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NEET Answer key 2018 | NEET Answer key 6 may 2018 | NEET paper solution 2018 VIDEO | Physics VIDEO
A
mutual fund company is an investment company that receives money from
investors for the sole purpose to invest in stocks, bonds, and other
securities for the benefit of the investors. A mutual fund is the
portfolio of stocks, bonds, or other securities that generate profits
for the investor, or shareholder of the mutual fund. A mutual fund
allows an investor with less money to diversify his holdings for greater
safety and to benefit from the expertise of professional fund managers.
Mutual funds are generally safer, but less profitable, than stocks, and
riskier, but more profitable than bonds or bank accounts, although its
profit-risk profile can vary widely, depending on the fund's investment
objective.Most mutual funds are open-end funds, which sells new shares
continuously or buys them back from the shareholder (redeems them),
dealing directly with the investor (no-load funds) or through
broker-dealers, who receive the sales load of a buy or sell order. The
purchase price is the net asset value (NAV) at the end of the trading
day, which is the total assets of the fund minus its liabilities divided
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