. Many mutual fund platforms offer a SIP step-up option.
How long should I stay invested in mutual funds?
For optimal returns, it’s best to stay invested for at least 5-10 years, especially in equity mutual funds, to benefit from market growth and compounding.
Where can I track my ₹100 SIP investment?
You can track your mutual fund investments using:
- The AMC’s website or mobile app.
- Investment platforms .
- Consolidated Account Statement (CAS) provided by RTAs (CAMS, KFintech).
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Disclaimer
An Investor Education And Awareness Initiative Visit https://www.hdfcfund.com/information/key-know-how to know more about the process to complete a one-time Know Your Customer (KYC) requirement to invest in Mutual Funds. Investors should only deal with registered Mutual Funds, details of which can be verified on the SEBI website (www.sebi.gov.in/intermediaries.html). For any queries, complaints & grievance redressal, investors may reach out to the AMCs and / or Investor Relations Officers. Additionally, investors may also lodge complaints directly with the AMCs. if they are not satisfied with the resolutions given by AMCs, they may raise complaint through the SCORES portal on https://scores.gov.in. SCORES portal facilitates investors to lodge complaint online with SEBI and subsequently view its status. In case the investor is not satisfied with the resolution of the complaints raised directly with the AMCs or through the SCORES portal, they may file any complaint on the Smart ODR on https://smartodr.in/login.
