Contact us: +91 80 9576 6699
Email us: support@vinfinedge.com
Contact us: +91 80 9576 6699Email us: support@vinfinedge.com
Mutual fund is a vehicle to mobilize money from investors, to invest in different markets and securities, in line with the investment objectives agreed upon, between the mutual fund and the investors. In other words, through investment in a mutual fund, an investor can get access to markets that may otherwise be unavailable to them and avail of the professional fund management services offered by an asset management company.
Mutual funds are ideal for investors who want to invest in various kinds of schemes with different investment objectives but do not have sufficient time and expertise to pick winning stocks. Mutual funds give you the advantage of professional management, lower transaction costs, and diversification, liquidity and tax benefits
Equity funds offer schemes that allow investment of money collected by individual investors into shares of various companies. This way, when the share prices rise, the investors make a profit. The investors who have a high risk of appetite and can stay invested for a longer time duration.
Debt funds, first of all, are less at risk in comparison to equity funds. These funds invest in fixed income government securities such as bonds, treasury bills or reputed corporate deposits. These funds usually have schemes which are recommended for short-term investment.
Balanced funds are balanced. That is an obvious statement. As the name suggests, balanced funds or hybrid funds invest in both equity and fixed income funds to maintain a certain return rate and balance out the risks.
ELSS is an equity fund scheme but according to research, investors are majorly keen on investing in this. ELSS is a partially taxable scheme that generates higher returns and qualifies for tax exemptions under section 80C of the Indian Income Tax Act.