Frequently Asked Questions

A mutual fund pools money from many investors to invest in stocks, bonds, or other securities. Professional fund managers handle these investments with the goal of generating returns while spreading risk across multiple securities.
A distributor helps you identify suitable funds based on your financial goals, risk appetite, and investment horizon. They provide ongoing advisory support, portfolio monitoring, and assist with transactions to keep your investments aligned.
Mutual funds are market-linked, which means returns are subject to market risks. However, they are regulated by SEBI (Securities and Exchange Board of India), ensuring transparency and strong investor protection measures.

To start investing, you need to complete KYC (Know Your Customer) with these essential documents:

  • PAN card for tax identification
  • Address proof (Aadhaar, Passport, Driving License)
  • Recent passport-size photograph
  • Active bank account details

Equity Funds

High growth potential funds that invest primarily in stocks. These are ideal for long-term wealth creation and are suitable for investors with higher risk tolerance and longer investment horizons.

Debt Funds

Relatively stable funds that invest in bonds and fixed-income securities. These are suitable for conservative investors seeking steady returns with lower volatility compared to equity funds.

Hybrid Funds

A balanced mix of equity and debt investments, these funds offer a middle ground between growth and stability. Perfect for investors seeking moderate risk with diversified exposure.

Portfolio Management Services (PMS)

PMS offers bespoke investment services for high-net-worth investors with customized portfolios. Unlike mutual funds, PMS accounts are individually managed with minimum investment of ₹50 lakh as per SEBI guidelines.

Gains are taxed directly in the investor's hands with capital gains treatment, providing transparency and personalized strategies.

Alternative Investment Funds (AIFs)

AIFs are privately pooled vehicles investing in alternative asset classes like private equity, venture capital, hedge funds, real estate, and structured credit with minimum investment of ₹1 crore.

Suitable for sophisticated investors with higher risk appetite and longterm horizons, including HNIs, family offices, and institutions seeking diversification.

You can start with as little as ₹500 per month through a Systematic Investment Plan (SIP). The ideal amount depends on your financial goals, risk profile, and investment time horizon.
A SIP allows you to invest a fixed amount at regular intervals in a mutual fund scheme. It builds wealth gradually, averages purchase costs over time, and instills financial discipline.
A Systematic Withdrawal Plan (SWP) allows you to withdraw a fixed amount from your mutual fund investments at regular intervals. It's ideal for generating a steady income stream, especially during retirement.
Open-ended funds can be redeemed anytime, providing liquidity when needed. However, some funds may have a lock-in period (like ELSS with 3 years) or exit loads for early withdrawal.

What is GIFT City?

Gujarat International Finance Tec-City is India's first International Financial Services Centre (IFS C), offering a globally competitive financial ecosystem with tax friendly regulations for both domestic and international investors.

Investment Options Available

Access international mutual funds and E TFs, global equities and bonds, AIFs and PMS structures based in IFSC, plus offshore funds with attractive Indian tax benefits.

Tax Benefits

Enjoy exemption from capital gains tax on specified securities, no GST on financial services, concessional rates for eligible investors, and 10-year tax holidays for qualifying IFSC operations.

Eligible Investors

Both Resident Indians (within LRS limits) and NRIs/foreign investors can participate, offering seamless global investment access with lower costs than Singapore or Dubai

Tax Treatment-

Equity Funds:

  • Short-term (<1 year): 15% tax
  • Long-term (>1 year): 10% tax above ₹1 lakh

Debt Funds: Taxed as per your income slab (post-2023). Dividends are also taxable in your hands at applicable rates.

Fee Structure-

Mutual funds charge an E xpense Ratio that covers management and operational costs. There are no separate charges for investing through registered distributors unless explicitly stated in the offer documents.

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