How do Most Bought Mutual Funds Work?

Most Bought Mutual Funds represent schemes that have attracted significant investor capital due to their performance history and management quality. These funds pool money from numerous investors to create diversified portfolios across various asset classes, depending on their mandate.

Fund managers analyse economic indicators, market trends, and company fundamentals to select securities with the most significant potential for returns. The "most bought" status often serves as a validation of the fund's strategy and performance consistency, reflecting widespread investor confidence.

These funds' popularity typically stems from their ability to deliver results across market cycles. However, investors should conduct independent research rather than invest solely based on popularity, as investment suitability varies according to individual financial goals and risk tolerance.