Mutual Funds is an extremely popular financial instrument for long term investment and wealth creation for over last 20 years. We come across several clients who are unaware of the importance of investing in mutual funds. You don’t directly own the company’s stocks that mutual funds purchases. However, you share the profit or loss equally with the other investors of the pool. Pooling money from several investors and then investing it in a precisely built portfolio of diverse asset classes like debt, equity, money market instruments, and other funds.