Mutual Funds

Mutual fund is an investment program funded by shareholders that trades in diversified holdings
and is professionally managed.

Definition: Mutual
fund is a financial instrument that pools money from different
investors. The pooled money is then invested in securities like stocks of listed
companies, government bonds, corporate bonds, and money market instruments.

Advantages: Disadvantages:

 Cost efficient No Control over cost

 Expert Management Dilution
 Diversification Taxes
 Liquidity
Types of Mutual Funds: