There is nothing wrong in this because mutual funds offer a variety of asset classes that match your requirement.
You can invest in a combination of Debt funds (low risk low return) and Equity Funds (higher risk, higher return) based on your risk profile. You can take a free risk profile here.
When you invest, ensure you only do in Direct Plan variants of the Mutual Funds. You then get upto 40% more in long term portfolio corpus, by avoiding commissions and brokers.
If already invested, then switching to direct is really easy. Click here to start your switch.
Having said that do not ignore instruments like Public Provident Fund which are excellent vehicles for the debt component of your portfolio. Take the advice of a SEBI registered investment advisor for unbiased assistance.
