Is It Safe To Invest Through Mutual Fund Apps?

As the returns on bank FDs and RDs are not so high, people have started investing in mutual funds. Some people invest in Mutual Funds to grab high returns and some invest to save tax on their incomes. Whatever may be the reason for mutual fund investment, Indian citizens have started investing in it whether through Apps or Websites. But a question clicks in everybody’s mind, is it safe to invest through mutual fund apps? Well, the answer is Yes because all the mutual funds apps in India are protected through OTPs and Passwords. They also have strict encryption that prevents hacking and misuse of your information and account. Let’s explore the other benefits of mutual fund apps and their safety features.

Features and Benefits of Mutual Fund Apps

Here are the top benefits of making investments through a mutual fund app and grabbing high returns on your investment.

Password Protection

If you are making investments in mutual funds through the app then you will need a username and a password to make a successful login. The apps ask you to change your password after a certain period making it more secure and difficult to access by any outsider. The passwords are also alphanumeric with special characters that are not easy to hack therefore these protections make the mutual fund apps safer.

Protection through OTP

Some mutual funds apps make a login through OTPs sent to your registered mobile number. After entering your username or your registered mobile number, an OTP is received (valid for a few seconds) on your phone that you will have to enter for a successful login. This feature of the app also makes it safe to make investments in mutual funds through it.

Trusted Payment Gateways

The payment gateways used to debit payments from your bank account are also trusted and they don’t debit any extra amount from your account without your prior consent. Therefore the safety of your bank account is also maintained by having trusted gateways in the mutual funds app.

Easy Accessibility

Nowadays, everyone has a smartphone and he can download mutual fund apps from the App Store. So, the accessibility to these mutual fund apps in India has also become easier because of their interface and quick performance. One can easily search for mutual funds category-wise and start investing in them.

Paperless KYC

The KYC process can be done through these apps and you don’t have to visit physically anywhere. The whole KYC process is digital and scanned copies of your documents are submitted for verification. The process of KYC is also safe and it is supported through encryption.

Simple Portfolio Management

These mutual funds apps have the feature to build a funds portfolio and manage them easily. You can buy and sell mutual funds through the mutual fund app. The payment received after selling or payment made for buying are 100% safe and secure and they are protected through encryption in the payment gateways.

24×7 Availability

You can use the mutual funds apps anytime and check your portfolio. It also displays the net profit or net loss on your investments with every single of the mutual funds you have purchased. The options to buy more or sell the funds are available on the app.


After going through the above features of the Mutual Funds Apps it will be easy for you to determine that they are safe to be used as an investment platform for mutual funds. All these features of the app portray the safety and security of the mutual funds apps. Now it is up to you whether you use the App or Website for making investments in mutual funds.

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