A mutual fund is a professionally-managed investment scheme. It is run by an asset management company that pools the money of people and invests it in equity (stock market), debt (bonds market) or some other asset class. A mutual fund is an ideal investment option for those who want to participate in the stock market or debt market but don't have adequate knowledge of it. For example, if you are investing in an equity mutual fund, you are investing indirectly in stocks as your money, which is a part of a big pool of money collected from investors like you, is routed to the stock market and you are allotted certain units for your portion of the money. Still confused? Keep reading, this article is intended to give all the information about the mutual fund and also to iron out all the confusions, misconceptions and myths associated with it.

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