India’s leading digital payments platform PhonePe is expanding the mutual fund options and is launching 7 new mutual fund categories that customers can select from. This comes at a time when many are looking for easy investment options, particularly in the midst of the financial uncertainty due to the Coronavirus pandemic. The 7 new mutual fund categories are Large cap, Mid and Small cap, Diversified Funds, Index Funds, Hybrid - Aggressive & Dynamic Asset Allocation, Debt, Liquid and Tax Saving Funds. This gives PhonePe users an extensive set of mutual fund option to choose from, considering there are differing requirements, such as the ability to task risks or the need for quicker returns.
The 7 mutual fund categories that PhonePe is now adding in India join the Super Funds which were added to the platform in May this year, and the Liquid Funds which were launched in January. These new mutual fund categories will be available in the Investments section in the PhonePe app. Users can invest as little as Rs 100 in some funds, such as the ICICI Prudential Bluechip Fund (this is in the Large Cap funds) and go all the way up to Rs 5,000 as minimum investment, such as the Axis Bluechip Fund (this is also in the Large Cap funds). Each fund has the details of the 1-year average returns, 3-year average returns, minimum investment required and the size of the fund. Based on the investment calculator, you can also get a fairly good idea of what the returns may be like after 1 year or 3 years, if these rates of return remain stable. You can choose to start a monthly SIP for a specific amount and set the specific date for the investment every month, or do a one-time investment with the option of adding more to it later.
“The launch of these 7 new curated sets of Mutual Fund categories will cater to investors who want greater flexibility and control in building their own investment portfolio. We are confident that our latest set of offerings will cater to the aspirations of every Indian by allowing them to grow their wealth and meet their financial aspirations,” says Terence Lucien, Head of Mutual Funds & Gold at PhonePe. At this time, PhonePe is competing with rival digital payments platform Paytm as well as the investment focused apps such as Groww, who also offer mutual fund investments on their platform.