Mutual funds related FAQs

What does Exchange trade fund work ?

ETFs can be bought or sold at the stock exchange as mutual fund units. ETFs are different from regular mutual funds units that investors can buy or sell directly or through a distributor. The AMC is not able to deal directly with distributors or investors in the ETF structure. The Authorised Participants (APs) are a small group of large participants who receive units. The APs offer buy and sale quotes on ETFs that are listed on the stock exchange. This allows investors to purchase and sell ETFs at any time the stock market is open. ETFs trade just like stocks, and are subject to price fluctuations throughout the day. An investor must have trading and demat accounts in order to buy and sell ETFs.

Who can be eligible for investment in mutual funds ?

What does Net Asset Value (NAV ) refers to ?

What does Purchase Price means ?

What does Redemption Price means ?

What does Exit Load means ?

What does the Scheme Information Document and the Statement of Additional Information means ?

What is the importance of the Scheme information Document and Statement of Additional Information to investors ?

What does cut - off timing means ?

What does Current Value of investment means ?

When Net Asset Value is announced ?

After making investment ,how i will receive my account statement ?

What can a person do if he does not receive account statement ?

What are the steps for Redemption ?

What Systematic Investment Plan (SIP ) does works?

What Rupee Cost Averaging does works ?

Can an investor have directly redemption proceeds to his bank account ?

What documents need to be submitted with a purchase application ?

What is the history of indian mutual funds and role of SEBI in mutual funds in India ?

In what form mutual fund is set up?

What does sector specific funds work ?