A mutual fund scheme can be classified into open-ended scheme or close-ended scheme depending on its maturity period. open-ended fund or scheme is one that is available for subscription and repurchase on a continuous basis. These schemes do not have a fixed maturity period. Investors can conveniently buy and sell units at Net Asset Value (NAV) related prices which are declared on a daily basis. The key feature of open-end schemes is liquidity.

Ans. There are a wide variety of Mutual Fund schemes that cater to your needs, whatever your age, financial position, risk tolerance and return expectations. Open-Ended Schemes These do not have a fixed maturity. You deal directly with the Mutual Fund for your investments and redemptions. The key feature is liquidity. You can conveniently buy and sell your units at net asset value ("NAV") related prices.

The securities in a UIT are professionally selected to meet a stated investment objective, such as growth, income, or capital appreciation. UITs employ a "buy-and-hold" investment strategy: once the trust's portfolio is selected, its securities typically will not be sold or new ones bought, unlike mutual funds.

That depends on the strategy of the concerned scheme. But generally there are 3 broad categories. A dividend plan entails a regular payment of dividend to the investors. A reinvestment plan is a plan where these dividends are reinvested in the scheme itself. A growth plan is one where no dividends are declared and the investor only gains through capital appreciation in the NAV of the fund.

The world of mutual funds can be divided into four general types: Growth; Income; Tax-Free Income; and Money Market Funds. Within these general categories, there are wide variations in the strategies employed by portfolio managers to achieve a particular fund’s investment objectives. Growth-oriented funds typically invest primarily in stocks and seek capital growth through price appreciation of the securities in their portfolios.

Mutual funds pool the assets of many investors and manage those assets based on the charter of the fund rather than the individual objectives of investors within the fund. A private account is a brokerage account owned by you that we manage on your behalf.

In case of mutual funds, the investments of different investors are pooled to form a common investible corpus and gain/loss to all investors during a given period are same for all investors while in case of portfolio management scheme, the investments of a particular investor remains identifiable to him. Here the gain or loss of all the investors will be different from each other.

For the guidance of the investors our web site is giving a detailed analyses of the forthcoming schemes of different mutual funds .You can visit www.karvy.com and click on the Mutual Fund Monitor to get such information on forthcoming scheme openings.

Mutual funds are meant only for a small investor like you. The prime reason is that successful investments in stock markets require careful analysis of scrips which is not possible for a small investor. Mutual funds are usually fully equipped to carry out thorough analysis and can provide superior returns.

A mutual fund is a trust that pools the money of several investors and manages investments on their behalf. Legally it is like any other company you know of. Hence, the fund is also called a mutual fund company. The fund company takes your money and like you from other new investors. This is added to the money that's already invested with the fund. Some investors see asset size as an indicator of popularity. A scheme with large assets could be subscribed to by large number of unitholders.