Mutual Funds in India A Comparative Study of Public and Private Mutual Funds

Abstract

A mutual fund is an investor friendly instrument and it offers a number of benefits newlineto the investor. In general terms, a mutual fund is formed by coming together of a number newlineof investors who pool their surplus funds to a professional organization. This professional newlineorganization in turn after a clear analysis of the market position invests these funds in the newlineform of shares in different companies, thereby acting as a risk reduction tool to the small newlineinvestors. Since the funds are invested over a large number of companies, the possibility of newlineincurring loss is averted. These selected body of investment agencies who operate upon the newlineadvice of the fund managers appointed for this purpose analyse the market by conducting newlineintensive research, informed judgment and experience, channelize the funds in appropriate newlinecompanies by buying shares in those companies. newline