GPSC SHIKSHAN SEVA CLASS - 2 QUESTION PAPER SOLUTION.
This Paper solution Prepared By Team Knowledge Power. A mutual Fund is a way to pool money in a variety of underlying securities to pool Money from Investors for investment. in ratio to their investment amount, a mutual fund house issues unit of mutual funds for investment. The investment objectives of a mutual fund are revealed in the offer document. profit or losses are proportionately distributed t the unit holders. before it can collect funds from the public , mutual funds in India must be registered with the securities and exchange board of India.
Types of Mutual Funds in India. Mutual Funds are categorized into several types based on their maturity period and investment objective. in India ,mutual funds are categorized on basis on the type of underlying asset.
Equity Schemes these mutual funds Provide capital appreciation for individuals who focus on Medium and long term investment horizon. According to the security and exchange board of India, equity mutual fund schemes are best suited for those who are open to taking a market risk , and those looking for good returns over a long tern investment horizon.
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