Introduction


What is  Mutual Fund

Mutual fund is a vehicle to mobilize moneys 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, a small investor can avail of professional fund management services offered by an asset management company. The Mutual Funds in India are handled by Fund Managers, also referred as the portfolio managers. The Securities Exchange Board of India (SEBI) regulates the Mutual Funds in India

Types Of Mutual Fund:

1. Equity Mutual Funds:

If you wish to invest solely in company shares, equity-based fund is the perfect choice for you. It offers the option to invest in a selection of stocks to create a balanced portfolio with lesser risk as compared to directly investing in equities because this fund would be managed by professionals. However, since equity-based funds have a higher risk-reward potential, you should think carefully before opting for it.

2. Debt Mutual Funds:

In this option, funds are allocated solely in debt instruments including bonds and commercial paper among other things. It has a low-risk profile and offer regular returns. This is the right choice for investors whose first priority is to protect their investments.


3. Balanced  Funds:

Balanced Funds provide the best of both worlds i.e. equity and debt. The aim of the balanced funds is to provide both capital appreciation and stability of income in the long run. The proportion of investment made into equities and fixed income securities is pre-defined and mentioned in the offer document of the scheme. This type of scheme is a good alternative for pure equity-oriented products and provides an effective asset allocation tool. These schemes are suitable for investors looking for moderate growth.

4. Money Market Mutual Funds:

These are also known as liquid funds which seek to invest in short-term debt instruments like certificates of deposit, fixed deposits and treasury bills. This option is best for those who prefer higher liquidity and protection of capital over higher returns involving a higher level of risk.

5. Gold Funds:

Gold has been an investment option for millennia and its value has only grown in modern times because of its viability as an investment during periods of financial inflation or when markets are not performing well in general. Traditionally, people have directly invested in gold for all its advantages but with gold funds you can choose to invest in gold through Gold ETF (Exchange-Traded Funds). This lets you avoid the risk of theft or damage associated with investing in physical gold.

6. Equity Linked Saving Scheme ELSS:

An Equity Linked Savings Scheme (ELSS) is an open-ended Equity Mutual Fund that Not only help you to save tax, but also gives you an opportunity to grow your money. It qualifies for tax exemptions under section (u/s) 80C of the Indian Income Tax Act,1961

Why KAIZEN Investmart:

We Advise Mutual Fund Scheme to our investors based on their Risk Appetite, Consistence of fund performance, Liquidity and Time Horizon for which the investment is made. We periodically review mutual fund portfolio of our clients and advise any changes in mutual fund schemes as and when require.