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Mutual funds???

Others 715 views 3 replies

hi all,

can anybody Plz Explain what exactly Mutual Funds means? and whether it is more Profitable than Investment in Shares?

 

Replies (3)

Mutual fund is an investment scheme in which money from investors are pooled in and  this money is managed professionally by a  Fund Manager for maximizing the returns of the investors. The money may be invested in a variety of securities which includes shares,debt instruments etc as per the investment strategy adopted by the Fund Manager and the nature of the scheme. Mutual Funds are expected to perform well as these are managed by professionals who are supposed to have expertise in managing investments but the performance of the mutual fund can never be assured due to the volatility of the market conditions.

It is a fund, managed usually by a team of people. This fund invests money in different securities. There are many different types of mutual funds. Some funds buy just stocks, they are made up of many different company's stock. They may have several million in GE, Exon Mobile, Wal Mart etc

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