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What is a mutual fund and why is it risky?

Updated: 8/20/2019
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Q: What is a mutual fund and why is it risky?
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What is a mutual fund Is it a safe investment?

A mutual fund is when a company takes money from many investor's and pools it together to invest in stocks, bonds and other assests. Mutual Funds can be risky because they are not insured by the FDIC.


Which is more risky investment-Equities or mutual fund?

The stock answer is, buying individual equities is more risky than buying a mutual fund because a mutual fund contains many equities, hence is "less sensitive to the vagaries of the market." IOW, if there are three hundred different companies represented in one fund, the odds of them all going down is really low. The real answer is, it depends on whether you or the manager of the fund in question is better at picking stocks, and how diversified your portfolio is.


How many AMC in India?

As of may 2009 there are 38 asset management companies operating in india: 1 AIG Global Investment Group Mutual Fund 2 Baroda Pioneer Mutual Fund 3 Benchmark Mutual Fund 4 Bharti AXA Mutual Fund 5 Birla Sun Life Mutual Fund 6 Canara Robeco Mutual Fund 7 DBS Chola Mutual Fund 8 Deutsche Mutual Fund 9 DSP BlackRock Mutual Fund 10 Edelweiss Mutual Fund 11 Escorts Mutual Fund 12 Fidelity Mutual Fund 13 Fortis Mutual Fund 14 Franklin Templeton Mutual Fund 15 Goldman Sachs Mutual Fund 16 HDFC Mutual Fund 17 HSBC Mutual Fund 18 ICICI Prudential Mutual Fund 19 IDFC Mutual Fund 20 ING Mutual Fund 21 JM Financial Mutual Fund 22 JPMorgan Mutual Fund 23 Kotak Mahindra Mutual Fund 24 LIC Mutual Fund 25 Mirae Asset Mutual Fund 26 Morgan Stanley Mutual Fund 27 PRINCIPAL Mutual Fund 28 Quantum Mutual Fund 29 Reliance Mutual Fund 30 Religare AEGON Mutual Fund 31 Religare Mutual Fund 32 Sahara Mutual Fund 33 SBI Mutual Fund 34 Shinsei Mutual Fund 35 Sundaram BNP Paribas Mutual Fund 36 Tata Mutual Fund 37 Taurus Mutual Fund 38 UTI Mutual Fund


Should you invest in Indian mutual funds at present?

Mutual fund investment is always risky. Read the terms and conditions very well before investment.


How risky is mutual fund investment?

They are as risky as stock market investments. The only good thing here is the fact that, the fund is managed by experienced professionals, therefore the chances of making a profit are better compared to us investing in stocks directly.


Is a mutual fund a corporation?

A mutual fund is a corporation


What is mutual fund in Hindi language?

mutual fund kya hai


Stakeholder of mutual fund?

A stakeholder of a mutual fund is someone who has interest in it.


A is invested by managers in a diversity of stocks bonds and other securities?

it is D. mutual fund :) Jenna what skul do you go to Jenna -cierra


When you own a mutual fund what exactly do you own?

Mutual fund is a low risk investment. If you invest in a mutual fund, you owns shares of the mutual fund company who is selling you fund. But you do not actually own any underlying asset of the stocks or securities that mutual fund has invested in even they are using your money to invest.


What is mutual fund reconciliation?

Mutual fund reconciliation is a term used to describe people who are in charge of reconciling fund accounts. They handle a lot of the mutual fund operations.


Was the Reserve Fund the first money market mutual fund?

The Reserve Fund was the first money market mutual fund