What is Mutual Fund? A MUTUAL fund is an organization that pools the savings of a number of investors called as unitholders who share a common goal. The capital market is information sensitive market. A small piece of information could lead to market fluctuations. A small investor may not be aware of such movement and fluctuation and as a result, he/she normally make a loss in the capital market. A retail investor can directly invest in the capital market or invest through a mutual fund. Mutual Fund A mutual fund is a perfect investment vehicle in today's complex financial scenario. Price changes in the financial assets are driven by so many events (i.e both national and international events). An ordinary investor is unlikely to have the knowledge, skills and time to understand the impact of these events and to act accordingly. It is also difficult for him to keep track of various investments. Investment in mutual funds takes care of all these problems. The mo...