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Showing posts from June 16, 2019

8 Major Benefits of Investing in Mutual Funds

As we all know Mutual funds are currently the most popular vehicle for investment. But if you are a beginner and want to invest in mutual funds, here are some of the many benefits you need to know about Mutual Funds... Diversification - Mutual funds can invest in dozens, hundreds, or even thousands of different investment securities within one portfolio. This involves the mixing of different types of investments and asset classes and is used to manage risk So, the fund manager always invests in more than one asset class (equities, debts, bonds etc.) It is called diversification. By investing in mutual funds, you get the immediate benefit  without investing the large amounts of cash in different types of securities to create individual portfolios. Professional Management -One of the primary reasons investing mutual funds is beneficial because they're professionally managed. Rather than  analyzing, buying and selling stocks or bonds yourself, you have a skilled f...

What are Mutual Funds?

MUTUAL FUNDS - Planning of your personal finance, and invest in a manner that you can fulfill your future goals, is a tricky part. Mutual funds are an ideal investment vehicle for investors who do not know much about investing or do not have much time to get latest  updates on equities or stock market. Mutual fund is a set of shares, stocks and bonds managed by portfolio managers. A mutual fund receives money from investors and invests on their behalf. It gives access to small and individual investors also to invest. Investors can choose a mutual fund scheme according to their financial goal. Mutual Funds are registered with SEBI(Securities and Exchange Board of India) Mutual Funds allows to invest even a small amount of money of Rs. 500 per month in the form of SIP. Some types of mutual funds are Equity mutual funds, Liquid/Debt mutual fund, Index mutual funds etc. What is Net Asset Value (NAV)? Mutual Fund NAV is the per unit market value of a mu...