The inclination towards investment, especially among the young generation, leaves a lot to be desired. In order to encourage the generation – specifically the Millennials – to invest in financial market products, banks and financial institutions have adopted technological means to make the process simpler. Mutual funds are no exception with several new generation companies having based their business model on technological advancement. But it’s not just these companies, some fund houses have adopted modern means to attract Millennials as well – and one of them is Reliance MF.
Schemes of Reliance Mutual Fund have become popular among Millennials because of its innovative products. Apart from popular funds like Reliance Small Cap Fund, Reliance Low Duration Fund, and Reliance Liquid Fund, which are its most trending offerings, the fund house offers products and services which are attractive to the tech savvy generation. Let’s take a look at them.
Simply Save: A constant challenge for Millennials is that they don’t save enough for a rainy day. Reliance Mutual Fund takes care of this problem with ‘Simply Save’ which allows investors to invest their extra cash and earn relatively good returns at the click of a button.
You can set up the service via the fund house’s website or mobile app and can start investing with as low as Rs 100 and in multiples of Re 1 thereafter. Not only is registering for the service simple, withdrawing money is a breeze as well and is not much different from visiting your nearest Automated Teller Machine (ATM). You can choose to do so online or make use of Reliance Any Time Money card – a product that we’ll look at next.
Wondering where does your investment go? The money is invested in Reliance Liquid Fund – Growth. The scheme has a portfolio which invests in debt and money market instruments and aims to maintain adequate liquidity to meet any redemption order put in by investors. The scheme is classified as low risk and is an alternative to money kept in savings banks accounts.
Reliance Any Time Money card: The convenience that plastic money provides for withdrawing cash and shopping at outlets, Reliance Mutual Fund offers the same convenience for your mutual fund portfolio via the Reliance Any Time Money card. Though most mutual fund schemes available on the market offer some common benefits, redemptions are usually via physical mode, i.e. one has to place a redemption request via a distributor or online and then wait for the money to be transferred to their bank account.
This service offered by Reliance Mutual Fund offers investors instant access to their investments thus providing liquidity day or night. The card offers cash withdrawal facility at Visa enabled ATMs and purchase transactions at merchant establishments similar to any debit card issued by a bank. On any Visa enabled ATM, investors can withdraw cash up to 50% of the balance in the primary scheme account or up to the permissible limit determined by the bank or Rs 50,000 whichever is lower. For merchant transactions, investors can spend up to 50% of the balance in the primary scheme account or Rs 1 lakh, whichever is lower. The card also offers fuel surcharge waiver and investors will receive an SMS and email alert of every transaction.
The primary scheme account referred to above can be either Reliance Liquid Fund, Reliance Ultra Short Duration Fund or Reliance Low Duration Fund.
In this manner, depending on the amount invested in scheme of Reliance Mutual Fund, you can not only benefit from a mutual fund investment but also have access to your money according to the conditions given above.
One can apply for this card after investing in any of the aforementioned three primary schemes. There are no charges on the card for any of the transactions or usages mentioned above.
Reliance Salary Addvantage: For salaried Millennials, Reliance Mutual Fund offers and added advantage service known as Reliance Salary Addvantage. This service has been designed keeping in mind that the busy schedule of office goers results in them not being able to invest the surplus money in their bank accounts diligently and thus losing out on additional income.
The primary underlying of this account is a liquid fund where investors can choose either Reliance Low Duration Fund or Reliance Liquid Fund, but can also choose to invest in other open ended schemes offered by the fund house which may help in building wealth over the long-term. Due to the underlying liquid account, investors become eligible to use the Reliance Any Time Money card as well.
Apart from the above, the fund house also offers facilities like Reliance SIP Insure and Reliance Smart STeP which have been designed with the needs of technology proficient Millennial generation in mind. And it is because of these products that the schemes offered by the fund house have become a hit with this generation.