How To Invest In An SBI Blue Chip Mutual Fund
How to invest in an SBI Blue Chip Mutual Fund is a common query after its successful launch in the year 2005. The mutual fund provides for a long-term growth in capital in order to aid in the management of investments of stock companies. Many are interested in how to invest in the SBI Blue Chip Mutual Fund and here are some of the considerations before going about it:
- Come up with an investment. The SBI Chip Blue Mutual Fund requires a minimum investment of 5000 Rupee. You can enjoy a tax-free dividend as a long-term gain in capital. Short capital gains may involve a levy of 10% tax on top of the applicable surcharges
- Know the risk. Risks are indispensable when making an investment. With SBI Blue Chip Mutual Fund systematic investment plan, one may expect growth of 70% - 100% on allocation patterns involving higher risks through the instruments of equity-related derivatives. Investments made with lower risk on debts may only have an expected growth of 0% - 30% in the net asset through debts and money market instrument.
- Be qualified with the SBI Blue Chip Mutual Fund investment requirement. Those with established business personalities in large companies may invest as long as they have a good reputation. Other qualifications that one needs to meet to be able to invest in SBI Blue Chip Mutual Fund include a reputable history of good credit rating and an excellent equity brand in the society.
- Know the exit load. Possible investors should understand that when they invest, they can sell their units only after one year. A charge for an exit load of 2.25% will incur if one sells within six months and 1% thereafter when less than twelve months.
- Go to the SBI Mutual Fund website to download application forms. This is the most convenient way to obtain the documents necessary to fill up your application to invest in the SBI Blue Chip Mutual Fund. The documents required to go along with your application are also available for download. Follow all the instructions and present all the required documents, and you are now a candidate as an investor for an SBI Blue Chip Mutual Fund.