Investing with Money Market Mutual Funds is one way to build and ensure a future that suit your aspirations. This happens because investing early will secure your financial condition.
For entrepreneurs, securing the income they have so that their financial condition remains stable is very important. Because an excessive lifestyle will make entrepreneurs unconsciously spend a lot of money.
Therefore, the right way to secure money for entrepreneurs is to balance daily expenses with regular investments. One of them is by using Money Market Mutual Funds investment instrument.
Mutual Funds investment instrument are quite widely used by people worldwide. Not only that, but Mutual Funds are also owned by almost everyone from the middle to upper classes. However, there are still many parties who lack information and knowledge about Mutual Funds.
What are Mutual Funds?
Before discussing tips for entrepreneurs to consistently invest in Mutual Funds, you also need to know what Mutual Funds are. Mutual Funds are one of the investment instruments which gather funds or business capital from investors which are then managed by the Investment Manager in a securities portfolio.
In general, the Investment Manager will be assisted by professionals in the Mutual Fund investment management process. These professionals usually consist of an investment management team as well as an investment committee.
The management of investment funds by the Investment Manager makes it easy for entrepreneurs to invest in Mutual Funds investment instruments. Because after allocating investment funds in Mutual Funds, investors do not need to manage these investments independently.
That is why Mutual Funds investment instruments are highly suitable for entrepreneurs with extra working hours. Investors do not need to spend all the time to monitor the price movements of their investment assets.
The allocation of funds from Money Market Mutual Funds investment is usually in several money market instruments. Starting from Bank Indonesia Certificates (SBI), Fixed Deposits, Bonds with maturities of less than one year, and Money Market Securities (SBPU).
In addition, there are several advantages that you can gain by investing in the best Money Market Mutual Funds products. The first advantage of using this product is that it has a relatively low risk of loss. In addition, you can also enjoy a relatively stable NAV (Net Asset Value) and high liquidity.
Not only that, you can also start investing with a flexible capital and can be withdrawn at any time according to your needs. In fact, the investment time using Mutual Funds is also relatively flexible and suitable for short-term investments.
How to Manage Money with Money Market Mutual Funds
Apart from understanding basic information about Mutual Funds, you also need to know how to properly manage your investment. Here are 3 ways to manage your investment in Mutual Funds.
-
Determining Investment Objectives
The first way to manage your Mutual Funds is to determine your investment goals. You can determine the Mutual Funds investment goals in the long and short term and adjust it to the purchase of investment products to maximize the potential profits.
-
Planning Investment Strategy
Furthermore, you also need to make the right investment strategy to successfully manage Mutual Funds. Planning an investment strategy is very important to determine the right time to invest. However, for entrepreneurs, the most common is the lump sum investment strategy.
This strategy is very suitable for entrepreneurs with huge investment capital. So that they can invest appropriately when the Net Asset Value (NAV) of a Mutual Funds asset are on the low side.
-
Keeping Up with the of Mutual Funds Investment Information
Finally, you also need to keep up with the information related to Mutual Funds investment. That way, you can make predictions and analysis as well as read market conditions in order to seize profitable investment opportunities.
Tips for Entrepreneurs to Consistently Invest in Mutual Funds
After learning some information related to Mutual Funds investment instruments, you also need to know tips for entrepreneurs to stay consistent when investing in Mutual Funds. Read through the following explanation in full to find out what are the tips to stay consistent when investing in Mutual Funds.
-
Organize Your Daily Lifestyle
The first tip that can be done so that you can invest in Mutual Funds consistently is by managing your daily lifestyle. Reduce unnecessary and consumptive expenses.
When you commit to the right lifestyle, it will suppress the excessive consumptive behaviour. So that usual excessive behaviour and lifestyle can be reduced or even avoided.
-
Distinguishing Things Related to Needs and Wants
The second tip to be consistent in Mutual Funds investment is to distinguish between needs and wants. This happens because in everyday life, some things are necessary such as basic needs, while the rest only serves what you want.
However, quite a lot of people often find it difficult to distinguish between something that is necessary and something that is simply desire. You can buy goods according to the latest priority of necessity to reduce expenses every month.
However, you can also buy something you want with a certain budget and within a certain timeframe. So you can still meet your needs while controlling the purchase of the things you want.
-
Make Expenditure Records with a Budgeting System
The budgeting system is often used by people not only in their daily life. But this system is also often used when there are certain events or activities that require a large amount of expenditure.
Keeping records of expenses with a budgeting system is the foundation of your financial planning. So that every expense you spend can be allocated appropriately according to the budget plan.
You can make three income allocations for living expenses, investments, and an emergency fund. You can apply the three allocations of funds in the long term so that expenses remain stable.
-
Have a Definite and Targeted Investment Goal
Furthermore, you also need to have definite and targeted investment goals to be able to remain consistent Mutual Funds investment. Just as you instil the purpose of investing to benefit from investment activities and as a guarantee fund for the future.
If you have a definite and purposeful goal, then you will remain enthusiastic and serious about looking for profitable investment opportunities. In fact, investors who have definite and targeted investment goals will invest more in the long term.
-
Make a Habit out of Mutual Funds Investment
Lastly, a tip you can do to stay consistent in investing, is by making a habit out of Mutual Funds investment. So you will consider saving activities in Mutual Funds as a habit that must be done every month.
Main Reasons for Investing in Money Market Mutual Funds with DBS Treasures
DBS Treasures is a priority banking that provides a wide selection of investment instruments, including Money Market Mutual Funds products. Here are some of the main reasons you need to know about Mutual Funds investing with DBS Treasures.
-
Investment Fund Managed by Professionals
With DBS Treasures priority banking, you can gain access to Investment Managers who are professionals and experts in their fields.
So, the funds you invest can be allocated optimally. In addition, management by a professional Investment Manager can also help and facilitate investors from business circles who are known to have quite packed working hours.
-
Gaining Broad Insights Related to Investment
Another reason for investing with DBS Treasures in the best Money Market Mutual Funds for you is that it's easy to gain investment-related insights. Investors who invest with DBS Treasures will receive various guidance and support to make decisions confidently.
This guidance and support come from the professional and reliable team of financial experts at DBS Treasures. That way, you can easily find out how to analyse the latest market and opportunities that are tailored to the aspirations and preferences of each individual.
-
Reducing the Investment Risk through Diversification
Each investment has a different level of risk of loss. Therefore, there are various ways you can do to avoid losses that occur. Such is the case with diversification in investment. Diversification is the spread of funds in various types of investment assets. So you can reduce the level of risk that may occur.
Lastly, the main reason why it is important to invest in Money Market Mutual Funds with DBS Treasures is that the easy and practical transaction processes. This happens because you don't need to visit the bank and queue to make transactions, just use the digibank by DBS Application.
You can use the digibank by DBS Application to carry out the Mutual Funds analysis process supported by Infovesta data. It is also easier for investors to make selling, buying, and switching transactions.
Not only that, new investors don’t have the Single Investor Identification (SID) issued by KSEI (Indonesian Central Securities Depository) can make it in this application. So that new investors do not need to access other platforms to make a Single Investor Identification.
How easy are the tips to invest in Mutual Funds consistently? That concludes the explanation for entrepreneurs to stay consistent when investing in Money Market Mutual Funds.
