Mutual Funds have been in vogue for quite some time in US and other western countries, but in India, mutual funds hasent yet reached the grassroot level. The buyers of mutual funds are mostly restricted to the younger generation of people and people who know about equity and stocks.
Although, the above statement may not be entirely true, but the reach of MF (abbreviation for Mutual Funds) has been comparatively small.
Worst of all, people from rural areas are hardly aware of something like mutual funds.
The 1st question that rises is.....what is a mutual fund? is it synonymous to some hoax money circulation scheme?
Mutual funds are never an alternative to investing in stocks or bonds.
Rather, it is a pooling of funds which is then invested into various stocks, bonds and similar types of securities.
The buyer of the funds gets a share of the income, losses, expenses or gains of the fund. Every mutual fund has a defined objective which is described in its prospectus.
Mutual Funds have been in vogue for quite some time in US and other western countries, but in India, mutual funds hasent yet reached the grassroot level. The buyers of mutual funds are mostly restricted to the younger generation of people and people who know about equity and stocks.
Although, the above statement may not be entirely true, but the reach of MF (abbreviation for Mutual Funds) has been comparatively small.
Worst of all, people from rural areas are hardly aware of something like mutual funds.
The 1st question that rises is.....what is a mutual fund? is it synonymous to some hoax money circulation scheme?
Mutual funds are never an alternative to investing in stocks or bonds.
Rather, it is a pooling of funds which is then invested into various stocks, bonds and similar types of securities.
The buyer of the funds gets a share of the income, losses, expenses or gains of the fund. Every mutual fund has a defined objective which is described in its prospectus.