Gujarat, on the West Coast of India, has a rich history dating back to ancient times. It has had its fair share of maharajas and princes though it may have been slightly overshadowed by the princely splendor of neighboring Rajasthan. The excavation at Lothal shows that this region was part of a flourishing Indus valley civilization dating back to 3700 BC with its dock connecting Sabarmati to trade routes in Sindh. Blessed with a large coastline, Gujarat was the gateway to the Middle East. Gujarat takes its name from the nomadic tribe of Gujjars who settled here and there are speculations that these tribes arrived here from Georgia though how far that is true is a moot point. The fact is that Gujarat is a mix of diverse ethnic people with Adivasis perhaps forming the original inhabitants and people from Turkey, Iraq, Iran and the Middle East having settled in Saurashtra and Gujarat. There are Afridis from Africa in some pockets of Gujarat and the various invasions by Greeks, by Muslims from Persia and elsewhere all have left their influence here. So let’s travel down the time line and see how Gujarat possibly evolved.
A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownership of the mutual fund company and its assets. The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.
Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.
A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownership of the mutual fund company and its assets. The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.
Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.
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A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownership of the mutual fund company and its assets. The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.
Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.
A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownership of the mutual fund company and its assets. The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.
Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.
Click here to download
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