{"id":6421,"date":"2024-06-28T12:13:29","date_gmt":"2024-06-28T12:13:29","guid":{"rendered":"https:\/\/wp-api.pocketful.in\/blog\/?p=6421"},"modified":"2026-04-28T11:01:11","modified_gmt":"2026-04-28T11:01:11","slug":"solution-oriented","status":"publish","type":"mutual-funds","link":"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/","title":{"rendered":"What is Solution Oriented Mutual Funds?"},"content":{"rendered":"\n<p>Are you worried about your retirement plan or are anxious about being able to pay for your child\u2019s education? You don&#8217;t need to worry anymore because there exists a type of mutual fund to get you out of your misery. This specific type is called &#8220;Solution Oriented Mutual Fund,&#8221; it aims to meet your two most important financial needs responsibly, i.e., children education and retirement planning.\u00a0<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Solution_Oriented_Mutual_Fund\" title=\"Solution Oriented Mutual Fund\">Solution Oriented Mutual Fund<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Types_of_Solution-Oriented_Funds\" title=\"Types of Solution-Oriented Funds\">Types of Solution-Oriented Funds<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Advantages_of_Solution-Oriented_Mutual_Funds\" title=\"Advantages of Solution-Oriented Mutual Funds\">Advantages of Solution-Oriented Mutual Funds<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Disadvantages_of_Solution-Oriented_Mutual_Funds\" title=\"Disadvantages of Solution-Oriented Mutual Funds\">Disadvantages of Solution-Oriented Mutual Funds<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Who_Should_Invest_in_Solution-Oriented_Schemes\" title=\"Who Should Invest in Solution-Oriented Schemes?\">Who Should Invest in Solution-Oriented Schemes?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/wp-api.pocketful.in\/blog\/mutual-funds\/solution-oriented\/#Frequently_Asked_Questions_FAQs\" title=\"Frequently Asked Questions (FAQs)\">Frequently Asked Questions (FAQs)<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"h-solution-oriented-mutual-fund\"><span class=\"ez-toc-section\" id=\"Solution_Oriented_Mutual_Fund\"><\/span>Solution Oriented Mutual Fund<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>There are five main categories of <a href=\"https:\/\/www.pocketful.in\/mutual-funds\">mutual funds<\/a> in India. These categories are equity funds, debt funds, hybrid funds, solution-oriented funds, and other schemes.<\/p>\n\n\n\n<p>Solution Oriented Mutual Funds are made to help investors reach their particular financial objectives. The preparation for retirement and the building of funds for the future needs of the children are the financial goals here. Typically, these funds have a five-year lock-in period. They often invest your money across a range of asset types, including debt and equity, to protect and increase your capital.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-types-of-solution-oriented-funds\"><span class=\"ez-toc-section\" id=\"Types_of_Solution-Oriented_Funds\"><\/span>Types of Solution-Oriented Funds<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-image aligncenter size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"1024\" src=\"https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana.png\" alt=\"Types of Solution-Oriented Funds\" class=\"wp-image-6431\" style=\"aspect-ratio:1.3333333333333333;object-fit:cover;width:321px;height:auto\" srcset=\"https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-1024x1024.png 1024w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-300x300.png 300w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-150x150.png 150w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-768x768.png 768w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-1536x1536.png 1536w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana-96x96.png 96w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Currency-pana.png 2000w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>There are two types of solution-oriented funds which are offered by <a href=\"https:\/\/wp-api.pocketful.in\/blog\/asset-management-companies-amc-in-india\/\">Asset Management Companies in India<\/a>. They are as follows &#8211;<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Retirement Planning Funds<\/li>\n\n\n\n<li>Children\u2019s Gift Funds<\/li>\n<\/ol>\n\n\n\n<p><strong>So let&#8217;s deep dive into the types of solution-oriented funds-<\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading has-medium-font-size\" id=\"h-retirement-planning-fund\">Retirement Planning Fund<\/h3>\n\n\n\n<p>The purpose of this fund is to assist the individual in saving money for their retirement corpus. Generally speaking, these funds are locked in for five years, or until the age of retirement, whichever comes first. Your money is invested by the fund manager across a range of asset classes, such as debt and equity. These funds often have two schemes: one that creates wealth and the other that generates income.