Can anyone explain me Whats a difference between Mutual Funds and Insurance Funds?
There are many differences between mutual funds and insurance funds.
In mutual funds, the funds of the investor is taken into a pool account and then it is invested i different types of funds depending upon the financial goal of the investor with respect to risk, time, returns, dividends,etc.
In insurance funds, the investor is given the option to invest a part of the premium amount in a particular kind of fund created by the insurance company but these are mostly long-term investments.
Also, insurance funds provide the flexibility to switch between different funds at any point of time but the same would not possible in mutual funds as you would have to exit the fund you are invested in and then switch our amount to the next fund.