Short Term Goals
// Short Term Goals
Short Term Commitments
Short term goals mostly depend upon the lifestyle of the family. Planning to buy an iphone, a necklace or upgrading your motorcycle or a new car and so on. Normally these goal values can be easily predicted and range between 6 months to 2 years.
For Example : If you have bought a new mobile for Rs. 18000 on Jan 2023 and you have a habit of upgrading once in two years.
Start an SIP in a debt fund for Rs. 1000 on the same month – it’s an Happy EMI. At the end of 2nd year you will be having an approximate value of Rs. 26000 if it works around 7.5% CAGR. Cash is KING – you can make better bargains !
Do you know?
A short term bond fund is a debt mutual fund that normally invests in short term debt instruments with a maturity of up to 3 years.
These funds will typically invest in Certificates of Deposit (CD), Commercial Paper (CP) and government securities with a residual maturity of less than 3 years.
These funds mostly take exposure only in quality companies that have proven record of repaying their loans on time as well as have sufficient cash flows from their business operations to justify the borrowing.
