A mutual fund is an investment vehicle that holds different asset classes. Basically when you invest in a mutual fund scheme, you’re contributing to a big pile of money to buy an asset, such as stocks, bonds, gold, etc., which need to be in line with the scheme’s investment mandate.
The various names of the funds help to broadly categorize themselves, which also allows the investor to have a general picture of the product. So, when you hear “XYZ Small-cap Fund,” your mind has already pictured a mutual fund belonging to XYZ, which invests majorly in small-cap stocks.
Globally, mutual funds have established themselves as the means of investment for retail investors. Some of the benefits are mentioned below:
The Investors shall invest only on the basis of information contained in the draft prospectus/KIM’
“The information, analysis and estimates contained herein are based on NBWS Research assessment and have been obtained from sources believed to be reliable. This document is meant for the use of the intended recipient only. This document, at best, represents NBWS Research opinion and is meant for general information only. NBWS Research, its directors, officers or employees shall not in any way be responsible for the contents stated herein. NBWS Research expressly disclaims any and all liabilities that may arise from information, errors or omissions in this connection. NBWS Research, its affiliates and their employees may from time to time hold units of mutual funds referred to herein. This report does not support to be an offer for purchase of this bond issue.”
“Mutual Fund Investments are subject to market risk. Please read the offer document carefully before Investing.”