Now the postman who knocks your doors will not just bring information and services of mutual funds! AMFI and India Post have taken a new initiative, under which postman and rural postal servants will now become Mutual Fund distributors. The objective of this scheme is to provide investment understanding and convenience to crores of people living in small cities and villages. The government wants to promote financial literature with the help of Indian Post Service, which has access to more than 90% of India’s population. In the first phase, more than 1 lakh postmen and youth will be trained, out of which the target is to prepare 20,000 distributors in the first year. SEBI is already making investment easier through facilities like SIP and now these steps will bring a big change in the direction of access to the people of Mutual Funds.

Think, today you have ₹ 1 crore – a big amount, right? But if we say that in the coming 20 years, the power to buy its real will remain equal to ₹ 25 lakh, then you will probably be shocked. But this is not an estimate, but a truth, and is behind it inflation – which is quietly eating your hard earned money every year. Inflation means increase in prices of goods and services year after year. If inflation is 7%, then today’s ₹ 1 lakh thing will be ₹ 3.87 lakh in 20 years. That is, the money will remain the same, but you will be able to buy very little from it. Now if you think that savings account, FD or just gold and real estate will protect your wealth, then this is just an illusion. FD’s return is under inflation and the return of savings account is even more weak in front of inflation. Real understanding is to understand the real return – that is, what are you really benefiting from your investment after inflation? There are options like Mutual Funds and Equity that have the ability to beat inflation.