1. What is a Mutual Fund?
A mutual fund is an investment scheme that collects money from multiple investors and invests it in a diversified portfolio — like stocks, bonds, or other securities. The fund is managed by a professional fund manager.
2. How Do Mutual Funds Work?
When you invest in a mutual fund, you buy units of that fund. The fund manager pools your money with others and invests it in financial instruments. Returns are shared based on the number of units you hold and how the fund performs.
3. Types of Mutual Funds
✅ Equity Funds – Invest in shares of companies
✅ Debt Funds – Invest in fixed-income assets like bonds
✅ Hybrid Funds – Combine equity and debt
✅ ELSS Funds – Equity-linked saving schemes offering tax benefits under Section 80C4. Why Invest in Mutual Funds?
Diversification – Spread your risk
Professional Management – Experts manage your money
Liquidity – Easily buy or sell most funds
Affordability – Start small
Growth Potential – Earn market-linked returns
5. Is There a Lock-In Period?
Most mutual funds: No lock-in
ELSS funds: 3-year lock-in (for tax-saving benefits)
6. How to Invest via EzyMoneyDeals?
It’s quick and seamless:
Sign up on the EzyMoneyDeals website or app
Complete your KYC (Know Your Customer)
Choose a mutual fund and start investing online
7. What is KYC and Why Is It Important?
KYC is a legal process to verify your identity before investing. You’ll need to upload basic documents like your PAN Card and Aadhaar.
8. What’s the Minimum Investment Amount?
Most mutual funds allow you to start with just ₹500 through a SIP (Systematic Investment Plan). Lump sum investments may require a higher amount.
9. What is a SIP?
A Systematic Investment Plan (SIP) lets you invest a fixed amount at regular intervals — usually monthly. It helps:
Build financial discipline
Average out market ups and downs (rupee cost averaging)
Accumulate wealth over time
10. Can I Track My Investments on EzyMoneyDeals?
Yes! Your EzyMoneyDeals dashboard lets you:
View your mutual fund portfolio
Track performance
Access transaction history and statements — all in one place
11. Are Mutual Funds Safe?
Mutual funds are subject to market risks, but the risk level varies by fund type. With the right fund choice, aligned to your goals and risk appetite, you can invest wisely.
12. How to Redeem Mutual Fund Units?
Log in to EzyMoneyDeals and place a redemption request online. Funds usually get credited to your bank account within 1 to 3 business days.
Mutual Funds – Frequently Asked Questions
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