How to choose the right mutual fund? Tips for investors in 2026

Many people often worry, “How do I start building wealth?” In reality, regardless of experience level or capital, everyone can use a tool called Mutual Funds to create wealth. This article will explain the details about mutual funds and present 10 worthwhile funds in 2569 (2026) so you can start investing with confidence.

What is a Mutual Fund? Basic Understanding

To explain simply, Mutual Fund (Mutual Fund) is a pooling of money from many small investors into a large fund, which is then managed by “Fund Managers” who are experts in managing various assets according to a clearly defined policy.

When we invest, our money is converted into “Units” (Units), with the value of each unit called “Net Asset Value” or NAV (Net Asset Value), calculated and announced once daily at the end of the trading day. When the assets held by the fund increase in value, the NAV also rises, and that is your profit as a unit holder.

Who should invest in mutual funds?

Beginner Investors: Lacking knowledge in analyzing stocks or bonds, investing through mutual funds is like having a professional mentor manage your portfolio.

Business Seekers: Full-time workers without time to follow the market; fund managers handle that part for you.

Risk Diversifiers: With limited capital, access to various asset classes through a single fund.

Tax Benefit Seekers: Certain funds like SSF, RMF, ThaiESG are designed to offer tax deduction privileges.

Additionally, fund managers have bargaining power and access to investment opportunities that ordinary retail investors cannot, such as certain IPOs or private bonds offered in limited quantities.

Types of Mutual Funds in Various Forms

Asset-based classification

1. Money Market Funds (Money Market Fund)

• Risk: Lowest
• Invests in: Bank deposits, high-quality government and corporate debt with maturities under 1 year
• Suitable for: Short-term cash parking and emergency reserves

2. Fixed Income Funds (Fixed Income Fund)

• Risk: Low to Moderate
• Invests in: Government bonds and corporate bonds
• Suitable for: Those seeking higher returns than savings but with moderate risk

3. Equity Funds (Equity Fund)

• Risk: High
• Invests in: Domestic and international stocks
• Suitable for: Investors comfortable with volatility and long-term investment

4. Hybrid Funds (Mixed/Hybrid Fund)

• Risk: Moderate
• Invests in: A mix of stocks and bonds, adjusting proportions based on market conditions
• Suitable for: Diversification seekers who lack expertise

5. Alternative Investment Funds (Alternative Investment Fund)

• Risk: Very high
• Invests in: Gold, oil, real estate, infrastructure
• Suitable for: Experienced investors seeking portfolio diversification

Asset-based classification

Funds with Special Policies

Index Funds (Index Fund) and ETFs

• Use passive investment strategies tracking an index
• Lower fees than regular funds
• ETFs can be traded in real-time on the market

Sector Funds (Sector Fund)

• Focus on specific industries like technology, healthcare, energy
• High risk, but also high profit potential

Foreign Investment Funds (Foreign Investment Fund)

• Enable Thai investors to access global markets
• Diversify into US, China, Vietnam, Europe, etc.

Tax-Advantaged Funds

• SSF, RMF, ThaiESG with tax benefits
• Additional holding conditions may apply

How to Choose the Right Fund

( Step 1: Self-Assessment

Investment Goals: Why are you investing? Retirement, buying a car, or children’s education?

Investment Horizon: How long can you hold this money? The longer, the more risk you can generally accept.

Risk Tolerance: Can you sleep well when your portfolio is down?

) Step 2: Study Investment Policies

Read the Fund Fact Sheet to see what assets the fund invests in, which countries, and the investment strategies used.

Step 3: Analyze In-Depth Data

Past Performance: Compare with benchmark indices and similar funds.

Maximum Drawdown: The largest loss percentage, indicating how badly the fund has suffered.

Sharpe Ratio: Measures risk-adjusted return; the higher, the better.

Total Expense Ratio ###TER###: Lower fees mean higher net returns. All costs are reflected in the TER, which is crucial to compare. Even a 1% difference per year over 20-30 years can significantly impact the final portfolio.

10 Mutual Funds to Consider in 2569 (2026)

The overall economy and megatrends in 2569 are expected to be a “year of two halves,” with volatility in the first half and recovery in the second. A key trend is the expansion of AI, leading to increased demand for energy, infrastructure, and hardware.