<\/p>\n\n\n\n<h4 class=\"wp-block-heading has-medium-font-size\" id=\"h-features-of-retirement-planning-fund\">Features of Retirement Planning Fund<\/h4>\n\n\n\n<ol class=\"wp-block-list\">\n<li>These funds are suitable if you have a long-term investment horizon.<\/li>\n\n\n\n<li>Retirement funds have a lock-in period of usually 5 years or until the retirement age of the investor, whichever is earlier.<\/li>\n\n\n\n<li>After retirement, investors can choose a systematic withdrawal plan to get a regular income.<\/li>\n\n\n\n<li>These funds are managed by professional fund managers; hence they allocate your assets only after thorough analysis.<\/li>\n<\/ol>\n\n\n\n<h4 class=\"wp-block-heading has-medium-font-size\" id=\"h-performance-of-retirement-funds\">Performance of Retirement Funds<\/h4>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">Schemes<\/th><th class=\"has-text-align-center\" data-align=\"center\">2024 (YTD)<\/th><th class=\"has-text-align-center\" data-align=\"center\">2023<\/th><th class=\"has-text-align-center\" data-align=\"center\">2022<\/th><th class=\"has-text-align-center\" data-align=\"center\">2021<\/th><th class=\"has-text-align-center\" data-align=\"center\">2020<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">ABSL Retrmnt The 50s Plus-Debt Reg Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">2.46<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.11<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.01<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.89<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.45<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">ICICI Pru Retirement Pure Debt Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">2.96<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.1<\/td><td class=\"has-text-align-center\" data-align=\"center\">2.79<\/td><td class=\"has-text-align-center\" data-align=\"center\">3<\/td><td class=\"has-text-align-center\" data-align=\"center\">10.17<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">ABSL Retrmnt The 50s Reg Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">3.93<\/td><td class=\"has-text-align-center\" data-align=\"center\">9.98<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.47<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.92<\/td><td class=\"has-text-align-center\" data-align=\"center\">7.86<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">HDFC Retirement Savings Hybrid Debt Reg<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.08<\/td><td class=\"has-text-align-center\" data-align=\"center\">11.16<\/td><td class=\"has-text-align-center\" data-align=\"center\">3.7<\/td><td class=\"has-text-align-center\" data-align=\"center\">8.69<\/td><td class=\"has-text-align-center\" data-align=\"center\">10.44<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Nippon India Retirement Income Generation Sch Gr Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.74<\/td><td class=\"has-text-align-center\" data-align=\"center\">10.23<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.93<\/td><td class=\"has-text-align-center\" data-align=\"center\">4.69<\/td><td class=\"has-text-align-center\" data-align=\"center\">10.51<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Franklin India Pension Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.24<\/td><td class=\"has-text-align-center\" data-align=\"center\">14.05<\/td><td class=\"has-text-align-center\" data-align=\"center\">3.53<\/td><td class=\"has-text-align-center\" data-align=\"center\">9.72<\/td><td class=\"has-text-align-center\" data-align=\"center\">8.5<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Axis Retirement Savings Cons Reg Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.25<\/td><td class=\"has-text-align-center\" data-align=\"center\">13.71<\/td><td class=\"has-text-align-center\" data-align=\"center\">-4.25<\/td><td class=\"has-text-align-center\" data-align=\"center\">12.03<\/td><td class=\"has-text-align-center\" data-align=\"center\">13.74<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">UTI Retirement Fund &#8211; Regular Plan<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.64<\/td><td class=\"has-text-align-center\" data-align=\"center\">16.69<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.28<\/td><td class=\"has-text-align-center\" data-align=\"center\">18.53<\/td><td class=\"has-text-align-center\" data-align=\"center\">12.38<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Based on the retirement fund performance shown above, we can conclude that most of the funds have conservative performance overall. A few funds, like the UTI Retirement Fund, Franklin India Pension Fund, and HDFC Retirement Fund, have shown exceptional performance in 2023, while their performance for the 2022 financial year has been lacklustre.