MBA (Finance) – IV Semester, Investment and Portfolio Management, Unit 1.2
Other Classification
The open-ended and close-ended schemes are classified on the basis of their objectives. Some of them are given below
The open-ended and close-ended schemes are classified on the basis
of their objectives. Some of them are given below
Growth Scheme Aims to
provide capital appreciation over medium to long term. Generally these funds invest their money in equities.
Income Scheme This
scheme aims to provide a regular return to its unit holders. Mostly these funds deploy their funds
in fixed income securities.
Balanced Scheme A
combination of steady return as well as reasonable growth. The funds of these schemes are invested in
equities and debt instruments.
Money Market Scheme This
type of fund invests its money on money market instruments like treasury bills, commercial paper, etc.
Tax Saving Schemes This
type of scheme offers tax rebates to investors. Equity linked savings schemes and pension schemes provide exemption from
capital gains on specific investment.
Index Scheme Here
investment is made on the equities of the index. Benchmark index is BSE sensex or NSE-50. The return are approximately equal
to the return on the index.
