Knowledge Centre

Overview

A Mutual Fund is a type of investment that pools money from multiple investors to invest in equity and debt markets. Managed by professional fund managers, Mutual Funds aim to provide investors with lucrative returns based on the performance of these assets.

The reason that Mutual Funds are so popular is that they offer the ability to easily invest in increasingly more complicated financial markets. A large part of the success of Mutual Funds is also attributed to the advantages they offer in terms of diversification, professional management and liquidity.

Key Benefits of Investing in Mutual Funds

Convenience

  • Flexibilty - Mutual Fund investments offer you a lot of flexibility with features such as Systematic Investment Plans, Systematic Withdrawal Plans & Dividend Reinvestment.
  • Affordability - They are available in units, which makes them very affordable. Because of the large corpus, even a small investor can benefit from its investment strategy.
  • Liquidity - In open ended schemes, you have the option of withdrawing or redeeming your money at any point of time at the current NAV
  • Low Costs - The benefits of scale in brokerage, custodial and other fees translate into lower costs for investors.
Convenience

Growth & Security

  • Diversification - Risk is lowered with Mutual Funds as they invest across different industries & stocks.
  • Professional Management - Expert Fund Managers of the Mutual Fund analyse all options based on experience & research
  • Potential of return - The fund managers who take care of your Mutual Fund have access to information and statistics from leading economists and analysts around the world. Because of this, they are in a better position than individual investors to identify opportunities for your investments to flourish.
  • Regulated for investor protection - The Mutual Funds sector is regulated to safeguard the investor's interests.
Growth & Security

Funds Performance at a Glance

The analysed funds are presented in the form of fact sheets from the Bank which are updated on a monthly basis. Please click on a link below to view a sample.

Funds Performance at a Glance

Research

Mutual Funds could be Equity Funds, Debt Funds or Balanced Funds.

Funds are selected on quantitative parameters like volatality, FAMA Model, risk adjusted returns, rolling return coupled with a qualitative analysis of fund performance and investment styles through regular interactions / due diligence processes with fund managers.

Click here to know more about the research process. 

 

Click Here to View Market Watch

Click Here to View Fund of the Month

Research

KYC

W.e.f. January 1, 2011, all categories of investors irrespective of amount of investment in Mutual Funds are required to comply with KYC norms under the Prevention of Money Laundering Act 2002 (PMLA) for carrying out the transactions such as new/ additional purchase, switch transactions, new SIP/ STP/ DTP registrations received from effective date i.e. January 1, 2011. 
 
Thus, with effect from 1st January 2011, any investor (all applicants in a folio) investing into mutual funds through the Investment Services Account would be required to be KYC compliant with CVL (CDSL Ventures Ltd) without which the transactions may be liable to be rejected by the respective mutual fund houses.

Click here to know more about the KYC norms.

KYC

Most Important Terms & Conditions

  • *The Most Important Terms and Conditions for each of our banking offerings features all the specific terms and conditions that govern their use. You must go through it thoroughly to fully understand the terms and conditions applicable to any banking product you choose.
Most Important Terms & Conditions

Frequently Asked Questions

Beginners can start by reading introductory books and online guides on the basics of Mutual Funds. They should understand key concepts like types of funds, risk, and returns. Exploring reputable financial websites and attending beginner-friendly workshops or webinars can provide practical knowledge. Joining investment forums can also offer insights from experienced investors.

Yes, investing in Mutual Funds can earn money through various means:

  • Capital Gains: Profits from selling securities held in the fund at a higher price than purchased.
  • Dividend Income: Distributions received from stocks and bonds held by the fund.
  • Interest Income: Earned from bonds and other fixed-income investments in the fund's portfolio.

To gain knowledge on Mutual Funds to become an expert:

  • Start by studying financial markets, asset allocation strategies, and fund analysis techniques.
  • Gain practical experience by investing in different types of funds.
  • Follow industry trends, attend seminars, and seek certifications.