Mutual Fund

A Mutual fund established in the form of a trust by a sponsor, to raise money by the trustees through the sale of units to the public under one or more schemes, investing in securities in accordance with the regulation.Every scheme has its own pros and cons, it depend on the investors objective to invest in scheme. Each company provide tax benefits, better returns, risk diversification, greater liquity, flexibility, and providing research services. This paper investigate that how mutual funds reduces the risk and increase the profitability of a investor.