What are mutual funds?
Mutual funds are pooled investments in different types of stocks of the money invested by a large number of investors. These funds are professionally managed by fund managers who keep a vigilant eye on the market movements.

What time is the best time to invest in mutual funds?
Lately, mutual funds have gained a lot of popularity amongst novice as well as seasoned investors. Due to their ease availability and hands-on access across several platforms, mutual funds have become one of the easiest investment options. Another factor adding to the popularity of mutual funds is the risk variety they offer. From a high risk to medium and low-risk variants, mutual funds come in all proportions of risk. But what stands unanswered is, when is the right time to invest in mutual funds.
To be very honest, there is not a fixed right time to invest in mutual funds. There is some traditional wisdom regarding the same as to invest only when the markets are at a low but this is not right. Investing in mutual funds while markets are at a good run ensures you get better performing funds. Investing while the markets are at a low obviously takes care of the cost efficiency which is always a better way of looking at things. Getting funds at a lower NAV is always better than paying a greater amount for the same fund at a market high.
Buying funds when the market is low help in wealth creation as it increases the returns many folds.

Keeping these things in mind, the following can be the probable times you can go for mutual fund investments:
1. When the market hits an all-time low
2. The stocks/bonds are performing the best or yielding the highest returns
3. Infrastructure and real estate are hitting the rock bottom
Now, it may seem quite a simple affair to choose amongst any of these scenarios or even all of them but in the real world, this never happens. Never does market fall down so much as to nothing is performing well or the infrastructure and real estate get inversely proportional to mutual fund performance.
Hence, as I said before, there is no fixed right time, every time is a good time!

How to invest in mutual funds- what is the right way?
As they say “It’s my way or the high way”, similarly with investments “it’s SIP way or no way”. Of course, you can always go for other means apart from SIP-like Lump sum investment but if you really wish to enjoy the benefits of mutual fund investments tasting every flavor mutual fund have to offer, SIP is the right way. Read more about SIP. The mutual fund industry has bloomed into one of the most flourishing industries across the globe. India itself has witnessed a 37% growth as compared to the last financial year which clearly indicates that Indians are coming out of their cocoon and trying their luck on mutual funds.

Coming back to the mode of investment, SIP is a systematic investment plan which enables and empowers the investor the make decisions regarding the amount of investment, the time frame, and the frequency. SIP is backed by two powerful phenomenon- Rupee cost averaging and power of compounding. The power of compounding ensures that your money gets appreciated gradually as you keep it invested over the course of time. The rupee cost averaging factor ensures that you buy and sell funds when it is actually favorable i.e. buying finds when it is a low market and selling when high.
If you are planning to stay invested for a long period of time, SIPs are the best option for you.
So, Now is the best time, Start Investing!