plan which will determine the proportion of investments in each of the major asset classes. A right asset allocation plan means apportioning the investor's surplus across the various asset classes and their instruments based on the individuals' risk return profile. Mutual funds in India invest across most of the traditional as well as non-traditional investment classes and provide an ideal medium for investors, while also offering the benefit of professional management at low costs.
Given the ongoing market volatilities, it is important that individuals must have a disciplined approach to investments which can be acquired by following the above steps. Besides, individuals must keep in mind a simple modern day adage-Start Early, Invest Regularly and Be Updated-be it on their own or with help from a professional financial planner.
The article on Financial Planning has been prepared by SBI Funds Management (P) Ltd, the Asset