A STUDY ON GROWTH OF INDIAN MUTUAL FUND INDUSTRY

Mutual funds have become one of the most widely used financial investment tools in recent years.As a rapidly expanding segment of the Indian financial market, the mutual fund industry offers a diverse range of investment schemes designed to match the varying risk tolerance and return expectations of different investors.Mutual funds provide an accessible platform for small and medium-sized investors to engage in the modern financial system by purchasing units in a professionally managed fund.A mutual fund operates as a trust that pools the savings of numerous investors who share a common financial objective.These pooled funds are invested in equities, debt instruments, money market securities, or a combination of these asset classes.Each investor, referred to as a unit holder, owns a proportionate share of the fund's portfolio based on their contribution and the fund's net asset value (NAV).The returns-whether in the form of income, capital gains, or losses are distributed among unit holders in proportion to their holdings, after deducting applicable fees, expenses, and taxes.