How to invest 100 Rupees

Lazy Sunday. I decided to drive to Bijapur, the nearest town to get some groceries. Luckily a friend of mine was already there and he promised to buy the few stuff I want. I saved almost Rupees 500 on petrol and toll(more about it later). Suddenly the idea strikes me, if I were to actually save amounts like this, which I would invest / deposit / save somewhere, over a period of time, lets say a year, would not it cumulate to a decent figure. Think of the last time you wanted a pint of beer and your fridge was empty. You were too lazy to go the store and guess what? you saved 80 rupees! What if this repeats 50 times in a year and you were to park that 80 rupees systematically every time? Something to think about.

I thought of doing it the conventional way, that we all did as kids - Piggybank. I do not have one lying around and I do not feel like spending 500 on amazon to put another 500 in it. Moreover, on second thought, the idea of money sitting idle irritates me. The very next idea that came to my mind was ETMoney app. I remember that they have a smartdeposit option, which is basically a liquid mutual fund. Unfortunately the minimum amount is 1000. I tried FD with SBI, where again, the minimum amount is 1000.

So what if I really wanted to save the 80 from a beer? A few google searches for piggybank, piggybank app, minimum deposit etc did not give anything fruitful.

After doing some research, I finally came across a mutual fund which will allow me invest as low as 100 rupees, beer money - Reliance Ultra Short Duration Fund. Ticks all the boxes I am looking for. Put money as and when you feel, forget about it and let it grow. Exit load is NIL.

There is no point in investing on a Sunday. But I did it anyway. I was looking for a digital piggybank anyway. So if any of you plan on becoming rich by saving sacrificed beer money, go ahead, right away! Please let me know if you come across any alternatives.

PS:

  1. I am not a mutual fund advisor
  2. This is in no way, a recommendation of the said fund

update on 02/07/2019

I exited this fund after 3 consequtive drops in NAV. (Read housing liquidity crisis). Isn’t the fund manager supposed to take care of market issues?