What is Mutual fund
A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. The money thus collected is then invested in capital market instruments such as shares, debentures and other securities. The income earned through these investments is shared by its unit holders (investors) in proportion to the number of units owned by them.
Mutual Fund is not an asset class itself, It can invest in one or more than one asset class like equities, fixed income, and commodities.
Institution related to Mutual Funds in India
SEBI > Securities and Exchange Board of India is the regulatory body for securities and commodity market in India under the administrative domain of Ministry of Finance within the Government of India.
AMFI > Association of Mutual Funds in India is a non-profit organization and self-regulatory body that regulates all asset management companies (AMCs) of mutual funds registered with the Securities and Exchange Board of India (SEBI). AMFI's role is to ensure ethical practices and investor protection in the mutual fund industry.
NISM > National Institute of Securities Markets is a public trust established in 2006 by the Securities and Exchange Board of India (SEBI). Its purpose is to build human resources in the securities markets and financial sector.
