ECONOMICS
FINANCIAL MARKETS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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money market mutual fund
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interest
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investment
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secondary market fund
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Detailed explanation-1: -A mutual fund is a collective investment vehicle that collects & pools money from a number of investors and invests the same in equities, bonds, government securities, money market instruments. The money collected in mutual fund scheme is invested by professional fund managers in stocks and bonds etc.
Detailed explanation-2: -Mutual fund is a mechanism for pooling money by issuing units to the investors and investing funds in securities in accordance with objectives as disclosed in offer document.
Detailed explanation-3: -Mutual funds, hedge funds, exchange traded funds, pension funds, and unit investment trusts are all examples of professionally managed pooled funds. Investors in pooled funds benefit from economies of scale, which allow for lower trading costs per dollar of investment, and diversification.
Detailed explanation-4: -There are four broad types of mutual funds: Equity (stocks), fixed-income (bonds), money market funds (short-term debt), or both stocks and bonds (balanced or hybrid funds).
Detailed explanation-5: -Mutual Funds. Mutual funds are a type of open-ended investment that can include stocks, mutual funds, bonds or other investments. Exchange-Traded Funds (ETFs) Hedge Funds. Closed-End Funds. Real Estate Investment Trusts (REITs) Unit Investment Trusts (UITs) Pension Funds. 27-Dec-2022