MUTUAL FUNDS
Mutual funds are investment vehicles that pool money from multiple investors to purchase a diversified portfolio of securities, such as stocks, bonds, and other assets. Managed by professional fund managers, mutual funds aim to achieve a specific investment objective. Mutual funds are gaining popularity with the emphasis on increase in personal savings and improvement in investment tools through capital markets, the need and scope for mutual funds operation has increased tremendously. Now a days mutual funds become a integral part of investor’s portfolio in India. Following are the categories of mutual fund in India
Equity Schemes
| Sr No. | Category of Schemes | Scheme Characteristics | Type of scheme |
|---|---|---|---|
1 |
Multi Cap Fund |
Minimum investment
in equity &
equity related instruments
65% of total assets |
Multi Cap Fund- An open ended equity scheme investing across large cap, mid cap, small cap stocks |
2 | Large Cap Fund | Minimum investment in equity & equity related instruments of large cap companies- 80% of total assets | Large Cap Fund- An open ended equity scheme predominantly investing in large cap stocks |
3 | Large & Mid Cap Fund | Minimum investment in equity & equity related instruments of large cap companies- 35% of total assets Minimum investment in equity & equity related instruments of mid cap stocks- 35% of total assets | Large & Mid Cap Fund- An open ended equity scheme investing in both large cap and mid cap stocks |
4 | Mid Cap Fund | Minimum investment in equity & equity related instruments of mid cap companies- 65% of total assets | Mid Cap Fund- An open ended equity scheme predominantly investing in mid cap stocks |
5 | Small cap Fund | Minimum investment in equity & equity related instruments of small cap companies- 65% of total assets | Small Cap Fund- An open ended equity scheme predominantly investing in small cap stocks |