NISM 5B Mutual Fund Foundation Certification Exam Notes

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  • Saving vs. Investment: Saving involves setting aside money for future use with minimal risk, while investment involves deploying money to generate returns, often with higher risk.
  • Asset Classes: Investments can be categorized into equity, debt, real estate, and commodities, each with distinct risk-return profiles.
  • Equity Investments: Equity represents ownership in a company, offering potential capital appreciation but with higher volatility.
  • Debt Investments: Debt instruments like bonds provide fixed returns and are generally less risky than equity.
  • Real Estate: Real estate is illiquid, location-dependent, and can generate rental income alongside capital appreciation.

NISM 5B Mutual Fund Foundation

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