Authors: E. Prashanth Kumar, Associate Professor Dr. M. P. Suri Ganesh
Abstract: A mutual fund is a programme in which multiple investors pool their funds towards a specific financial goal. The money that was raised was invested in the capital markets, together with the money that was made. The UTI established what was essentially a small savings branch under the RBI, which served as the foundation for the mutual fund industry in India. For the following 25 years, this was reasonably successful since it provided investors with good returns. Due to this, the RBI authorised the establishment of Mutual Funds in India by Public Sector Banks and Financial Institutions. As a result of their success, Private Sector Mutual Funds were able to take off. Portfolio diversification, liquidity, professional management, ease of companies, reduced risk, low transaction costs, transparency, and safety are benefits of mutual funds. It’s incredibly simple to buy and sell mutual funds. Public sector mutual funds and private sector mutual funds are the two categories of mutual funds in India. UTI Mutual Fund, State Bank of India Mutual Funds, and Bank of Baroda Mutual Funds are Public Sector Mutual Funds. Two mutual fund companies, HDFC Mutual Fund & SBI Mutual Fund, have had their returns compared. Both small and midcap companies were included in this comparison. Which markets they invested the investors’ money in and how the returns were calculated over the course of five years. It provides you with suggestions about where and how to make investments. Mutual Funds are Subject to Market Risk; Before Investing, please read the Offer Document.