<\/p>\n\n\n\n<h3 class=\"wp-block-heading has-medium-font-size\" id=\"h-children-s-gift-fund\">Children\u2019s Gift Fund<\/h3>\n\n\n\n<p>This particular mutual fund type allows investors to accumulate funds for their child&#8217;s future needs, including marriage, schooling, and other expenses. Usually, these funds are locked in for five years, or until the child reaches the age of majority. Given the rising costs of marriage and education, saving for the child&#8217;s future is essential for financial security and stability of the family.<\/p>\n\n\n\n<h4 class=\"wp-block-heading has-medium-font-size\" id=\"h-features-of-children-s-gift-fund\">Features of Children&#8217;s Gift Fund<\/h4>\n\n\n\n<ol class=\"wp-block-list\">\n<li>The investments are designed to fulfill the financial objectives of the future of the child.<\/li>\n\n\n\n<li>Funds invest in a mix of equity, debt and other instruments to provide you an optimum return.<\/li>\n\n\n\n<li>They have a lock-in of 5 years or till the child reaches the age of maturity.<\/li>\n<\/ol>\n\n\n\n<h4 class=\"wp-block-heading has-medium-font-size\" id=\"h-performance-of-children-s-funds-nbsp\">Performance of Children\u2019s Funds&nbsp;<\/h4>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">Schemes<\/th><th class=\"has-text-align-center\" data-align=\"center\">2024 (YTD)<\/th><th class=\"has-text-align-center\" data-align=\"center\">2023<\/th><th class=\"has-text-align-center\" data-align=\"center\">2022<\/th><th class=\"has-text-align-center\" data-align=\"center\">2021<\/th><th class=\"has-text-align-center\" data-align=\"center\">2020<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\">Axis Children\u2019s Gift Fund Lock-in Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">4.74<\/td><td class=\"has-text-align-center\" data-align=\"center\">13.25<\/td><td class=\"has-text-align-center\" data-align=\"center\">-7.32<\/td><td class=\"has-text-align-center\" data-align=\"center\">26.66<\/td><td class=\"has-text-align-center\" data-align=\"center\">15.5<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">SBI Magnum Children\u2019s Benefit Savings Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.12<\/td><td class=\"has-text-align-center\" data-align=\"center\">16.95<\/td><td class=\"has-text-align-center\" data-align=\"center\">1.95<\/td><td class=\"has-text-align-center\" data-align=\"center\">18.28<\/td><td class=\"has-text-align-center\" data-align=\"center\">14.82<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">Tata Young Citizen Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.25<\/td><td class=\"has-text-align-center\" data-align=\"center\">26.74<\/td><td class=\"has-text-align-center\" data-align=\"center\">0.84<\/td><td class=\"has-text-align-center\" data-align=\"center\">33.44<\/td><td class=\"has-text-align-center\" data-align=\"center\">21.28<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">LIC MF Children\u2019s Gift Fund Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">5.76<\/td><td class=\"has-text-align-center\" data-align=\"center\">22.14<\/td><td class=\"has-text-align-center\" data-align=\"center\">-0.95<\/td><td class=\"has-text-align-center\" data-align=\"center\">15.5<\/td><td class=\"has-text-align-center\" data-align=\"center\">12.39<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">UTI Children\u2019s Equity Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">7.24<\/td><td class=\"has-text-align-center\" data-align=\"center\">23.7<\/td><td class=\"has-text-align-center\" data-align=\"center\">-4.01<\/td><td class=\"has-text-align-center\" data-align=\"center\">32.78<\/td><td class=\"has-text-align-center\" data-align=\"center\">19.33<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">HDFC Children Gift Fund Investment<\/td><td class=\"has-text-align-center\" data-align=\"center\">8.36<\/td><td class=\"has-text-align-center\" data-align=\"center\">26.88<\/td><td class=\"has-text-align-center\" data-align=\"center\">6.77<\/td><td