Not Much Of A Difference

Arun Chhabaria is a first-time investor. He’s seen the Sensex rally unfolding in the news channels everyday and has read about its record-breaking achievements in the newspapers. People around him are raking in large amounts of profits, albeit at a high risk factor. Arun Chhabaria wants a piece of the pie as well, but he can’t handle the high risk that comes with direct equity investments. Someone suggested mutual funds and after having studied them for a while, Chhabaria decides that mutual funds are just the right kind of investment he’s looking for. They provide decent returns and are not as risky as equities. So the time has come for him to pick the funds he wants to invest in. He’s decided on a particular fund but is

This article was originally published on May 27, 2008.