Mutual Funds and Unlisted Shares for wealth creation

UNLISTED SHARES ( ULS)

Benefits: Through ULS you can acquires shares in privately owned companies ( eg . Startups , private equity based firms or subsidiaries of large companies ) that will go public later when they are ready with the regulatory compliance criteria .By investing in their early stages you can reap significant returns when the go public . You can get assess to industries and markets unavailable on stock exchanges. Acquiring these stocks on the verge of going public can result in substantial gains when its valuation increases post IPO.
Risks: Liquidity , getting information about the company because of limited transparency and determining fair value price becomes challenges .
How to buy: Can be bought directly from the company or through brocking agents

MUTUAL FUNDS ( MF )

MF pools money from multiple investors and invest in various assets like stocks, bonds and other securities. There are several types of MF like Equity Funds, Debt Funds ,Sectoral Funds ,Thematic Funds an so on.
Risks: MF are relatively risk free as they are spread across different assets , are very transparent, have high liquidity and are professionally managed . You can define your goals, begin with an SIP to build a discipline and average market fluctuations. You can also regularly monitor your portfolio as required.
How to buy: Through stock exchange or MF agents
Important Note: Which ever path you choose to invest, have a thorough understanding of the market , it’s fluctuation and the accompanying risks.
DISCLAIMER: Investing in Mutual Funds and Unlimited Shares carries inherent risks. This blog is only for information purposes and is NOT a financial advice.