class=\"has-text-align-center\" data-align=\"center\">26.46<\/td><td class=\"has-text-align-center\" data-align=\"center\">17.47<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">SBI Magnum Children\u2019s Benefit Gr<\/td><td class=\"has-text-align-center\" data-align=\"center\">11.65<\/td><td class=\"has-text-align-center\" data-align=\"center\">29.83<\/td><td class=\"has-text-align-center\" data-align=\"center\">4.86<\/td><td class=\"has-text-align-center\" data-align=\"center\">77.26<\/td><td class=\"has-text-align-center\" data-align=\"center\">&#8211;<\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\">ICICI Prudential Child Care Gift<\/td><td class=\"has-text-align-center\" data-align=\"center\">14.08<\/td><td class=\"has-text-align-center\" data-align=\"center\">29.17<\/td><td class=\"has-text-align-center\" data-align=\"center\">2.6<\/td><td class=\"has-text-align-center\" data-align=\"center\">24.77<\/td><td class=\"has-text-align-center\" data-align=\"center\">8.77<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Based on the table above, we can conclude that these funds fared extraordinarily well in 2023 and 2021, generating average returns of almost 25%, while in 2022, they recorded average returns of 2.5%.<\/p>\n\n\n\n<p><strong>Read Also:<\/strong> <a href=\"https:\/\/www.pocketful.in\/blog\/mutual-funds\/mutual-fund-fees-and-charges\/\">Mutual Fund Fees &amp; Charges in India 2024<\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-advantages-of-solution-oriented-mutual-funds\"><span class=\"ez-toc-section\" id=\"Advantages_of_Solution-Oriented_Mutual_Funds\"><\/span>Advantages of Solution-Oriented Mutual Funds<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li>These funds are considered an important tool for long-term financial planning.<\/li>\n\n\n\n<li>Because solution funds have a five-year lock-in period, they are able to reduce the market&#8217;s short-term volatility and provide consistency.<\/li>\n\n\n\n<li>Historically, the funds have yielded a higher return because of their equity investments.<\/li>\n\n\n\n<li>The mutual fund houses professionally manage these funds.<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-disadvantages-of-solution-oriented-mutual-funds\"><span class=\"ez-toc-section\" id=\"Disadvantages_of_Solution-Oriented_Mutual_Funds\"><\/span>Disadvantages of Solution-Oriented Mutual Funds<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li>Due to their lock-in period, it does not provide you liquidity for up to 5 years of investment.<\/li>\n\n\n\n<li>A portion of the fund is invested in the equity market, hence it carries the risk of the market.<\/li>\n\n\n\n<li>These funds are not designed for the short-term goals of the individual.<\/li>\n\n\n\n<li>Some solution-oriented mutual funds are passively managed by asset management companies hence in that case there is little-to-no chance of outperformance of the benchmark.<\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-who-should-invest-in-solution-oriented-schemes\"><span class=\"ez-toc-section\" id=\"Who_Should_Invest_in_Solution-Oriented_Schemes\"><\/span>Who Should Invest in Solution-Oriented Schemes?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-image aligncenter size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"1024\" src=\"https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1.png\" alt=\"Who Should Invest in Solution-Oriented Schemes?\" class=\"wp-image-6430\" style=\"aspect-ratio:1.3333333333333333;object-fit:cover;width:373px;height:auto\" srcset=\"https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-1024x1024.png 1024w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-300x300.png 300w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-150x150.png 150w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-768x768.png 768w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-1536x1536.png 1536w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1-96x96.png 96w, https:\/\/cms-resources.pocketful.in\/blog\/wp-content\/uploads\/2024\/06\/Money-motivation-pana-1.png 2000w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Solution-oriented funds are appropriate for individuals who have a specific financial aim and a well-defined investing purpose. With the aid of these funds, you can build up a corpus for long-term needs like retirement and arrange for a child&#8217;s education. However, due to the five-year lock-in period that these funds need, you can only consider them as an investing choice if you have a longer investment horizon.