Mutual fund distributors thrive on investments but they often face a severe challenge. We know the struggle is real when it comes to attracting fresh investors into the world of mutual funds. It's a tough nut to crack. Let's understand the challenge here.
Savings: The Common Choice
The majority of Indians are savers who prefer keeping their hard-earned money in traditional savings accounts. While offering security, these accounts often offer minimum returns that hardly keep pace with inflation. This preference for the familiar savings account over potentially better investment opportunities has left MFDs looking for a solution to access this vast majority of potential investors. But what if we told you there's an alternative so irresistible that everyone wants it?
The Power of Liquid Funds
Wealth Elite, the leading mutual fund software in India, with its powerful feature Online ATM offers investments in liquid funds as a solution for MFDs. This bridges the gap between the attraction of savings accounts and the potential of liquid funds. People who just start earning don't have enough to invest, and they aren't left with options other than savings A/c. With Online ATM, MFDs can present an exciting opportunity to new investors: park idle money in liquid funds and redeem it instantly.
Double the Returns, Instant Gratification
The concept is simple yet attractive. Investors can park their idle money in liquid funds through Online ATM, which, as the name suggests, operates just like an ATM - quick and hassle-free. Liquid funds, while offering safety and liquidity similar to savings accounts, come with the bonus of returns that are nearly double what traditional savings accounts offer.
Potential investors that they can enjoy the safety and liquidity of a savings account while earning returns that truly make their money work for them. It's an offer that's really hard to resist.
The Benefits of MFDs
Get New Clients in the Mutual Funds Industry
By offering this unique feature, MFDs can attract potential investors who are hesitant to enter the mutual fund market due to perceived risks.
Combine Liquidity and FD-like Returns
Liquid funds strike the perfect balance between liquidity and returns, making them an attractive option for a wide range of investors. This in turn keeps clients engaged.
Recommend Better Funds
MFDs can use their expertise and recommendations to guide investors who keep their money invested for a longer run towards better funds, further enhancing their trust in your services.
Turn New Investors into Long-Term Clients
As clients see their idle money grow, they're more likely to stay committed to mutual fund investments and MFDs gain clients for the longer run.
Opportunity to Grow AUM
As MFDs attract new investors, recommend better funds, and turn them into long-term clients, their Asset Under Management gets set for significant growth, also boosting their credibility in the industry.
Negotiate with AMCs
With a growing client base for liquid funds, MFDs can negotiate better terms with Asset Management Companies, potentially increasing their earnings.
Conclusion
Unique challenges bring unique opportunities. Wealth Elite provides the ideal solution to attract new investors with the promise of low risk, high liquidity, and returns that surpass savings accounts with Online ATM.
So, if you're an MFD looking to engage new investors, it's time to explore the potential of Online ATM and grow your business.
Article source: https://article-realm.com/article/Finance/51617-How-MFDs-Can-Attract-New-Investors-with-Mutual-Fund-Software-Through-Liquid-Funds-in-India.html
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