A STUDY ON PERFORMANCE ANALYSIS IN MUTUAL FUNDS

Abstract

A Mutual fund is a pool of money that is managed on behalf of the investors, by a Professional fund manager. The manager uses the money to buy stocks, bonds and other securities according to specific investment objective that have been established for the fund. In return of the investment, the investors are given units for that fund. The investments range from shares to debentures to money market instruments. Each mutual fund with different type of schemes is managed by respective Asset Management Company (AMC). An investor can invest his money in one or more schemes depending upon his choice. The income earned by the investor and the capital appreciation realized by the scheme is shared by the unit holders in proportion to the number of units held by him. Thus mutual fund is a best investment option for a common investor as it offers an opportunity to invest in a diversified, professionally managed portfolio at a relatively lower cost. Keywords: Finance, Accounts, Banking, Insurance