Are there schemes that assure returns?
While we are on the topic of what returns to expect, someone might as well wish for a fund that assures returns. Some of the mutual funds have floated “assured” return schemes that guarantee a certain annual return or guarantee a buyback at a specified price after a specified period. Examples of these include funds floated by the UTI, SBI Mutual Fund, etc. Many of these funds have not earned returns that they promised and the asset management companies of the respective mutual funds or their sponsors have made good their promises. Nowadays, there are very few funds that come out with such schemes as the funds have realized it is not viable to assure returns in a volatile market.
Related Questions
- Is the deadline for submitting online share schemes returns (Forms 34, 35 and 39) the same as for paper returns?
- I am for long-term investing and dont need massive returns in the next few years. What schemes best suit me?
- Can allocating assets on a more sector, geographic or theme-based approach help schemes to boost returns?
