Earn Monthly Return Through Monthly Income Plans (MIP)

In stock Markets, we have seen

• Long Term Investors
  
• Swing Traders
  
• T20 Players i.e Short Term traders
  

But there is one plan about which not many people in India know about & that is Monthly Income Plan.

In monthly Income Plans, an individual invests a certain sum of money in such instruments & he gets a monthly return on his investments in a pre-determined fashion based on the market conditions.

As Monthly Income Plans have to provide a constant returns to its investors, you are bound to invest 70-80% of their Portfolio in debt & fixed income securities & remaining 20% in equity linked instruments & in this way , a fund manager is able to strike a balance between the return & risk.

Any investor investing in Monthly Income Plan can expect a return of anywhere between 7%-12% depending on the performance of the equity portion of the Portfolio

There are various ways in which you can invest in Monthly Income Plan

• Bank Monthly Income Plan
  
• Post Office Monthly Income Plan
  
• Mutual Funds Monthly Income Plan
  

I would always recommend you to invest in Mutual Funds Monthly Income Plans . These products don't offer a fixed rate of return but offers much better return than Fixed Deposits itself.

Article by: Mr. Mayank Gupta
Website: Wealthbazaar.in