A Study on Perception towards Mutual Fund At State Bank of India at Bangalore City

Abstract

A corporation that pools money from several people and invests it in securities like stocks, bonds, and short-term debt is known as a mutual fund. The portfolio of a mutual fund refers to all of its holdings. Mutual fund shares are purchased by investors. "Mutual" refers to a system in which each member gets investment returns that are proportional to their original contribution. This kind of system is known as a "system of mutuality." Mutual funds are an example of a kind of investment vehicle that are considered to be financial intermediaries. It is a kind of financial organization that distributes and reduces risk while guaranteeing investors an adequate return (either in the form of dividends, capital gains, or both). This is accomplished by placing all of the investable funds of the investors in a well diversified portfolio of assets. The stock market is made accessible to small and medium-sized investors via the use of mutual funds, which are managed by investment managers. These investors would otherwise be unable to take part in the stock market directly. Investors purchase mutual fund units in a manner that is analogous to the way shareholders purchase a company's shares.