The Study on Investors Attitude towards Mutual Funds as an Investment Avenue

Abstract

There are several investment options available. We would categorise or put them into groups to make our lives simpler. There are many different investing opportunities in India. Some of them are liquid and marketable, while others cannot be liquidated. Some of them are also very dangerous, while others are essentially risk-free. Depending on his individual needs, risk preferences, and expectations, the person must select Proper Avenue from among them. Some investment options, such as PPF, NSC, post office savings, government securities, equity share market, life insurance, corporate bonds, and debentures, can be generally categorised. A mutual fund is a business model where many participants combine their money towards a common financial objective. The proceeds from the capital market investments made with the funds obtained are distributed to the owners of the different assets. The UTI Act laid the groundwork for the mutual fund industry in India by effectively creating a small savings division under the RBI. Due to the reasonable growth and favourable returns delivered to investors over a 25-year period, public sector banks and financial institutions were given permission to float mutual funds in 1989, and their success encouraged the government to allow the private sector to participate in this market.