comparative analysis of risk factor:

by ujjwal » Tue Apr 14, 2009 07:00 pm
Posts: 1
Joined: 14 Apr 2009

comparative analysis of risk factor: shares vs mutual funds

Total Comments: 3

Posted: Wed Apr 15, 2009 10:58 am Post Subject:

Hi,

It's advisable that you don't deal with share market investments till you've gained a fair amount of knowledge on share operations. It's even more significant under the present downturn. In comparison, the mutual funds are a bit safer..as the money gets diversified across a wide range of securities and the people who do it are experienced fund managers with a much better understanding of the market. Steven

Posted: Wed Apr 15, 2009 11:22 am Post Subject:

Okay, general investors are advised not to invest in share market since its extremely volatile, rather they can invest in the mutual funds to dissipate the risk. The mutual funds would allow the investor to put money in a variety of investment options of varied risk and return and thus mitigate the risk. Therefore, you may not lose out the entire money that you have invested by investing in mutual fund.

Share market operation, as Steven has mentioned, is more applicable to the savvy investors, who can pick the trend of the market more easily.

Hope the information helps.

Thanks,
Rupert

Posted: Wed Apr 15, 2009 01:13 pm Post Subject: Shares vs Mutual Funds

Its always better to choose mutual fund route for investment if you have no idea about the trend of equity market.In both the cases risk factor is always there,But mutual fund analysts are professional and manage your portfolio in a better way.
There are lots of books available to learn technical and fundamental analysis of shares.If you are able to understand balance-sheet of company and analyze on your own, you can take decision to invest in shares.

Add your comment

Image CAPTCHA
Enter the characters shown in the image.