Introduction

Retirement planning is essential to guarantee your financial stability and peace of mind in your later years. Retirement mutual funds in India function similarly to other mutual funds. Investors contribute money to the fund, which professional fund managers pool and invest in a diversified portfolio of assets. These managers make investment decisions based on the fund's objectives, risk tolerance, and time horizon. In this article, we will look at the top mutual funds in India 2024 based on 3-year annualised returns, where these fund managers prefer to invest for retired individuals.

  Top Retirement Mutual Funds in India 2024

As investments grow over time, so does the value of the fund. Here are the top retirement mutual funds in India for 2024, offering insights into their performance, management, and unique features, empowering you to make informed decisions for a secure retirement.

• ICICI Prudential Retirement Fund Hybrid Aggressive Plan Direct-Growth

The ICICI Prudential Retirement Fund Hybrid Aggressive Plan Direct-Growth is a hybrid fund. It was launched on February 28, 2019. It is managed by Chandni Gupta and Lalit Kumar. It offers diversification benefits. It manages ₹429 Cr in assets as of April 2024. This is below the category average. The expense ratio is 0.8%. The fund has no exit load. Minimum investments are ₹5000, additional investments ₹1000, and SIP ₹100.

• HDFC Retirement Savings Fund - Equity Plan - Direct Plan

The HDFC Retirement Savings Fund- Equity Plan - Direct Plan is a mix of funds. It was launched on February 25, 2016. Shobhit Mehrotra and Srinivasan Ramamurthy manage it. It offers diversification benefits. As of April 2024, the fund manages ₹5044 Cr in assets, above the category average. The expense ratio is 0.7.

• Nippon India Retirement Fund - Wealth Creation Scheme - Direct-Growth

The Nippon India Retirement Fund - Wealth Creation Scheme - Direct-Growth aims to grow and give. It seeks to increase capital and provide steady retirement income. It does this by investing in a mix of stocks and fixed-income securities. But, it has yet to guarantee this goal.

Start Investing with Free Expert Advice!

It launched on February 11, 2015. The fund is a hybrid. It is managed by Sanjay Doshi, Kinjal Desai, and Pranay Sinha. It offers diversification benefits. As of April 2024, it manages ₹3091 Cr in assets, exceeding the category average. The fund has an expense ratio of 1.

• SBI Retirement Benefit Fund - Aggressive Plan Direct-Growth

SBI Retirement Benefit Fund - Aggressive Plan Direct Growth is a hybrid fund. It was launched on February 17, 2021. It is managed by Mohit Jain, Dinesh Ahuja, and Ardhendu Bhattacharya. The fund manages assets worth Rs 2319.56 crore as of April 30, 2024, with an expense ratio of 0.83%. There is no exit load. The minimum investment required is Rs 5000, with additional investments of Rs 1000 and SIPs starting at Rs 500.

Advantages of Investing in Retirement Mutual Funds

Investing in Retirement Mutual Funds offers numerous benefits for investors:

• Earmarked Retirement Savings

Retirement mutual funds offer an exclusive channel for long-term retirement savings. Investors who invest in these funds can designate a particular amount of their savings for retirement, preventing them from being tempted to withdraw money from these accounts for other uses.

• Diversification

Retirement mutual funds invest in diverse products, such as bonds, stocks, and other financial instruments. By distributing risk across several asset classes, diversification lessens the portfolio's overall exposure to market volatility. A diverse portfolio can help investors maximise returns while lowering risk.

Considerations to be Taken Care of

To make wise investment choices and successfully manage risks, take into account the following important factors before purchasing a retirement mutual fund:

• Retirement Objectives: To choose the best investment plan, clearly identify your retirement objectives, considering your intended retirement age, lifestyle requirements, and required retirement income.
• Time Horizon: Choose an investment plan that considers your time horizon until retirement, keeping in mind the need to balance growth needs with the need to safeguard savings as retirement draws near.
• Fund Selection: To determine which retirement mutual fund is best for your money, research and compare various options based on criteria, including fees, investing strategy, fund management experience, and historical performance.

Conclusion

Picking the right mutual funds is very important. There are many options. You must analyse past performance, investment goals, risk tolerance, and tax effects. The featured retirement mutual funds for 2024 offer good returns. They are based on their 3-year annualised performance. However, it's essential to understand that past performance does not indicate future results. Hence, meticulous research and consultation with financial advisors are advisable. Investing in mutual funds has market risks. Making smart choices is crucial to a prosperous retirement.

Trending Blogs: NSE Holidays 2024 | BSE Holidays 2024 | Invest in Small Cap & Mid Cap Mutual Fund & Stocks | Companies affected by Rise in Crude Oil Price | Fall in IT Stocks | Launch of 4 New Indices | Revised Lot Size of Nifty Contracts | Impact of RBI Circular on Currency Trading | RBI’s New Lending Guidelines | Electric Air Taxis in India

Financial Calculators: SIP Calculator | SWP Calculator | Compound Interest Calculator | EMI Calculator | FD Calculator | Retirement Calculator | Option Value Calculator | Inflation Calculator | Lumpsum Calculator