Best SBI Mutual Funds
Sensex is high nowadays. Hence, it is good to invest your money through SIP.
If you are looking to invest small amounts like ₹500, ₹1000, then SBI Mutual Fund is a good option.
Here are some SBI mutual funds that yield the best returns:
SBI Blue Chip Fund has an excellent track record. It generated 7 percent in the last one year and 14 percent in the last three years. The initial investment is ₹5,000. The investors can begin with ₹500 thereafter through SIP. As the returns are high, so is the risk as majority of amount is being invested in equities. The NAV under the growth plan is ₹39.52 whereas it is ₹22.48 under dividend plan. You can choose any of the plan, yet dividend plan is better as dividend is tax free.
SBI Magnum Equity fund yielded a return of 14.35 percent in last three years and 17.84 percent in the last five years. Initial SIP amount is ₹1,000 and you can invest ₹500 afterward. If you hold this fund for five or more years, you can earn superior returns.
SBI Contra Fund generated a return of almost 17.35 percent in the last 5 years. You can invest ₹500 every month along with the initial amount of ₹5,000. The NAV under the growth plan is ₹13.23.
SBI Magnum Midcap Fund generated 26.82 percent in the last 5 years. The NAV under the growth scheme and dividend plan is ₹76.81 and ₹31.38 respectively. But, be careful of investing in midcap stocks as they are risky and returns are volatile.
SBI Short Term Debt Fund is similar to debt scheme as the amount is mainly invested in debt. It generated a return of 7.98 in the last ten years. The initial investment is ₹5,000 and then ₹1,000 through SIP. Since it is a debt fund, you cannot get extraordinary returns as the returns are linked to interest rates.
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