FAQ (Frequently Asked Questions)

A mutual fund is a company that pools money from many investors and invests the money in securities such as stocks, bonds, and short-term debt. The combined holdings of the mutual fund are known as its portfolio. As an investor, you own shares that represent a portion of the holdings of the fund.

An SIP is a method of investing in mutual funds where you invest a fixed amount of money at regular intervals (usually monthly or quarterly). It helps in disciplined investing, rupee cost averaging, and harnessing the power of compounding to build wealth over the long term.

All mutual fund investments are subject to market risks. The value of your investment (NAV) can go up or down based on market performance. However, mutual funds are regulated by SEBI (Securities and Exchange Board of India), which ensures transparency. Diversification (spreading money across many stocks) in mutual funds helps reduce risk compared to investing in a single stock.

AMFI (Association of Mutual Funds in India) is the association of all mutual funds in India. An AMFI-registered distributor (like Myfolios, ARN: 145870) is certified to sell and advise on mutual fund schemes. This registration ensures that the distributor follows a code of conduct and is qualified to guide investors properly.

NAV stands for Net Asset Value. It is the price of one unit of a mutual fund scheme. It is calculated at the end of every business day by dividing the total value of all securities in a fund's portfolio (minus liabilities) by the total number of units issued.
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