Question

What answers apply to “mutual funds”?

Answer 1

A mutual fund is a professionally managed investment that pools money from multiple people to buy interests in different corporations, stocks, and other securities.

Answer 2

Answer:

Mutual funds are subjects to market risk and there is no assurance and no guarantee that the scheme goals or targets will be achieved or not.

A mutual fund business is to investment of the funds later, pick up according to the investor's wishes who created the pool.

There are two types of Mutual Fund such as:

• Open-ended Fund: An open-ended fund is one that available for subscription through all year.
• Close-ended Fund: This fund has a specific period of maturity which generally ranging from three to fifteen years.