A mutual fund pools money from multiple investors to invest in a diversified portfolio of stocks, bonds, or other assets, managed by professional fund managers.
An MFD offers SEBI-compliant guidance, helps with suitable fund selection based on your risk profile, and provides ongoing support for your investment journey.
A Systematic Investment Plan (SIP) lets you invest a fixed amount regularly in a mutual fund scheme, promoting financial discipline and long-term wealth creation.
Most mutual fund schemes are open-ended with no lock-in, except ELSS (Equity Linked Savings Scheme) which has a 3-year lock-in for tax benefits.
Taxation depends on the fund type and holding period. Equity funds and debt funds are taxed differently. Always consult a tax advisor before investing.
No, a demat account is not mandatory. Mutual fund investments can be held and tracked using a folio number through a distributor or platform.
PAN card, Aadhaar, a bank account with IFSC, and a recent photograph are typically required. Your KYC should be completed as per SEBI norms.
Risk profiling assesses your financial situation, goals, and risk appetite to recommend suitable mutual fund schemes aligned with your objectives.
Yes, you can stop or pause your SIP at any time without penalties. However, consistent investing helps in long-term goal achievement.
Mutual funds are regulated by SEBI and managed by AMCs. While market-linked and subject to risks, they offer transparency and diversification to manage risk.