. Professional Management: Mutual funds are professionally managed by the managers who acquire specific skill sets for the selection and management of a particular portfolio. Such professional management is supplemented with quite elaborate research on part of the fund managers with resultant investment decisions made in terms of economic conditions, company performance, and market trends. This, in turn goes on to produce the following tremendous benefits to investors who lack ample time or sufficient know-how to manage investments personally.
3. Liquidity: Mutual funds are highly liquid and with you, that one can easily sell or purchase units. In case of an open-ended mutual fund, one can redeem his/her units at any time at the existing net asset value (NAV) of the fund, thus making available your funds within a very short notice if desired.