In the past few years many online mutual funds investment portals like Goalwise and scripbox have come about which have simplified the process of investing for individuals. This has been mainly beneficial for investors and now gone are the days where people don’t have to go bank branch in order to be able to invest in a Online Mutual Funds.
However, before you begin investing, you need to do research on which online mutual fund you want to invest in and think about the purpose of the investment and when you need the money back. Based on that, you need to know how much to invest in equity, how much in debt and how all of this ties in with your financials goals in life. This article will help you choose mutual fund platform according to your needs.
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A Brief on Goalwise
Goalwise is an online wealth management platform that allow users to buy and invest in direct mutual funds. Goalwise headquarters is in Bengaluru, Karnataka. Goalwise has been a Subsidiary of Finnew Solutions Private Limited since July 2020. Goalwise has received a total of $1Million in funding. Goalwise main competition are Kuvera, Groww and ETmoney. As of aust 2019, Goalwise has 1.7 thousand fans on facebook and 184 followers on Twitter.
It is a new age mutual fund investing platform which provides goal based investing for investors looking to invest in direct mutual funds. With Goalwise one can easily set up SIPs or invest a large amount in the mutual funds chosen by its algorithms. If someone is a first time investors looking to get started quickly as well as experienced investors looking for planning and automation.
The Goalwise app has features like automation fund selection and switching, automation asset allocation based on the goal time horizon. The app is also highly customization to suit the needs of every individual investor.
| Company Name | Goalwise |
|---|---|
| Headquaters | Bengaluru, Karnataka |
| Founded On | 2015 |
| CEO | Swapnil Bhaskar |
| Annual Revenue | $1.2M |
| Est. Customers | 20 |
| Sector | Consumer Finance & Credit Cards |
A Brief on Scripbox
Scripbox is an online platform that allows users to invest in mutual funds. Scripbox is headquarters in Bengaluru, Karnataka. The founder and CEO of Scriptbox is Atul Shinghal, while the investors including Trusted Insight, Omidyar Network and Accel partners. Scriptbox main competitors are FundsIndia, Fisdom and Groww.
As of August 2019, Scripbox has 413.9 thousand fans on Facebook and 2.4 thousand followers on Twitters. Scripbox is a user friendly app based investment platform that makes invest completely hassle free. One can start an SIP or make one time investment with the help of Scripbox. It is a great app for beginners as it also automates most of the investment process through it’s scientific and unbiased fund recommendation.
| Company Name | Scriptbox |
|---|---|
| Headquaters | Bengaluru, Karnataka |
| Founded On | 2012 |
| CEO | Atul Shinghal |
| Annual Revenue | $1.5M |
| Est. Customers | 250 |
| Sector | Consumer Finance & Credit Cards |
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Direct mutual fund investment provide by Goalwise and Scripbox
The mutual fund investment you do with the help of a broker or financial advisor includes an extra 1% which is paid to the broker or financial advisor. So some of mutual fund plans are called regular plans. You should read about the expense ratio to learn how your broker, commission agent and distributor agent and distributor make money when you invest in mutual funds.
With Goalwise, you will be investing only in direct mutual fund plans and will be earning an extra 1% on your overall investment. Scripbox however has an algorithm that creates a basket of ten mutual funds. The firm claims to make mutual fund investment simple and jargan free for investors with no financial background. It also allows the customer can keep a check on their portfolio from their mobile or computer.
Focused mutual fund selection by Goalwise and Scripbox
One of the challenges of mutual fund investing is to find the right mutual funds to invest in a lot of them are dependent on friends, network and information on the web to find the right mutual fund. However the bigger challenge is to know when to get out of a particular fund. Goalwise has a wide fund selection criteria and also tries to solve this problem by using data to suggest mutual funds.
When it comes to scripbox it has more than 8000 choices in the market with seasoned investors which will give a tough time in deciding which to invest in. The scripbox algorithms chooses to perform mutual funds basis of their historical performance.
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Goalwise and Scripbox's Goal based investing
Goal based investing is one of the smartest ways to grow wealth and achieve all your life goals. A lot of the first time users are not aware of the goal based investing and they then focus on growing their money that’s is what goalwise is known for as it is a goal based investing. When you tie up your investment with a goal, you are more likely to be happier.
Scribox on the other side provides growth with safety of principal. In scripbox money is first invested in liquid funds. A fixed portion from this is then invested each month in index funds. The benefits of this are:
- Security and stability similar to FDs
- Better taxation than FDs thanks to indexation
- Better returns than FDs
- Full flexibility to stop or withdraw anytime
Glide Path strategy
The glide path formula is a methodology by which asset allocation is achieved as your portfolio changes every time. Let’s understand this with a simple example from Goalwise and Scripbox :
In goalwise: One of your goals is to have 40 lakh for child education in the next 6 years. Based on your risk profile the initial investment will be 60% equity and 40% in debt instruments. All your SIP will be done to get an exposure in 60:40 % ratio in equity debt market.
By the final year, your exposure on Equity:Debt ratio would be 0:100%. This is to ensure your investment is safe from market volatility and you receive your goal amount, despite the market going down. Goalwise automates this process and makes it easier for you to maintain asset allocation based on your goal time frame.
Where as in Scipbox they have a practical action plan I place to create your child college education fund. In scripbox it starts out with the right Financial Goal where they will help you estimate the amount you will need for your goals taking inflation into consideration. After that they will create a customized financial plan for your child’s college education.
This plan will be based on the type of college, start date, your current savings and potential increase in your income. It will then make the right investments by deciding on the right mix of investments that are suited for the customer goals and their personal preferences.
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Ease to use of both the websites
The best part about Goalwise apart from being free is, it requires only one-time setup. It is a complete set it and forget it kind of system. You can revisit anytime and make changes if required. However, the best thing to do is to set it up once and keep investing.
With scripbox it is one click investment where one can choose between SIP (systematic investment plan) and OTI (one time investment) and invest in the recommended top mutual funds in India with a single click. You can stay on track with your investments and also inform you in case you need to change your selection.
The Tranfer plans of Goalwise and Scripbox
In Scripbox if you want to invest a large amount in equity, If you want to invest a large amount in Equity, but also want to reduce the impact of volatility, this plan is ideal for you. Instead of keeping your large amount in your bank account, park it in liquid funds which grow 2-3% faster.
And most importantly it is flexible. You can stop, and restart, your STP at any time. In scripbox the amount is fully invested into Liquid funds. Then, every month, a certain amount is moved from these Liquid funds into Equity funds.
The transfer plan in Goalwise allows you to switch from regular fund to direct fund. With Goalwise, you could track all your external investments and see which all regular funds you have invested in. You can also move all mutual funds investment to goalwise.
So you decided to start using Goalwise and also move all your funds from other brokers/distributor to Goalwise platform, you could do that with just a few clicks. If you ever feel you are stuck with your existing mutual fund advisor, a feature like this makes it easier for anyone to take control of their funds.
Author: PV Vyshnavi
Source : https://startuptalky.com/goalwise-vs-scripbox/
Date : 2020-09-17T08:50:03.000Z