A Study on Top 10 Mutual Funds in India for the Year 2021

The mutual funds are the financial instruments that pools the savings of number of investors who share a common financial goal. The investment of the mutual funds is invested in the securities like stocks, bonds, money market instruments, and other assets. Mutual funds are operated by professional money managers, who allocate the fund's assets and attempt to produce capital gains or income for the fund's investors. A mutual fund's portfolio is structured and maintained to match the investment objectives stated in its prospectus. Mutual funds give small or individual investors access to diversified, professionally managed portfolios at a low price.Mutual funds charge annual fees (called expense ratios) and, in some cases, commissions, which can affect their overall returns.

Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So, when you buy a unit or share of a mutual fund, you are buying the performance of its portfolio or, more precisely, a part of the portfolio's.
Each investor owns units, which represents a portion of holding of fund. The income generated from this collective investment is distributed proportionally among the investors after deducting the expenses by calculating a scheme’s “Net Asset Value (NAV)”.

Investing in a share of a mutual fund is different from investing in shares of stock. Unlike stock, mutual fund shares do not give its holders any voting rights. A share of a mutual fund represents investments in many different stocks (or other securities) instead of just one holding.