Before you invest, answer these three basic questions:
What yield do I expect?
Different funds have different yields as well as risks. Consider how much you would like to earn on your investment.
How long can I set aside the money?
Set the timeframe within which you want to achieve your goal. Do you need your money in a year, two or five?
What risk am I willing to take?
The riskier the fund, the higher the risk you should accept. So it's better to consider what investment fluctuations you're willing to endure.