Professional Investment Management: Mutual funds are managed by professional fund managers who have expertise in selecting the right investment opportunities. Thus, it saves the investor’s time and effort of researching.
Diversification: Mutual funds invest in multiple securities and asset classes, thus diversifying the risk.
Variety: There is something for everyone here! Investors can choose the mutual fund according to their investment objective.
Affordability: Anyone can start investing for as little as Rs.500 in the fund of their choice.
Safety: In India, mutual funds are well regulated by the Securities and Exchange Board of India (SEBI), which protects the investors’ interests and ensures transparency in the operations.
Liquidity: In some funds, investors may invest and withdraw their money at any time they like. This gives them easy liquidity as they can get the funds back whenever they need.