Mutual Funds

A mutual fund is a pool of money managed by a professional Fund Manager.

Mutual Fund is a trust that collects money from a number of investors who share a common investment objective and invests the same in equities, bonds, money market instruments, Commodities, Indices etc. And the income / gains generated from this collective investment is distributed proportionately amongst the investors after deducting applicable expenses and levies.

Professional investment managers manage the assets, aiming to generate returns for the investors. This pooling allows individuals to diversify their investments and access a broader range of strategies or assets than they might be able to on their own.

Mutual funds are generally considered safer than stocks because they are inherently diversified, which helps mitigate the risk and volatility in your portfolio.

Mutual Fund schemes Broadly classified into ‘open ended’ or close-ended’ and actively managed or passively managed