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Preface
The National Stock Exchange of India Ltd. (NSE), set up in the year
1993, is today the largest stock exchange in India and a preferred exchange
for trading in equity, debt and derivatives instruments by investors. NSE has
set up a sophisticated electronic trading, clearing and settlement platform and
its infrastructure serves as a role model for the securities industry. The
standards set by NSE in terms of market practices; products and technology
have become industry benchmarks and are being replicated by many other
market participants.
NSE has four broad segments Wholesale Debt Market Segment (commenced
in June 1994), Capital Market Segment (commenced in November 1994)
Futures and Options Segment (commenced June 2000) and the Currency
Derivatives segment (commenced in August 2008). Various products which
are traded on the NSE include, equity shares, bonds, debentures, warrants,
exchange traded funds, mutual funds, government securities, futures and
options on indices & single stocks and currency futures. Thousands of
investors rely on the NSE’s accessible, liquid and transparent markets for
order execution.
At NSE, it has always been our endeavour to continuously upgrade the skills
and proficiency of the Indian investor. Since, mutual funds play a crucial role
in channelising the savings of investors, it becomes important to understand
how they function. Mutual funds offer various products catering to different
classes of investors. It is important to understand them before investing.
This module has been developed for those of you who are keen to acquire
some basic but key information about mutual funds as an initial step towards
becoming a more informed investor. We hope this module will act as a means
of satisfying some of your initial queries on mutual funds.
This book has developed with the assistance of M/s Money Bee Institute
whose details are provided below:
Money Bee Institute
"Yashashree"
Sudarshan SBI Officer's Society,
Hindustan Colony, Amravati Road,
Nagpur – 440010. (Tel nos : 9860641317 / 9967654979)
Email : moneybee.finplan@gmail.com
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CONTENTS
CHAPTER 1...................................................................................... 5
MUTUAL FUNDS ............................................................................... 5
1.1 INTRODUCTION.......................................................................................... 5
