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Which mutual fund to buy? Mutual fund india

by mutual fund on Feb 23, 2011

There are many types of mutual fund available in the market. Broadly, they can be divided into Equity Funds, Debt Funds and Balanced Funds.
Equity Funds
These funds invest a major part of their portfolio in stocks or equity-related instruments. Equity mutual funds are ideal for investors who want to invest in the stock market. Some of the types of equity funds available in Indian mutual fund market are:
Diversified Equity Funds: Diversified equity funds invest in stocks of different companies across sectors.
Equity Linked Savings Scheme (ELSS): Equity Linked Savings Scheme or Tax-saving funds as they are more popularly known, invest in stocks and equity related instruments and have a lock-in period of three years. These funds offer tax benefit under Sec 80 C of Income Tax Act.
Index Funds: Index funds invest in same stocks and in similar proportion to base index. Performance of index funds is more or less similar to that of underlying index.
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Mutual Fund Benefits - What Is Mutual Fund

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Before investing in Mutual funds, you have to some information regarding mutual funds.

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