Mutual fund is an offering or a way for investing in different asset classes (i.e stocks, bonds, debentures, etc). Many confuse it for being an independent asset class.
It is different from an asset class and is a product offering for the purpose of investing. A mutual fund is a pool of money from like minded investors who want to invest in a particular security.
Investing in a mutual fund can be a lot easier than buying and selling securities on your own.
Investing in mutual funds have many benefits, most of them unknown to the common man. Whether the objective is financial gains or convenience, investments in mutual funds offer many advantages to its investors.
Professional management, affordability, diversification, liquidity are some of the benefits that can be reaped by investors.