Equity Mutual Fund

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What is an equity fund? An equity fund is a mutual fund that generally invests in stocks or shares of diff...
What is an equity fund? An equity fund is a mutual fund that generally invests in stocks or shares of different companies. These funds are also known as growth funds. They can be active or passive. Active funds have a fund manager who scans the market, conducts necessary research, and examines performances. Passive funds have a manager who builds a portfolio that mirrors a popular market index, such as Sensex. Equity mutual funds can also be divided based on market capitalization and they can be large, mid, small, or micro cap funds. Thus, equity funds aim to invest in a company’s shares and provide investors the benefit of diversification and professional management.
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