You must have heard about mutual funds, but do you know what they exactly are?

Every website on mutual funds will claim that it is the best place to invest your money. Why even commercials will vouch that they are the best place to invest your money in to and if you are not doing it you are not doing the best of things and that years later you will only have yourself to blame but by then alas! It would be too late to make amends.

This kind of dramatics will definitely get you curious as to what exactly is mutual funds and set you thinking perhaps that if it is so good and everyone else is already at it, what is stopping you from investing in them.

This guide:

Fret not; this short guide can hopefully be able to tell you what you are looking for. At the end of this guide, we are hopeful that you will be appreciative of mutual funds and also partake a journey of letting your funds grow with it.

Easy to understand and easy to invest:

The mutual fund investing guide aims at helping you understand the nitty-gritty of investing in mutual funds. It is universally accepted that mutual funds investing are not just easy to understand but also to invest and profit from.

This one is for everyone:

Before you begin classifying as to who is the right candidate to start investing in mutual funds, let me tell you that the simplicity, accessibility and the versatility that the medium of mutual funds is, it has become a powerful vehicle for investing not just for the newcomers who are coming in by drones but also the seasoned and professional investors. The investing is a great way for saving and creating a corpus by regular saving for retired people. College students and even housewives!

Definition of a mutual fund:

In the simples to f terms, a mutual fund is an investment/security that the investors pool their money in one professionally managed investment. the investment is done in

  1. Stocks
  2. Bonds
  3. Cash
  4. Combination of the above three.

An investment in any one of the above form is called holding and a combined investment that is professionally managed by a manager is called a portfolio.

The investor only needs to identify the kind of mutual funds that work best for him and then a company that he or she thinks is hit for manage their portfolio. Now he has to determine his investment slab and write a check to the company along with his preference of investments. The portfolio manager shall deal with his investments from time to time to ensure that the investment earns a good profit.

Wasn’t that simple and sweet?!