Thai Dividend Equity Funds

1. SCB Dividend Equity Fund (SCBDV)

• Managed by: SCB Asset Management
• Policy: Invest in large-cap Thai stocks listed on SET with good dividend history
• Risk: 6/10 ###High Risk(
• Suitable for: Investors seeking cash flow during investment

2. Krungsri Dividend Equity Fund )KFSDIV(

• Managed by: Krungsri Asset Management
• Policy: Invest in dividend stocks of various sizes for growth opportunities
• Risk: 6/10 )High Risk(
• Suitable for: Growth and dividend income seekers

International Tech-Focused Equity Funds

3. KTAM World Technology Artificial Intelligence Equity )KT-WTAI-A(

• Managed by: KTAM )via Allianz Global AI Fund###
• Policy: Invest in AI companies worldwide
• Risk: 6/10 (High Risk)
• Suitable for: AI believers with long-term horizon

4. Bualuang Global Innovation & Technology (B-INNOTECH)

• Managed by: BBLAM (via Fidelity Global Technology Fund)
• Policy: Invest in leading tech companies globally, including Cloud, E-commerce, Fintech
• Risk: 7/10 (High Risk)
• Suitable for: Tech trend followers

5. Principal Vietnam Equity A (PRINCIPAL VNEQ-A)

• Managed by: Principal Asset Management
• Policy: Select high-growth potential Vietnamese stocks
• Risk: 6/10 (High Risk)
• Suitable for: Accessing emerging markets

Fixed Income Funds

6. Krungthai Short-Term Bond Plus (KTSTPLUS-A)

• Managed by: KTAM
• Policy: Invest in quality short-term bonds
• Risk: 4/10 (Moderate to Low)
• Suitable for: Low risk or short-term savings

Flexible Hybrid Funds

7. TISCO Flexible Plus ###TISCOFLEXP(

• Managed by: TISCO Asset Management
• Policy: Flexibly adjust stock and bond proportions based on market conditions
• Risk: 6/10 )High Risk(
• Suitable for: Trust in fund manager’s expertise

Special Industry Funds

8. Krungsri ESG Climate Tech )KFCLIMA-A###

• Managed by: KSAM (via DWS ESG Climate Tech Fund)
• Policy: Invest in companies addressing climate change
• Risk: 6/10 (High Risk)
• Suitable for: Sustainability trend investors

9. K-Global Healthcare ###K-GHEALTH(

• Managed by: KAsset )via JPMorgan Global Healthcare Fund(
• Policy: Invest in pharma, medtech, healthcare services
• Risk: 7/10 )High Risk(
• Suitable for: Stable growth with defensive stance

10. Asset Plus Thai Sustainable Equity )ASP-THAIESG(

• Managed by: Asset Plus Fund Management
• Policy: Select Thai stocks with ESG criteria based on SET ESG Rating
• Risk: 6/10 )High Risk(
• Suitable for: Investors seeking quality Thai stocks

Pros and Cons

) Advantages

• Diversification: Small capital covers multiple assets
• Expert Management: Market monitoring on your behalf
• High Liquidity: Can convert to cash daily
• Low Entry Barrier: Start with hundreds or thousands of Baht
• Variety: From low to high risk options

( Disadvantages

• Fees: Deducted from returns
• Lack of Direct Control: Decisions made by fund managers
• Manager Risk: Poor decisions can occur
• Taxation: 10% withholding tax on dividends

Understanding Fees

) Visible Fees

• Sales Charge: When purchasing units (e.g., 1.5%, reduces invested amount)
• Redemption Fee: When selling units back (less common)
• Switching Fee: When transferring between funds within the same provider

Hidden Fees in NAV

• Management Fee: Cost for fund management
• Custodian Fee: Safekeeping of assets
• Registrar Fee: Managing unit holder data

All expenses are reflected in the Total Expense Ratio ###TER###, a key figure for comparison. Even a 1% difference annually over 20-30 years can lead to a significant difference in final portfolio value.

Summary

Mutual Funds are powerful, accessible investment tools suitable for investors of all levels. For 2569 (2026), filled with challenges and opportunities, building a portfolio aligned with global megatrends will be key to long-term wealth creation.

Investing involves risks; therefore, study details carefully and consult professionals before making decisions.