Risk Factors Associated with Investing Through Mutual Funds

Investing in mutual funds involves certain risks. Key risks include:

1. Market Risk: The value of mutual fund investments may fluctuate due to changes in market conditions.
2. Liquidity Risk: Some securities may not be easily traded, affecting timely redemptions.
3. Credit Risk: Debt-oriented funds carry the risk of issuer default on interest or principal payments.
4. Interest Rate Risk: Debt fund values are sensitive to interest rate changes, potentially impacting returns.
5. Inflation Risk: Inflation may erode the real value of investment returns over time.
6. Managerial Risk: Fund performance depends on the fund manager’s decisions, and incorrect calls may lead to underperformance.
7. Scheme-Specific Risks: Each mutual fund scheme carries unique risks, so investors should read the Scheme Information Document (SID) carefully.

Important Note

– Mutual Fund investments are subject to market risks.
– Read all scheme-related documents carefully.
– Past performance is not indicative of future results.
– As a Mutual Fund Distributor (MFD), we offer execution-only services and do not provide investment advice.
– Investors are advised to assess their risk tolerance and consult with a financial advisor if needed.