Mutual Fund Investment in 2026: Practical Guide and 10 Options to Watch

Starting with Self-Awareness: An Essential Step Often Overlooked

“Want to invest but don’t know where to start?” This question is often the first concern for every investor. But the truth is, how much capital and experience you have is not the most important thing. What matters most is understanding yourself and your investment tools clearly.

Mutual Funds (Mutual Fund) are gateways that open opportunities for everyone to build wealth confidently, regardless of whether you have enough time or knowledge. In this article, we will guide you into the world of investing and introduce 10 mutual funds worth seriously tracking in 2026.

Mutual Funds: An Easy and Effective Investment Tool

What is it and why is it important?

To put it simply, mutual funds are like pooling money from many investors and having professional (fund managers) working in asset management companies (Asset Management Companies (AMCs)) manage that large sum professionally.

When we invest, our money is converted into “unit trusts” (Units), with each unit’s value called NAV (Net Asset Value) or “Net Asset Value.” This figure is calculated and announced at the end of each trading day, reflecting the performance of all assets held by the fund. When assets appreciate, NAV rises, and that is our profit.

Who benefits the most?

Mutual funds are suitable for:

• New investors lacking experience in analyzing individual stocks
• People with no time to closely follow market news
• Those seeking diversification but unsure how to allocate their portfolio
• Tax benefit seekers from special funds like SSF, RMF, or ThaiESG

With larger capital, fund managers have bargaining power that retail investors do not, and can access limited investment opportunities such as certain IPOs or private bonds.

Types of Mutual Funds: Navigating the Investment Map

Categorized by main assets

1. Money Market Funds (Money Market) - Risk level 1/8

   • Invest in deposits, short-term debt instruments
   • Suitable for short-term savings and emergency funds

2. Fixed Income Funds (Fixed Income) - Risk level 2-4/8

   • Mainly invest in bonds and debentures
   • Stable returns, low risk

3. Equity Funds (Equity) - Risk level 6/8

   • Invest in Thai and international stocks
   • Highest returns but more volatile

4. Hybrid Funds (Hybrid) - Risk level 5/8

   • Adjust stock-bond ratios based on market conditions
   • Suitable for hesitant investors

5. Alternative Asset Funds (Alternative) - Risk level 8+/8

   • Invest in gold, oil, real estate
   • Very high risk, for experienced investors

Categorized by specific policy

• Index and ETF Funds - Track reference indices, low fees
• Industry Sector Funds - Focus on one business sector, high risk
• International Investment Funds - Open doors to global markets
• Tax-Exempt Funds - SSF, RMF, ThaiESG with tax benefits

How to Choose the Right Mutual Fund for You

Step 1: Assess Your Needs

Ask yourself three questions:

• Goals? Retirement in 30 years? Buying a car in 5 years?
• Time horizon? How long can you tolerate not using this money?
• Risk tolerance? Can you sleep well if your portfolio drops 20%?

Step 2: Review Investment Policy

Read the Fund Fact Sheet to understand:

• What assets are invested in
• Which countries
• What strategy (Active or Passive)

Step 3: Compare Performance

• Historical returns - Compare with benchmark (Benchmark)
• Maximum Drawdown - How much was the worst loss
• Sharpe Ratio - Return per unit of risk
• Total Expense Ratio (TER) - Total fees

Remember: Past performance does not guarantee future results.

Economic Outlook for 2026: The Key Backdrop

In 2026, the economy is expected to split into two phases:

• First half: Volatility from trade wars and tax measures
• Second half: Recovery after adjustments and economic stimulus

Connecting Megatrends:

• AI revolution → Energy demand → Investment in clean energy → Chip processing demand

10 Mutual Funds to Watch in 2026

Thai Dividend Stocks Group: Ensuring Cash Flow

1. SCB Dividend Equity Fund (SCBDV)

2. Krungsri Dividend Equity Fund (KFSDIV)

International Tech and AI Funds: Riding the AI Wave

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

4. Bualuang Global Innovation and Technology Fund (B-INNOTECH)

Emerging Markets Group: Seizing Growth Opportunities

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

Bond Sector: Relying on Risk Tiers

6. KT Short-Term Bond Plus Fund (KTSTPLUS-A)

Flexible Mixed Funds: Adapting to Situations

7. TISCO Flexible Plus Fund (TISCOFLEXP)

Thematic Funds for a Changing World: Investing in the Future

8. Krungsri ESG Climate Tech Fund (KFCLIMA-A)

9. K-G Healthcare Fund (K-GHEALTH)

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

Pros and Cons: The Balance of Decision-Making

Advantages

✓ Diversification - Multiple assets within one fund ✓ Professional Management - No need to time the market yourself ✓ High Liquidity - Can sell back every trading day ✓ Low Investment Threshold - Start from hundreds of baht ✓ Variety - From low to high risk levels

Disadvantages

✗ Fees - Reduce returns ✗ Lack of Control - Rely on fund manager’s decisions ✗ Manager Risk - Poor decisions can harm performance ✗ Dividend Tax - 10% withholding tax

Fees to Watch Out For

Deducted directly from investors

• Sales Fee - Deducted at purchase (e.g., 1.5% from 10,000 = 9,850 invested)
• Redemption Fee - Deducted at sale (less common now)
• Switching Fee - When moving to another fund within the same group

Hidden in NAV (Total Expense Ratio - TER)

• Management Fee - Paid to fund manager
• Custodian Fee - Asset custody fee
• Registrar Fee - Record-keeping for unit holders

Important: Even a 1% TER difference over 20-30 years can significantly reduce total returns by dozens of percent. Always compare carefully.

Conclusion

Mutual funds are not only tools for a specific investor group but are suitable for investors at all levels to build long-term wealth effectively.

In 2026, with the global economy full of opportunities and challenges, diversifying your portfolio with mutual funds—from Thai dividend stocks to international tech stocks, emerging markets, bonds, and sustainability-themed funds—will be a smart way to capture economic cycles and global megatrends.

Investing doesn’t have to be complicated, but it must be planned. Choose mutual funds aligned with your goals, risk appetite, and timeline, then let time do its work. Success in wealth creation often comes more from starting and patience than from seeking the perfect doctrine.