1 Lakh to 1 Crore by Mutual Fund | Why Invest In Mutual Fund - PowerPoint PPT Presentation

View by Category
About This Presentation
Title:

1 Lakh to 1 Crore by Mutual Fund | Why Invest In Mutual Fund

Description:

A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. Mutual funds have advantages and disadvantages compared to direct investing in individual securities. The primary advantages of mutual funds are that they provide a higher level of diversification, they provide liquidity, and they are managed by professional investors. – PowerPoint PPT presentation

Number of Views:48

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: 1 Lakh to 1 Crore by Mutual Fund | Why Invest In Mutual Fund


1
1 Lakh to 1 Crore by Mutual Fund
2
About Us
  • At Dhanashri, we've always been partial to
    independent thinkers.
  • It takes courage to have faith in your own
    convictions and question conventional wisdom,
    especially when it's your own money at stake.
  • That's why we treat every client with the utmost
    respect, regardless of their experience level.
  • We're committed to providing traders and
    investors like you with the cutting edge tools,
    research and customer support you need. So you're
    free to pursue your investment goals the way YOU
    want.

3
What is Mutual Funds?
  • A mutual fund is a professionally
    managed investment fund that pools money from
    many investors to purchase securities.
  • Mutual funds have advantages and disadvantages
    compared to direct investing in individual
    securities.
  • The primary advantages of mutual funds are that
    they provide a higher level of diversification,
    they provide liquidity, and they are managed by
    professional investors.
  • On the negative side, investors in a mutual fund
    must pay various fees and expenses.

4
Mutual Funds Today
  1. United States 18.9 trillion
  2. Luxembourg 3.9 trillion
  3. Ireland 2.2 trillion
  4. Germany 1.9 trillion
  5. France 1.9 trillion
  6. Australia 1.6 trillion
  7. United Kingdom 1.5 trillion
  8. Japan 1.5 trillion
  9. China 1.3 trillion
  10. Brazil 1.1 trillion

5
Top Performing Mutual Funds In India
6
Category In Mutual Funds
  • Large Cap-oriented Equity funds
  • Diversified Equity funds
  • Small and Mid-cap Equity funds
  • Thematic - Infrastructure funds
  • Equity Linked Savings Scheme (ELSS)
  • Index funds
  • Balanced funds
  • Monthly Income Plan - Aggressive
  • Long Term Gilt funds
  • Income funds
  • Short Term Income Funds
  • Credit Opportunities Funds
  • Ultra Short-term Debt funds
  • Liquid funds

7
Classification of Funds
  1. Money Market Funds
  2. Bond funds
  3. Stock funds
  4. Hybrid funds
  5. Other funds

8
Expenses
  1. Management fee
  2. Distribution charges
  3. Securities transaction fees incurred by the fund
  4. Shareholder transaction fees
  5. Fund services charges
  6. Expense ratio
  7. No-load fund
  8. Controversy regarding fees and expenses

9
Advantages of Investing In Mutual Funds
  1. Increased diversification A fund diversifies
    holding many securities this diversification decr
    eases risk.
  2. Daily liquidity Shareholders of open-end funds
    and unit investment trusts may sell their
    holdings back to the fund at regular intervals at
    a price equal to the net asset value of the
    fund's holdings. Most funds allow investors to
    redeem in this way at the close of every trading
    day.
  3. Professional investment management Open-and
    closed-end funds hire portfolio managers to
    supervise the fund's investments.
  4. Ability to participate in investments that may be
    available only to larger investors. For example,
    individual investors often find it difficult to
    invest directly in foreign markets.
  5. Service and convenience Funds often provide
    services such as check writing.
  6. Government oversight Mutual funds are regulated
    by a governmental body
  7. Transparency and ease of comparison All mutual
    funds are required to report the same information
    to investors, which makes them easier to compare

10
Points to Consider before making Investment in
Mutual Funds
  • You should be absolutely clear about time
    horizon expected return and investment objective
    before making an investment. You should build
    your mutual fund portfolio based on your
    financial goals.
  • It is not necessary to invest in multiple mutual
    funds. Invest in few mutual funds based on your
    goal. It is not necessary to invest in each
    category mutual funds to build your portfolio.
  • Always select SIP route for investment rather
    than doing lump sum investment. Invest in mutual
    funds for the long-term at least 3 years or
    above. If you are a risk adverse investor you can
    start building your portfolio by investing in
    debt or balance funds.
  • Never invest in mutual funds based on tips.
    Carry out proper analysis and research before
    making an investment. If you are unable to
    identify mutual fund take advice from expert or
    CFP.

11
Points to Consider before making Investment in
Mutual Funds
  • Carry out assessment and balance your mutual
    fund portfolio at regular interval. Consider STP
    (Systematic Transfer Plan) for switching from one
    mutual fund to other.
  • If your mutual fund portfolio is generating
    negative returns, do not panic. Dont redeem or
    Stop SIPs. Avoid taking any decision based on
    short-term market movements. Continue your SIPs
    for the longer period.
  • Prefer direct mutual funds scheme. Always invest
    in Growth based mutual funds over dividend based
    mutual funds. Stay away from New Fund offers
    (NFOs).
  • Please Remember Mutual Funds Investments are
    subject to market risks. Please read the offer
    document carefully before investing.

12
Click Here For Learn Indian Stock Market
13
(No Transcript)
About PowerShow.com