With reference to the Mutual Funds, consider the following statements:

In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI).

Mutual funds are guaranteed to provide higher returns than bank deposits.

Investors in mutual funds do not face any market risk.

Select the correct option from the codes given below:

Question

In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI). Correct: In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI) under the SEBI (Mutual Funds) Regulations, 1996.
Mutual funds are guaranteed to provide higher returns than bank deposits. Incorrect: Unlike bank deposits, which often come with guaranteed returns, mutual funds' returns are subject to market fluctuations and are not assured.
Investors in mutual funds do not face any market risk. Incorrect: Investors in mutual funds are exposed to market risks, and the value of their investments can go up or down based on market conditions.

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In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI). Correct: In India, mutual funds are regulated by the Securities and Exchange Board of India (SEBI) under the SEBI (Mutual Funds) Regulations, 1996.
Mutual funds are guaranteed to provide higher returns than bank deposits. Incorrect: Unlike bank deposits, which often come with guaranteed returns, mutual funds' returns are subject to market fluctuations and are not assured.
Investors in mutual funds do not face any market risk. Incorrect: Investors in mutual funds are exposed to market risks, and the value of their investments can go up or down based on market conditions.

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