Mutual Funds

How to Invest in a Mutual Fund?

When you are buying a mutual fund, you are pooling your money along with other investors. This means you are investing in a variety of investments at a moderately low price. The order is underlined below:

  1. AMCs normally come out with an advertisement in newspapers publishing the date of launch of the new mutual funds. This includes information on their distributors.
     
  2. Investors can contact the AMCs or their designated distributors for the application forms and the offering documents of the funds in case of existing mutual funds.
     
  3. Application forms can be submitted directly to the AMCs or through their designated distributors. Prospective investors are advised to carefully read all constitutive documents so as to have a clear picture of the fund's investment objectives, policies and risks.