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One of the key misconceptions that surround investing and building a solid portfolio is the requirement of a large sum of money to get started. In reality, however, building a sizable portfolio that is capable of amassing returns can be built with the aid of a modest budget as well.

Consider some of the suggestions mentioned below in order to invest smartly with a small budget.

Investing Consistently

By making it a point to carve out a chunk of your earnings each month and directing them towards your investments, you can reap rewards in the future. Systematic investment plans (or SIPs) are worth noting here. These plans are made available by mutual funds such that investors can invest in a disciplined manner. By using a SIP, it is possible for investors to make time-bound investments and benefit in the long run.

Start Small

If you would like to start your investment journey with a narrow budget, consider using smallcases¹ which are brought forward by Angel One. This offering allows investors to take into account market themes and strategies based on which they can make appropriate investments. With smallcases, for a modest price, an investor can create a diversified long-term portfolio.

Invest Appropriately so you Have Adequate Funds for your Retirement

Smart investing requires you to create a financial plan for yourself. When making your retirement plans it is worth taking advantage of the inducements that government and employers provide in their bid to encourage retirement security. The National Pension Plan, for instance, allows investors to invest and accumulate their savings such that they earn a lump sum amount as their regular income via an annuity plan once they retire.

Invest Tax Refunds

In the event that you have a hard time saving money over the course of the year, consider taking out a chunk of your tax refund – or using it in its entirety to start your investment journey. It is one point in time during the year where a windfall gain that you might not have anticipated is likely.

Avoiding Investment Fees

Regardless of what amount of money you choose to invest, it is imperative to minimise any investment fees you may come across. These can crop up within a mutual fund, apply to a checking account, be required to avail of a brokerage’s services and can apply to any financial product. The need to minimise these fees holds particularly true in case you have a small investment budget.

Angel One’s iTrade Prime is worth noting here as it provides users with a free Demat account including zero brokerage on equity delivery. With a seamless digital platform, Angel One is the one stop destination for all your financial needs.

Wrapping Up

Angel One offers smart investment solutions to those interested in traversing the world of investments. As this article ought to make clear, regardless of how modest a budget may be, it is potentially capable of creating a sizable portfolio over time provided investors make smart investment decisions. Those seeking to learn more about how to tackle the financial markets consider visiting the Angel One website 

Disclaimers
¹ The smallcase facilities offered by the SEBI registered entities. Angel One Ltd. is just acting as distributor of all disputes with respect to the distribution activity and would not have access to