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Plot no. 129/1 Industrial Area Phase 1, Chandigarh



About Mutual Funds

What is Mutual Fund?

A mutual fund is simply a financial intermediary that allows a group of investors to pool their money together with a predetermined investment objective. The mutual fund will have a fund manager who is responsible for investing the pooled money into specific securities (usually stocks or bonds). Mutual funds are one of the best investments ever created because they are very cost efficient and very easy to invest in (you don’t have to figure out which stocks or bonds to buy).

How it Works?

A mutual fund is a collection of stocks, bonds, or other securities owned by a group of investors and managed by a professional investment company. For an individual investor, having a diversified portfolio is difficult. Mutual funds helps the individual investors to invest in equity and debt securities simultaneously. When investors invest a particular amount in mutual funds, he becomes the unit holder of corresponding units. In turn, mutual funds invest unit holders’ money in stocks, bonds or other securities that earn interest or dividend. This money is distributed to the unit holders. If the fund gets money by selling some stocks at higher price the unit holders are liable to get the capital gains.

Advantages of Mutual Fund:

Professional Management: The primary advantage of funds is the professional management of your money. Investors purchase funds because they do not have the time or the expertise to manage their own portfolio. A mutual fund is a relatively inexpensive way for a small investor to get a full-time manager to make and monitor the investments.

Diversification: By owning “shares”(known as “units”) in a mutual fund instead of owning individual stocks or bonds, your risk is spread out. The idea behind diversification is to invest in a number of assets so that a loss in any particular investment is minimized by gains in others. In other words, the more stocks and bonds you own, the less any one of them can hurt you. Large mutual funds typically own hundreds of different stocks in many different industries. It wouldn’t be possible for a small investor to build this kind of portfolio with a small amount of money.

Economies of Scale: Because a mutual fund buys and sells large amounts of securities at a time, its transaction costs are lower than you as an individual would pay.

Liquidity: Just like an individual stock, a mutual fund allows you to sell the units at any time.

Simplicity: Buying a mutual fund is easy! The minimum investment is also very small. As little as Rs 500 can be invested on a monthly basis. Just contact us to know more.

History of Mutual Fund:

The origin of mutual fund industry in India was with the introduction of the concept of mutual fund by UTI in the year 1963. It accelerated from the year 1987 when non-UTI players entered the industry. In the past decade, Indian mutual fund industry had seen a dramatic imporvements, both qualitywise as well as quantitywise.

Types of Funds:

» Open Ended
» Close Ended


About Mutual Funds

A mutual fund is a type of investment scheme in which money from multiple participants is combined to form an investment portfolio.

According to the type investment goal of each unique plan, Mutual Fund Plans invest in a variety of shares in the stock market. Top mutual funds in India provide a magnificent return on investment. 

Top mutual fund company in India make investment decisions with the help of a team of research analysts. Analysts who are proficient in making the right investment in blue chip companies. 

Also, by investing in mutual fund schemes, investors can benefit from professional fund management at a lesser cost.

The following are the benefits of investing in mutual funds:

The fundamental advantage of mutual funds is that your hard-earned money is handled by professionals who are knowledgeable in their field.

Mutual funds are purchased by investors who do not have the time or expertise to handle their investments. It is like hiring a team of professionals to manage your shares prudently. 

Small investors can benefit from the services of an experienced manager who will carefully manage and monitor their funds at a low cost through the use of mutual funds.


Rather than holding individual stocks or bonds, you can spread your risk by purchasing “shares” (also known as “units”) in a mutual fund. When it comes to investing, diversification is the practice of investing in a varied variety of assets such that a loss in one is offset by profits in others.

In other words, the greater the number of stocks and bonds you possess, the less each one has the potential to harm you. Large mutual funds usually make investments in hundreds of different stocks across a broad range of industries to diversify their portfolio. A modest investor would be unable to build such a portfolio with such a little initial commitment, and vice versa.

For instance, Simplifysors is a leading mutual fund distributor that lets you invest in top mutual fund companies in India. 


Scale Economies:

In contrast to a person, a mutual fund incurs lower transaction costs since it buys and sells large quantities of securities at once.



Unit transfers in a mutual fund are similar to those in an individual stock and can be made at any time.



Mutual fund investment is simple and easy! Furthermore, the initial outlay is quite low in comparison to other options. You can put as low as Rs 500 into your account each month. 

Simplifysors is a leading mutual fund distributor agency that provides the simplest procedure to invest in mutual funds online. We provide the best mutual funds in the market on a single platform without any hassle. 

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