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At Bhangadiya Wealth, a trusted financial advisory firm based in Jaipur, Rajasthan, we believe that making the right choice begins with understanding both options thoroughly. This blog aims to help you compare mutual funds and fixed deposits so you can make smarter, goal-based investment decisions.
A fixed deposit is a traditional savings instrument offered by banks and NBFCs where you deposit a lump sum amount for a fixed period at a predetermined interest rate.
Features:
A mutual fund is a professionally managed investment vehicle that pools money from multiple investors to invest in stocks, bonds, or other assets.
Types of Mutual Funds:
One of the most important criteria for any investment is returns.
?? At Bhangadiya Wealth, we help clients analyze historical mutual fund performance and compare it with inflation to ensure real wealth creation.
Risk tolerance is personal. That’s why we create custom asset allocation models based on your goals and risk profile.
Our advisors at Bhangadiya Wealth plan your investments keeping both tax liability and post-tax returns in mind.
FDs, though safe, often struggle to beat inflation. For instance, if inflation is 7% and your FD yields 6.5%, your money is losing value in real terms.
Mutual funds, particularly equity funds, are designed to beat inflation in the long term. With the power of compounding, even a modest SIP of ?5,000/month can grow significantly over 10–15 years.
Goal |
Better Option |
Emergency Fund |
Fixed Deposit / Liquid Fund |
Short-term (1–2 years) |
Debt Mutual Fund / FD |
Medium-term (3–5 years) |
Hybrid Mutual Fund |
Long-term (>5 years) |
Equity Mutual Fund |
Retirement |
SIP in Equity + NPS |
Tax Saving |
ELSS Mutual Fund |
This flexibility makes mutual funds more accessible for young investors and salaried individuals.
This transparency builds trust and enables informed decision-making.
Many investors in India still invest in FDs because they’re familiar and perceived as safe. However, without professional guidance, you might miss out on higher returns or tax-saving opportunities.
At Bhangadiya Wealth, our approach is simple:
Our expertise ensures that your money works harder for you.
Both mutual funds and fixed deposits have their place in a well-balanced portfolio. The key is to understand your own goals, risk appetite, and investment horizon. FDs offer security and guaranteed returns, while mutual funds offer growth and tax efficiency.
If you’re unsure about where to start, let the experts at Bhangadiya Wealth, Jaipur’s trusted financial advisory firm, help you create a personalized roadmap to your financial success.
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