[vaasscit]

-Noob alert-

I'm in my mid 30s, zero loans/liabilities, have invested in Sukanya Samriddhi Yojana (SSY) account, PPF and real estate till now. For diversification, maximize returns (with added risk) now considering to enter the Mutual Fund bandwagon :

1. I don't have a demat account
2. My limited online research and gut feeling tells me to start investing via Groww app
3. I intend to start SIPs with (a) Nippon India Large Cap Fund Direct Growth &
(b) Parag Parikh Flexi Cap Fund Direct Growth

I'd like to stay invested for long and would try not to revisit this often.

Now some questions :

1. Is Groww a good platform for me ? (Vs say Zerodha or similar platforms)
2. Are these two options 3(a) & 3(b) good for a begineer ?
3. Would 5k on both funds be good ?

[vaibhav_a_a]

1. I'd recommend you look at a full-service broker as well. When there is a genuine issue with your account, phone support (of a decent quality) is invaluable. Between those two, Zerodha has a better reputation (note that I don't use a discount broker, just basis what friends have told me)

2. Yes, safe enough. You may also want to look at a multi asset fund if you don't have any gold exposure.

3. That you have to decide for yourself - what is your disposable income. What amount of money would you be ok to invest and not look at it in a hurry (several years perhaps), etc. It's a very personal number.

[sups]

Originally Posted by vaasscit

-Noob alert-
1. I don't have a demat account
2. My limited online research and gut feeling tells me to start investing via Groww app
3. I intend to start SIPs with (a) Nippon India Large Cap Fund Direct Growth &
(b) Parag Parikh Flexi Cap Fund Direct Growth

I'd like to stay invested for long and would try not to revisit this often.

I am no expert, but still trying to give you some suggestions:

1. In the large cap category, most active funds find it hard to beat the index funds. You might think of investing in a large cap index fund in this category, something like UTI Nifty 50 Index Fund Direct Growth.
2. Great choice with PP Flexicap fund.
3. You have time at your side. It would be good to have 20% of your portfolio in a Midcap fund. This is only if you can remain invested for at least 10+ years. If you are not comfortable with Midcap fund, you might think of a "Large and Midcap fund" to get some exposure to the midcap category.
4. Good to create different folio numbers for different goals for the ease of tracking.
5. Invest with "Direct" option and not with "Regular" option for all funds.

I generally invest directly through the fund houses using their mobile app.

Good luck with your investment journey.

[Lalvaz]

Originally Posted by vaasscit

-Noob alert-

I'm in my mid 30s, zero loans/liabilities, have invested in Sukanya Samriddhi Yojana (SSY) account, PPF and real estate till now. For diversification, maximize returns (with added risk) now considering to enter the Mutual Fund bandwagon :

1. I don't have a demat account
2. My limited online research and gut feeling tells me to start investing via Groww app
3. I intend to start SIPs with (a) Nippon India Large Cap Fund Direct Growth &
(b) Parag Parikh Flexi Cap Fund Direct Growth

I'd like to stay invested for long and would try not to revisit this often.

Now some questions :

1. Is Groww a good platform for me ? (Vs say Zerodha or similar platforms)
2. Are these two options 3(a) & 3(b) good for a begineer ?
3. Would 5k on both funds be good ?

1) You can invest through Groww, or even directly through the websites of Nippon India and PPFAS. I just did an investment through PPFAS, and it took all of 2 minutes to do. Very easy and no charges whatsoever.

2) Yes, both funds are good. The Nippon India primarily invests in large caps in India. PPFAS is a flexi cap and also invests in other markets apart from India. Both are highly rated and have done well in the past.

3) The amount really depends on your goal. 5k monthly is 60k annually. So 1.2 lacs in all per year. A realistic return over 10-15 years would be 15% in equity. So you can work backward and see if its in line with your savings goals or you need to increase the investment.

Good luck with starting off on your Mutual fund investment journey. Good to see that you're debt free and invested in your future in a very sensible manner.

[boniver]

Originally Posted by vaasscit

3. Would 5k on both funds be good ?

5k to start out with is good, but ensure that you try to increase this amount by a little every time your income increases.

[SideView]

What a time to enter index market, right after i join(Dec), markets have been going in the opposite direction.

Positive: I was planning long term so maybe more units ?

[Small Bot]

Originally Posted by SideView

What a time to enter index market...