<\/p>\n\n\n\n<p><strong>Read Also:<\/strong> <a href=\"https:\/\/www.pocketful.in\/blog\/equity-mutual-funds\/\">Equity Mutual Funds: Meaning, Types &amp; Features<\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-conclusion\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>To sum up, solution-oriented mutual fund schemes give investors a way to achieve long-term objectives. It is regarded as an organized investment vehicle for obtaining financial stability. Additionally, as we always advise, do extensive study before making any investing decisions. Alternatively, speak with a financial professional.<\/p>\n\n\n\n<figure class=\"wp-block-table has-small-font-size\"><table><thead><tr><th class=\"has-text-align-left\" data-align=\"left\">S.NO.<\/th><th class=\"has-text-align-left\" data-align=\"left\">Check Out These Interesting Posts You Might Enjoy!<\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>1<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/what-is-an-ipo-mutual-fund-should-you-invest\/\">What Is An IPO Mutual Fund? Should You Invest?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>2<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/mutual-funds\/taxation\/\">Mutual Fund Taxation \u2013 How Mutual Funds Are Taxed?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>3<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/mutual-funds\/is-your-mutual-fund-investment-safe\/\">Is Your Mutual Fund Investment Safe?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>4<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/mutual-funds\/open-ended\/\">What is an Open-Ended Mutual Fund &amp; How to Invest in it?<\/a><\/td><\/tr><tr><td class=\"has-text-align-left\" data-align=\"left\"><strong>5<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pocketful.in\/blog\/mutual-funds\/how-to-stop-sip\/\">How to Cancel Mutual Fund SIP?<\/a><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-frequently-asked-questions-faqs\"><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions_FAQs\"><\/span>Frequently Asked Questions (FAQs)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n<div class=\"saswp-faq-block-section\"><ol style=\"list-style-type:none\"><li style=\"list-style-type: none\"><h3 class=\"\">What is the lock-in period of the solution-oriented fund?<\/h3><p class=\"saswp-faq-answer-text\">The lock-in period of solution-oriented funds is five years or till the age of retirement\/child attains the age of maturity.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">Can I do SIP in Solution-Oriented Mutual Funds?<\/h3><p class=\"saswp-faq-answer-text\">Yes, you can invest through <a href=\"https:\/\/www.pocketful.in\/calculators\/sip-calculator\">SIP<\/a> in a solution-oriented mutual fund.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">How to invest in solution-oriented mutual funds?<\/h3><p class=\"saswp-faq-answer-text\">You can invest in solution-oriented mutual funds through an AMC directly, or with the help of mutual fund distributors.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">Can I invest in a solution-oriented mutual fund for wealth creation?<\/h3><p class=\"saswp-faq-answer-text\">Yes, you can create wealth by investing in solution-oriented mutual funds for the long term.<\/p><li style=\"list-style-type: none\"><h3 class=\"\">What are two types of solution-oriented mutual funds?<\/h3><p class=\"saswp-faq-answer-text\">Retirement funds and children\u2019s funds are two types of solution-oriented mutual funds.<\/p><\/ul><\/div>","protected":false},"excerpt":{"rendered":"<p>Are you worried about your retirement plan or are anxious about being able to pay for your child\u2019s education? You don&#8217;t need to worry anymore because there exists a type of mutual fund to get you out of your misery. This specific type is called &#8220;Solution Oriented Mutual Fund,&#8221; it aims to meet your two [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":6639,"parent":0,"menu_order":0,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[19],"tags":[],"class_list":["post-6421","mutual-funds","type-mutual-funds","status-publish","format-standard","has-post-thumbnail","hentry","category-mutual-funds"],"acf":{"freelancer":"Akash Gupta"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v20.13 (Yoast SEO v21.2) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Solution Oriented Mutual Funds: What Is It, Types &amp; Advantages - Pocketful<\/title>\n<meta name=\"description\" content=\"Solution-oriented mutual funds, designed for goals like retirement or education, provide structured investment and potential tax savings. 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