The various investors in the market invest for different reasons. Some invest to make high returns and some invest to perform speculation in the market. However, there are some investors who invest for particular goals such as: setting aside funds for retirement, education or marriage for their children. At times, such investors are unaware of investment management or the selection of funds. In situations like these, it’s recommended to opt for Solution-Oriented schemes that provide attractive returns by investing in them for a lock-in period of 5 years. As per SEBI, there are two categories of Solution-Oriented Schemes, namely:
- Retirement Fund: These schemes have a lock-in period of 5 years or till the retirement age (whichever is earlier).
- Children’s Fund: These schemes have a lock-in period of 5 years or Till the child turns 18 years(whichever is earlier).