I don't think there is any way of retail investors accurately timing the market as to when to start investing via Mutual Fund SIPs. My suggestion would be to ignore the Dalal Street news bytes and, as you say, accumulate units. Your future self would probably be grateful for it.

[pradkumar]

@vaasscit You can try https://www.mfcentral.com/

MFCentral is a free-to-use website owned by the Mutual fund Registrar and Transfer Agents (RTAs) CAMS and Karvy. Using the MFCentral website / app, individual resident Indians can buy/sell every mutual fund available for investing from all AMCs.

[quote=vaasscit;5926663]-Noob alert-

Now some questions :

1. Is Groww a good platform for me ? (Vs say Zerodha or similar platforms)

[kavensri]

Originally Posted by pradkumar

Now some questions :

1. Is Groww a good platform for me ? (Vs say Zerodha or similar platforms)

I am using both (Zerodha since last 3.5 years and Groww since last 6 months) and let me share my comments.
Groww does not support 'weekly SIP' option.
One can use the same app for Stocks and MFs with Groww, where as one need to use two different apps with Zerodha.
Groww offers an UPI functionality where as Zerodha does not have it.
I have not found any major flaw (except for that weekly SIP option in Groww) in either of the apps so far.

[NomadSK]

Originally Posted by kavensri

Groww offers an UPI functionality where as Zerodha does not have it.

What do you mean by this, I transfer funds from my bank to Zerodha apps (kite & coin) through UPI or am I missing something !

[kavensri]

Originally Posted by NomadSK

What do you mean by this, I transfer funds from my bank to Zerodha apps (kite & coin) through UPI or am I missing something !

What I mean is, they have complete functionality of any of the UPI apps (PhonePe, Gpay, etc) built-in their app. One can do bill payments, amount transfer, etc.
Note: I have not activate this option and have not used it so far. But I can see those options in the Groww app.

[Crow]

Originally Posted by kavensri

I have not found any major flaw (except for that weekly SIP option in Groww) in either of the apps so far.

Your post is very informative and puts things across quite well, thank you. I’m also a Groww user and I have a couple of things to add:

1. Dark patterns during sign up: Groww has a very good and fast sign up process but it hides many options behind small grey buttons that one can’t see. If I’d known it’s creating a demat account for me and signing me up for Futures & Options, I’d have disabled those things. I located these buttons only when I was setting up my mom’s account.

2. I can’t seem to find a way to set up an SIP without making an immediate payment. Eg: I know my salary comes in on the 1st of March and I want to set up an SIP for March 5. Groww forces me to make a payment immediately rather than accept the SIP and withdraw from the approved mandate on the given date. If anyone knows how to execute this transaction please educate me.

3. Extremely easy to buy stocks, mutual funds, etc via this app. I have seen many other interfaces but Groww’s is the simplest to use. Load the wallet and funds go through immediately.

4. Mutual funds are not linked to your demat account: I chose Groww over Zerodha for this reason. When I did my research, I saw that Zerodha links MFs to a demat account but Groww does not. This means that moving away from Zerodha to a different mutual fund broker will be harder.

5. Groww’s demat account is free at the moment. Zerodha charges a nominal fee (₹200 per annum if I remember correctly).

I’ve never used Zerodha so I have no thoughts on their product. Just thought I’d share some experiences as a Groww user. Cheers.

[kavensri]

Originally Posted by Crow

5. Groww’s demat account is free at the moment. Zerodha charges a nominal fee (₹200 per annum if I remember correctly).

Zerodha charges Rs200 at the time of opening the account and then Rs89+GST every quarter.

[saket77]

Originally Posted by kavensri

Rs89+GST every quarter.

Rs. 75 + 18% GST= Rs. 89/- if I am not wrong on holdings above 10L of value.

As per SEBI's mandate, this is charged on the value of holdings for BSDA- Basic Services Demat Account. For holdings less than 4L, there are no charges Till 10L, it's Rs. 25 + GST and above 10L, they charge Rs. 75+ GST.

[kavensri]

Originally Posted by saket77

Rs. 75 + 18% GST= Rs. 89/- if I am not wrong on holdings above 10L of value.

As per SEBI's mandate, this is charged on the value of holdings for BSDA- Basic Services Demat Account. For holdings less than 4L, there are no charges Till 10L, it's Rs. 25 + GST and above 10L, they charge Rs. 75+ GST.

Yes, you are correct. It is Rs75+18%GST = Rs89.
And I was not aware of this ceiling thing. Thanks for that information.