mutual funds

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fundamentals of mutual funds

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MUTUAL FUND

MUTUAL FUNDPREPARED BYN.NAGESHA mutual fund is just the connecting bridge or a financial intermediary that allows a group of investors to pool their money together with a predetermined investment objective.introductionTo show the wide range of investment options available in MFs by explaining To help an investor to make a right choice of investment, while considering the inherent risk factors. .To understand the risk and return of the various schemes.To find out the various problems faced by Indian mutual funds and possible solutions.

objectivesThe investors risk is reduced to the minimum.The funds managers maximize the income of the funds. In a mutual fund, it is possible to reinvest the dividend and capital gains.Selection of shares debentures etc and timing is made available to investors.advantages There are two types of mutual funds: they are: 1) open ended schemes 2) close ended schemesTypes of mutual funds first phase 1964-87 (UTI monopoly)Second phase 1987-1993 (entry of public sector funds)Third phase 1993-2003 (entry of private sector funds)Fourth phase ( since Feb 2003)History of Indian mutual fund industry dont put all the eggs in one basket.Try to understand where the money is going.The ground rules of mutual fund investingInvesting in mutual funds leads to growth and profits.There is 100% growth in mutual fund.conclusion