Wednesday, March 21, 2007

What are Mutual Funds?

A Mutual Fund is a portfolio, or collection of securities(stocks, bonds, money market instruments, debt instruments etc.) managed according to a specific objective or purpose. Investors pool their money in the Mutual Fund, and the Fund or Fund Manager invest their money in various securities on their behalf. Mutual Funds are priced at the end of the day unlike the Stocks(whose value changes every minute).

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