Mutual funds serve as an essential investment vehicle, allowing individuals to pool resources and access diversified portfolios managed by professional fund managers. By investing in a variety of securities, including stocks, bonds, and commodities, mutual funds offer investors the potential for returns while mitigating individual risk. These funds provide multiple investment options, such as liquid funds, balanced funds, growth funds, and index funds, aligning with investors’ specific financial goals. Investment decisions, however, are influenced by numerous factors, including fund objectives, performance history, and market conditions. Understanding these determinants is critical for both investors and fund managers to optimize returns and manage risk effectively. This study examines the key factors that influence investment decisions in mutual funds, highlighting their relative importance in shaping investor behavior and fund performance.
Ramesh Chandra Bhattacharjee (2025) studied this question.