Government Jobs Interview Questions
Topic : Reliability of mutual fund investments?
** Hello Job seeker ! Take initiation to post answer / comment for the above group discussion topic. This kind of initiation will improve your creative, leadership and soft skills.
|
said this on 05 Jan 2008 3:50:50 AM IST
We can say that mutual fund is a risk free stock because the comapnies doing this business will invest all the money in the stock market. they choose those comapnis which is hving optimal beta value that is the comapny giving constant returns.
|
|
said this on 18 Jun 2008 2:02:00 AM IST
how can u say that investment in mutual fund is a risk free stock? the investment is completely market oriented and they never gurrantee about the return and investment in stocks by the mutual fund company's are never risk free...if they are risk free and giving constant return then wy so many mutual fund are performing so poorly...its risk associatedness solely depend upon the the type of the fund....the types of insturments where it is investing. equity funds are always risky.
|
|
said this on 13 Jan 2008 2:13:52 AM IST
Since i disagree to sravan.....that appplyin to share market can never be free from risk...but v can say that the companies though they choose are such which are surely going to give long term benefits.....i m not concerned with short term benefits......also they develop such a diversified portfolio..which make them earn profits...
|
|
said this on 18 Jan 2008 9:53:50 AM IST
i think it all depends on the fund manager of a mutual fund who is managing the funds of company. as said by sunil is rite investing in stock markrt can bever be risk-free though at a particular rate of risk i.e undiversifiable risk fund manger has to decide the portfolio combination of securities giving the maximum return has to be choosen. and further continous portfolio evaluation & changing of securities according to present situation of market. in all it needs constant supervision of an experienced & efficient fund manager so that to exploit the upcoming oppurtunities rightly & thence reducing risk.
|
|
said this on 23 Dec 2011 9:06:47 AM IST
certainly the risk can be managed by choosing the optimum portfolio but at the same time we have to very familiar with the facts that risk cannot be completely waived.
risk is a certain thing and that has to be considered while taking decision
so we can never say that the mutual funds are risk free at any point of time
and in current situation of our economy its completely a humor that we call the mutual funds risk free.
|
|
said this on 27 Jul 2008 9:45:52 AM IST
mutual funds are managed by professionally qualified fund managers. Managers should deploy the corpus collected from the investors in aoptimal manner. they should invest in a proper way and should develop a portfolio in which the stocks included will be negetively correlated. by doing this the risk can be decreased to minimum.
|
|
said this on 27 Sep 2008 1:20:50 AM IST
i think compared to other investment opportunies, its the best investment option..because nw we are looking maximum benefit with in limited period. and nobody is waiting for a long period..the other benefit is the are managed by asset management companies and they wil analyse manage according to the market fluctuation.money that invested is spread in to different segments. so market fluctuation will not completely affect on this.tax benit also attracting all of them to this
|
|
said this on 13 Jun 2009 6:07:49 PM IST
yes i am completely agree with ambly's opinion because mutual fund is managed by a proffessional managers and they invest fund in defferent portfolios so they can give maximum return to the investors
|
|
said this on 06 Sep 2009 12:11:11 PM IST
here i totally agree wid my frnd ayon......
the mutual funds investments are free from company level risk and industry risk but they have the market level risk. but the investments in the mutual free is better than investing directly in the stock market. because further this AMCs managing the portfolio have fund managers who have all the knowledge about the stocks. overall m. fund also diversify the risks.
so if a person is not having the knowledge abt the stock markets so it is better to invest through m. funds than investing directly in stock. so as to diversify risk and earn a good return.
|
|
said this on 02 Nov 2009 1:05:42 AM IST
they are rightto an extent where the the investments to be made are generally dependant on the mutual funds managers on how they diversify the risk.. like in this volatile market some stocks are good and some are performing reaallly in a worse condition like telecom which makes it a very careful examination of the caps to be invested by the subsequent managers/...
|
|
said this on 20 Sep 2009 9:13:08 PM IST
Friends i am agree with your point but mutual fund are deffrent types so risk fector depend fund to fund if we take sector mutual fund their is high risk if we look forword balance fund their have 50% risk becouse portfolio is deffrent .sabi also regulat the AMC fund manager capabilty so mutual fund is right option for investing minimum 2 to 3 year and long term is good to other according to risk fector.
|
|
said this on 13 Nov 2009 2:11:42 PM IST
there is no doubt that by diversifying portfolio the amc are able to reduce the risk but still people don't like to invest in mutual fund the reason is high charges and there is no gurantee that u will get return. so sometimes the situation are like that u can't get anything by investing in mutual fund so there should be minimum gurantee that atleast u will get a certain context by investing in mutual fund
|
|
said this on 16 Mar 2011 9:49:07 AM IST
I am agree with your point but mutual fund are deffrent types so risk fector depend fund to fund if we take sector mutual fund their is high risk if we look forword balance fund their have 50% risk becouse portfolio is deffrent .
|
Author)