What is mutual fund ? how to get profit in mutual fund ? what will be the minimum amount to pay in mutual fund

A mutual fund is simply a financial intermediary that allows a group of investors to pool their money together with a predetermined investment objective. The mutual fund will have a fund manager who is responsible for investing the pooled money into specific securities (usually stocks or bonds). When you invest in a mutual fund, you are buying shares (or portions) of the mutual fund and become a shareholder of the fund.

Mutual funds are one of the best investments ever created because they are very cost efficient and very easy to invest in (you don't have to figure out which stocks or bonds to buy).

By pooling money together in a mutual fund, investors can purchase stocks or bonds with much lower trading costs than if they tried to do it on their own. But the biggest advantage to mutual funds is diversification.

Remember that Mutual Fund investmenst are long term investments if you are looking to book good profit. Systematically invest in mutual funds preferably through the SIP (Systematic Investment Plan). You can start with investment as low as Rs 500/- per month through SIP. The Minimum tenure is six months.

You can also go for one time investment in which case the minimum amount is generally Rs 500/-

Go through the following wesites which will give you detailed information on mutual funds and help you in choosing in which fund to apply

http://www.valueresearchonline.com
http://www.moneycontrol.com/mutualfundin...

MINIMUM AMT IS RS. 5000 FOR ONE TIME INVESTMENT AND RS.500 MONTHLY, DIVERSIFY YOUR INVESTMENT IN DIFFERNT SECTOR, CHOOSE A LARGECAP INVESTMENTS LIKE RELIANCE GROWTH, RELIANCE VISION, DSPML TIGER FUND, JM BASIC ETC

get in touch for all you want to know about mutual funds
Happy investing