Since last many years investors were aware of three key categories in equity funds, i.e Large-cap funds, Mid-cap funds and small-cap funds. However, SEBI has came up with a circular in October 2017 which changed the structure of the mutual fund industry.

Many investors while investing in the stock markets use various parameters before selecting a stock for the investment. Among all these parameters, the valuation is one of the key aspects for investors. In the case of mutual funds also investors should look into all the valuations keenly to understand the current situation of the mutual fund.

We hear a lot the disclaimer that all mutual fund investments are subject to market risk, then what does this market risk mean? Mark-to-market risk is what this disclosure is trying to warn about.

Many of the fund houses are coming up with the NFOs in the FMP category, that is, fixed maturity plans. In the month of July 2018, AMCs have launched more than 40 FMPs both in short and long-term tenure.

In the last few months, mutual fund investors have been witnessing the consistency in the losses from their mutual fund investment. You must have heard many times, of late, that the Indian markets are falling due to weak global cues or due to macroeconomic aspects. 

Double-digit returns in the longer term is what most mutual fund investors desire for. Mutual fund investments are meant for the long-term wealth creation and investors usually invest in the schemes for achieving long-term financial goals.

Recent market correction which has been an eye opener for the investors who were in the hallucination of bull run in the past couple of years and were expecting very high returns from the equity funds. In the recent past almost every category except IT has witnessed erosion in the returns.

To make the mutual fund investments more attractive and affordable, market regulator is aiming to push for digitalization. SEBI will take measures to bring cost-effectiveness by promoting go green initiatives through online transactions.

Indian mutual fund industry has registered an increase of the 8.62 lakh folios in the month of July 2018. This growth was led by the increased folios in the Liquid funds.

Investors were spooked by the recent market volatility which has led to negative returns. Things have turned investors more cautious which can be seen with the redemptions in the mutual fund. 

Every mutual fund investor is now aware of the SIP. Systematic investment plan (SIP) has now become the most favourite investment mode for investors.

With the huge volatility in the equity markets, many people are looking at debt funds as an investment option. But even the debt market seems to be volatile, currently. Also, RBI hiked its repo rate by 25 bps twice in the last two policy meets.