When an investor invests in direct equity and shares purchase, he is buying a share in a company and become a percent of the owner of the company. But when a beginner wants to invest, he tends to hire a mutual fund manager who is an agent. Mutual funds are a group or a company that performs as a middleman between the investors and the stock exchange.
Types of investment options in mutual funds
A mutual fund provides the investors with various options in which they can invest according to their Investment goals at their own pace. The broad types of mutual funds are-
Advantages of investing in mutual funds
The following are the benefits of investing in mutual funds-
The mutual fund manager collects the investing money from different investors, invests them in the stocks and when the profit arises, the mutual fund manager keeps 2-3 percent of the profit as a commission and distributes the remaining profits among the investor based on the proportion of their Investment in investing account.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.
Comment:*
Nickname*
E-mail*
Website
Save my name, email, and website in this browser for the next time I comment.