2007-01-30 20:00:53 · 3 answers · asked by Anonymous in Business & Finance ➔ Investing
They are a good way for a person with limited resources to participate in the stock market without having to accept the specific risk of investing in just a very few companies.
There are however good mutual funds and not so good mutual funds. Investing in good mutual funds does require some research.
A good strategy is to invest is several different mutual funds with different investment objectives.
2007-01-31 00:30:29 · answer #1 · answered by Anonymous · 0⤊ 0⤋
1. You give some money to a company.
2. They invest in equity market.
3. Depending on the profit/loss, your money gains/loses value.
4. Enjoy the returns if any.
Instead of you investing in stock market directly, some one else does it for you. That's it.
2007-01-31 04:14:51 · answer #2 · answered by The Last Paladin 4 · 0⤊ 0⤋
very easy invest in new IPO of mutual funds for handsome gains.
2007-01-31 10:00:39 · answer #3 · answered by AVANISH JI 5 · 0⤊ 0⤋