Money Talk India Finance Forum (MTIFF)
Would you like to react to this message? Create an account in a few clicks or log in to continue.

Returns in mutual funds.......

Go down

Returns in mutual funds....... Empty Returns in mutual funds.......

Post by jiten702 Fri Oct 15 2010, 17:28

You can expect returns from mutual funds in two ways:-

1.Capital Appreciation
2.Dividend Distribution

Capital Appreciation : A rise in the value of an units of the fund is known as capital appreciation. As the value of individual securities in the fund increases, the fund's unit price increases. An investor can book a profit by selling the units at prices higher than the price at which he bought the units.

Dividend Distribution : The profit earned by the fund is distributed among unit holders in the form of dividends. Dividend distribution again is of two types. It can either be re-invested in the fund or can be on paid to the investor.


Male Number of posts : 51
Age : 40
Location : India
Registration date : 2010-08-09

Back to top Go down

Back to top

- Similar topics

Permissions in this forum:
You cannot reply to topics in this forum