Specific mutual funds

A. Sector Funds

Sector funds invest only in a specific sector, theme-based mutual fund. Since these funds invest only in specific sectors with certain shares, the risk factor is on the higher side. Investors are advised to keep an eye on trends related to various sectors. Sector funds also give excellent returns. Some sectors of banking, IT and pharma have seen huge and steady growth in recent times and are predicted to be promising in the future as well.

B. Index Fund

Best for passive investors, index funds put money into an index. A fund manager does not manage it. An index fund identifies the stock and their respective ratios in the market index and puts money in the same proportion in the same shares. Even if they can't outdo the market (that's why they're not popular in India), they play it safe by copying index performance.

C. Fund of Funds

A diverse mutual fund provides a group of investment portfolio profits, and 'Funds of Funds' is also known as multi-manager mutual funds, which are made to take advantage of this inclination - by putting their money into diverse fund categories. In short, buying a fund that invests in many funds instead of investing in multiple diversifications, keeping costs low at the same time.

D. Emerging

Market Fund.Investing in developing markets is considered a risky bet, and it has also yielded negative returns. India, in itself, is a dynamic and emerging market where investors earn higher returns from the domestic stock market. Like all markets, they are also prone to market fluctuations. Moreover, from a long-term point of view, emerging economies are expected to contribute to the majority of global growth over the next decades.etc.

E. International/International Foreign Funds

Conducive to investors spreading their investments to other countries, foreign mutual funds can give good returns to investors when the Indian stock markets perform well. An investor can employ a hybrid approach (say, 60% in domestic equity and rest in foreign funds) or a feeder approach (receiving local funds to keep them in foreign stock) or a subject-based allocation (e.g.), gold mining).

F. Global Funds

In addition to the same literal meaning, global funds are quite different from international funds. While a global fund mainly invests in markets around the world, it also includes investments in your country. The international fund focuses only on foreign markets. Diverse and universal in outlook, global funds can be quite risky due to various policies, market and currency variations, although it works as a brake against inflation and long-term returns are historically high.

G. Real Estate Fund

Despite the real estate boom in India, many investors are still hesitant to invest in such projects due to their many risks. Real estate funds can be a perfect option because investor projects are set up instead of real estate companies/companies. There will be an indirect partner by putting your money into trusts. A long-term investment negates risks and legal constraints when it comes to buying property as well as providing some amount of liquidity.

H. Commodity-centric stock funds

These funds are ideal for investors with adequate risk-hungry and are looking to diversify their portfolios. Commodity-centric stock funds offer the opportunity to dub in many and diverse trades. Returns, though, may not be periodic and are based on the performance of either the stock company or the commodity. Gold is the only commodity in which mutual funds can invest directly in India. Shares from the rest of the purchase fund units or commodity businesses.

I. Market Neutral Fund

For investors seeking protection from adverse market trends while maintaining good returns, market-neutral funds meet the objective (like hedge funds). With better risk-optimization, these funds offer higher returns where even small investors can overtake the market without raising the portfolio limit.

J.Reverse/Reverse Leverage Fund

While a regular index fund runs in conjunction with the benchmark index, the return of an inverse index fund shift in the opposite direction. It's nothing but selling your shares when the stock goes down, only to repurchase them at a lower cost (unless the price rises again).

K. Asset Allocation Funds

Combining debt, equity and even gold in an optimal proportion, it is a very flexible fund. Based on the predetermined formula or fund manager's findings based on current market trends, asset allocation funds can regulate equity-loan distribution. It's almost like hybrid funds, but requires a lot of expertise in choosing and allocating bonds and stocks from the fund manager.

L. Gift Fund

Yes, you can also give your loved ones a mutual fund or SIP to secure your financial future.

M.. Exchange Traded Funds

This index funds belong to the family and are bought and sold on exchanges. Exchange-traded funds have opened up a new world of investment prospects, enabling investors to gain broader risks to stock markets abroad as well as in particular areas. An ETF is like a mutual fund that can be traded at a price in real time that can grow or fall several times a day.

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Hi , This is Pramod Choudhary from Nagaur Rajasthan India. I an student and I would like to share my positive thinking with everyone that's my passion . Thank you

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