JM Financial Mutual Fund

If you are exploring investment options in a mutual fund, then you must have come across various names, but JM Financial Mutual Fund is one of the oldest AMCs in India, backed by JM Financial. We will give you an overview of JM Financial Mutual Fund, along with its key details and key benefits of investing in it.

About JM Financial AMC

JM Financial AMC is a mutual fund unit of JM Financial Limited, which is a well-known financial services firm founded in 1973. The JM AMC was established in 1994 and is one of the private-sector asset management companies in India to enter the mutual fund business. It offers a wide range of products such as equity, debt and hybrid mutual funds. Along with mutual funds, it also offers alternative investment solutions, including real estate and AIFs. The JM Financial AMC follows an active investment approach, and it has a strong backing from its parent company. The company follows a growth and value investment approach by focusing on risk management and diversification. 

One of India’s Oldest AMC

JM Financial Asset Management Limited is one of the earliest entrants in India’s private mutual fund industry. The AMC has evolved over the last three decades. The company was established in 1994 and began its journey when investors were not aware of mutual funds. The AMC has navigated softly through the major market crash events, such as the dot-com crash, the 2008 financial crisis, and the 2020 Covid crash, etc. As the company operates on a relatively smaller scale when compared with industry leaders such as HDFC, SBI, ABSL, Nippon, etc. 

Key Details of JM Financial Mutual Fund AMC

AMC Overview & Structure

AUM, Leadership & Management

Equity and ELSS

ELSS or Equity Linked Savings Scheme is a category of equity-oriented mutual funds. The key difference between Equity and ELSS Funds is as follows:

Why Invest in JM Financial Mutual Fund

The reason why one should invest in JM Financial Mutual Funds is as follows:

• Strong Legacy: Being one of the earliest private sector AMC in India, it has a strong legacy. The AMC has seen different economic cycles.
• Diversified Investment Options: The JM Financial Mutual Fund offers a diversified range of schemes across different categories such as equity, debt, etc. These are suitable for different categories of investors.
• Active Fund Management: The AMC follows the active fund management strategies with a combination of both value and growth styles of investing.
• Experienced Fund Managers: JM Financial is one of the oldest AMCs in India and has witnessed major events such as the 2008 market correction, etc. This offers a disciplined approach with risk management.
• Accessible: Investors can easily invest in JM Financial mutual funds using the mobile application of Pocketful, which makes the investment process easy and convenient.

Risk of Investing in JM Financial Mutual Fund

The risks of investing in JM Financial Mutual Fund are as follows:

• Market-based returns: The returns of JM Financial mutual funds are linked to the market, and any short-term fluctuation may impact the returns in the short run.
• Small AUM: The asset managed by the JM Financial mutual fund is very small compared to large AMCs; it may impact their scalability.
• Interest Rate Risk: The interest rate risk will be there in the debt funds offered by the JM AMC. Any slight change in the interest rate by the RBI may impact their returns.
• Variation in Performance: Generally, not all schemes offered by the JM Financial Mutual Fund perform well, so careful selection of a scheme is important.

How to Invest in JM Financial Mutual Fund

The key steps to invest in JM Financial Mutual Fund are as follows:

• Open Account: If you already have an account with Pocketful, then you can log in to it. You need to open an account by following simple KYC steps before starting to invest in JM Financial Mutual Fund.
• Login: Once you open your account, you can login into the mobile application or web portal through the home dashboard.
• Go to the Mutual Fund Section: On the home screen of the Pocketful application, you need to visit the mutual fund option.
• Select a JM Financial Mutual Fund: Now, choose a fund from the JM Financial Mutual Fund schemes depending on your investment horizon and risk profile.
• Choose Type of Investment: Once you select a fund, you need to specify your investment type, whether it is SIP (monthly) or lump sum (one-time).
• Entering Amount: As soon as you choose your type of investment, you need to specify the amount for the monthly investment and the lump sum investment.
• Completing Payment: Both UPI and Net Banking options are available for payment; you can make a payment using any of the above options.
• Confirmation of Investment: After the payment is made, your investment is confirmed the units will be allotted to you.

Conclusion

On a concluding note, JM Mutual Fund is one of the oldest private sector AMCs in India. It has an experienced management team. JM Financial Management offers a mix of actively managed schemes across different segments, including equity, debt, hybrid, etc. The AUM of JM AMC is very small when compared to other industry players. However, the performance of schemes offered by the JM AMC is closely dependent on the market and can vary across the schemes. Therefore, an investor needs to choose the fund based on their risk profile, investment objective and financial goal. And while investing in a mutual fund, one should diversify their portfolio and consult their investment advisor before making any investment.

Frequently Asked Questions (FAQs)