Mutual Funds

Invests in the top 100 companies by market cap — mostly bluechip companies across sectors. Objective is to provide alpha over large-cap indices like Nifty 50.

Invests a minimum of 35% each in large & mid cap companies. Combines the stability of large caps with the growth potential of mid caps for a balanced risk-return profile.

Invests in companies ranked 101–250 by market cap. Aims to provide higher risk-adjusted returns over longer tenures — more volatile than large caps but historically stronger growth.

Invests in companies ranked 251 and above by market cap. Suitable for investors with high risk tolerance — less-researched small & micro cap stocks with high risk & return potential.

Invests across large, mid and small cap stocks. Must invest a minimum of 25% in each segment — ensuring balanced exposure to all market cap segments.

Flexibility to invest across all market caps without any limits — a consolidated option vs. investing in combinations of large/mid/small caps separately.

Flexibility to invest in equity, debt and commodities at various allocations depending on market view. Good option for investors who prefer wholistic allocation across all asset classes.

Dynamically manages allocation between equity and debt based on market conditions — reduces equity when markets are expensive, increases it when they are cheap.

Follows a contrarian investment strategy — invests against prevailing market trends. Aims to identify undervalued stocks or sectors currently out of favour but with strong long-term potential.

Tax-saving fund that invests primarily in equity. The only MF category eligible for tax deductions under Section 80C — up to ₹1.5 lakh per financial year. 3-year mandatory lock-in.

Invests in a concentrated portfolio of maximum 30 stocks across market caps. Key characteristic is high-conviction, limited stock selection — higher risk but potentially higher alpha.

Seeks to generate low-risk returns by exploiting price differences between the cash (spot) and derivatives (futures) markets. Taxed like equity funds — efficient for short-term parking.

Invests in high-rated corporate debt instruments. Must invest at least 80% in corporate bonds rated AA+ and above — ensuring relatively lower credit risk while offering a yield premium over G-Secs.

A Direct plan has no distributor commission — the entire return goes to you. A Regular plan pays a commission to the distributor, which reduces your NAV by ~0.5–1.5% per year. Over 10–20 years, this difference compounds significantly. GRM Wealth recommends and places Direct plans only.

ELSS (Equity Linked Savings Scheme) qualifies for deduction under Section 80C — you can claim up to ₹1.5 lakh per financial year. The mandatory lock-in is 3 years from each SIP instalment date. Gains after 3 years are taxed as LTCG at 12.5% above ₹1.25 lakh exemption.

SEBI mandates risk labelling on all funds. 'Very High' means the fund's NAV can be highly volatile — it can fall 30–60% in a bear market. This is expected for equity funds and is not a defect; it is the price of potentially higher long-term returns. Stay invested through volatility.

A Systematic Investment Plan (SIP) invests a fixed amount each month, averaging your purchase price over time (rupee cost averaging). A lump sum is a one-time investment. SIPs reduce timing risk and are ideal for salaried investors; lump sums can be suitable when markets are significantly undervalued.

Gains on equity funds held over 12 months are taxed as LTCG at 12.5% (above ₹1.25 lakh aggregate exemption per year). Gains within 12 months are taxed as STCG at 20%. Debt funds (including arbitrage and corp bond) are taxed at your slab rate regardless of holding period (post-2023 rules).

Most equity mutual funds allow SIPs starting at ₹100–₹500/month. The exact minimum varies by fund house. There is no upper limit. You can also do a one-time lump sum investment, typically minimum ₹1,000–₹5,000 depending on the fund.