1. Equity based Mutual funds(also known as growth mutual funds)- These funds are mainly stock market oriented and all the pooled fund is invested in various stocks.
2. Debt mutual funds- The moeny in this type of funds are invested primarily in secured financial instruments and has a lower return on investment.
3. Money market funds- These funds invest in short term money market instruments and yeild short term returns.
4. Balanced funds- These funds are a combination of 2 or more than 2 types of funds and they yeild mixed returns based on the percentage of money that is invested in stocks and bonds.
There are mainly 4 types of mutual funds.
1. Equity based Mutual funds(also known as growth mutual funds)- These funds are mainly stock market oriented and all the pooled fund is invested in various stocks.
2. Debt mutual funds- The moeny in this type of funds are invested primarily in secured financial instruments and has a lower return on investment.
3. Money market funds- These funds invest in short term money market instruments and yeild short term returns.
4. Balanced funds- These funds are a combination of 2 or more than 2 types of funds and they yeild mixed returns based on the percentage of money that is invested in stocks and bonds.