4 Key Ways to Better Handle MF Market Volatility


In the guidelines of how to invest in mutual funds, a significant chunk elucidates about the ways you can handle high volatility and unpredictability of the market. The thin line of differences between “risk” and “volatility” is significant in understanding why no investor should panic during moments of high uncertainties and low performance. The market might seem to be tumbling with the investments going topsy-turvy, but as an investor, you must have the skills to keep your perspectives in sync. During this time, many investors rummage for blunders in their pattern of investment since the negative returns could be especially depressing.

Don’t lose your goal

Every investor must set a goal or calculation before investing, which should never be abandoned during periods of unpredictability. It is always better to stay in touch with a financial advisor who will help you sail through the crises. Generally, these situations cannot manipulate your investment goals and therefore, there is hardly any reason to panic. Consider creating new strategies and action plans to assure that you have not let go of your track.

Don’t Stop Investing

To enjoy the advantage of mutual fund tax benefit, rethink before you fetch out your investments. Terminating the SIPs could never be a wise thing to do since it is never practically feasible to predict better market scenarios. Systematic investment is the only key solution amidst the uncertainties that surround mutual fund investments. The transition of the bear market to bull market or vice versa is cyclic, and an investor is supposed to retain adequate resources to buckle up.

Avoid Timing the Market

The alternative is to stay focused on long-term gains instead of worrying about the negative returns. Financial advisors argue in favour of a disciplined investment that you have set after a thorough assessment of your risk tolerance. Mutual fund NAV provides updated and detailed information of a fund’s share market rate. Consider having a deep evaluation at NAV to determine the value of investment across different schemes.

How can one derive profit from market volatility?

Stop selling low- explore other avenues if you have a knack for tolerating risks. The research might help you stumble upon the scheme that you have been looking for your investment goals. Additionally, if you have set your horizon for investment for 5 or more years, you should never bother about this anticipatory period. The best strategy is to invest in equity and debt funds equally to keep you on the forefront even when one kind of fund is not performing well. The routine of investment brings the best fruits over time and reduces the fragile investment strategies that could never aid in any long-term growth. Investment at a low price during this period will secure you with higher growth later on.


Vitality is certainly an indispensable part of mutual funds and there are innumerable ways to overcome it and take it into your advantage. The equity markets could never be analysed and any urge to guess what would happen next should be aborted altogether.


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