Different Schemes. Different Objectives. Different Risk Levels.
A Mutual Fund pools money from many investors and invests it in a portfolio of securities according to the scheme's stated investment objective. Each scheme is managed by an Asset Management Company (AMC) and is valued every day through its Net Asset Value (NAV).
Mutual Funds give access to different asset classes and strategies, but their risks, costs, liquidity and potential outcomes vary widely from one scheme to another.
Common Types of Schemes
- Equity Funds — Invest mainly in shares of companies and are subject to market volatility.
- Debt Funds — Invest in bonds and other fixed-income instruments, with interest-rate and credit risk.
- Hybrid Funds — Combine equity and debt in a stated proportion.
- Index Funds & ETFs — Aim to track a market index.
- Liquid & Short-Term Funds — Designed for short-duration investing of surplus money, with their own risks.
What to Check Before You Invest
- The scheme objective and asset allocation
- The risk level of the scheme and your own risk tolerance
- The expense ratio, exit load and other costs
- Your investment horizon and liquidity needs
- The tax treatment of gains under applicable law
How VALUE ADDITION Helps
We help you understand scheme features, risks and costs, and facilitate your investment through the applicable process, so that your choices stay connected to your goals.
Important note
Mutual Fund investments are subject to market risks. Read all scheme related documents carefully before investing. Past performance does not guarantee future results. This page is general information, not investment advice. We do not provide SEBI registered investment advisory or portfolio management services.