1. MUTUAL FUNDS-INVESTOR NEEDS
AND INVESTMENT OBJECTIVES

2. CONTENTS
 MUTUAL FUNDS
 WORKING
 WHO ARE INVESTORS??
 NEEDS OF INVESTORS
 BEFORE INVESTING IN MF’S
 INVESTMENT OBJECTIVES
 WHY DO INVESTORS NEED TO INVEST IN
MUTUAL FUNDS?
 CONCLUSION

3. MUTUAL FUNDS
 An investment vehicle that is made up of a pool of funds
collected from many investors for the purpose of investing
in securities such as stocks, bonds, money market
instruments and similar assets.
 Mutual funds are operated by money managers, who
invest the fund's capital and attempt to produce capital
gains and income for the fund's investors.
 A mutual fund's portfolio is structured and maintained to
match the investment objectives stated in its prospectus.

5. WHO ARE INVESTORS??
 An investor is a person who allocates capital with
the expectation of a future financial return.
 Types of investment include : mutual funds,
equity, debt securities , real
estate currency, commodity.
 Someone who provides a business with capital and
someone who buys a stock are both investors. An
investor who owns a stock is a shareholder.

6. NEEDS OF INVESTORS
Earn return on
idle resources
Make a
provision of
uncertain
future
Generate a
specified sum
of money for
specified goal
in life

7. BEFORE
INVESTING
IN MF’S
Match your
objectives
Charges
and fees
Evaluate
performance
Fund
managers
capabilities
Risk vs
Reward
Tax
treatment

8. INVESTMENT OBJECTIVES
Why are
you
investing?
Increase
income
Increase
saving
Finance
expenses
Fight
inflation
Reduce
tax
liability
Buying home, building a
retirement corpus,
child’s education and
marriage, legacy
planning

9. WHY DO INVESTORS NEED TO INVEST IN MUTUAL
FUNDS?
Manage
inflation
Expertise Convenience
Economical Diversification Liquidity
High return
Safe and
transparent

10. CONCLUSION
Making money on investing should depend “on the
amount of intelligent effort the investor is willing and
able to bring to bear on his task” of security
analysis.