Mutual Fund Gainer/Losers

General
1

Hi Everyone,

  1. When to enter the Mutual Fund Market ? Either Mutual fund gained/Lose

  2. When to withdraw MF ? Can we renewal MF if it’s performance is good in the market ?

2

A Mutual fund invests in the Stock market too by collecting small chunks of money from a lot of people. Instead of you investing, you hand over the funds to a fund house who has a fund manager who takes decisions on what stocks to invest in. The MF allots “units” to you based on how much you’ve invested with them.

If you have a fair idea of the Stock markets, fundamental analysis, technical analysis, its best to invest yourself because the kind of returns you can make is substantially higher than what a MF can yield.

However if you have no clue and would like to stay invested, you can pick up a good fund based on your risk criterion. If you can take higher risk, then you can go for a diversified mid cap fund which will invest in mid cap funds. If you want to play safe go for a blue chip fund.

And yes, a MF can also lose money. Check the past records before you can make a decision. Good luck !