Investing in balanced funds offers several advantages:
1. Diversification: By holding a mix of stocks and bonds, balanced funds inherently offer diversification, reducing the risk compared to investing in a single asset class. 2. Professional Management: Fund managers actively manage the portfolio, making adjustments as needed to optimize returns and manage risk. 3. Simplicity: For investors who prefer a hands-off approach, balanced funds provide an all-in-one solution, eliminating the need to manage multiple investments.