A mutual fund is an investment method which pools the savings of the clients and converts them into investment. The money is collected from clients having homogeneous investment requirements and is deployed in avenues such as equity, bonds, securities, certificate of deposit, commercial papers, etc. The money thus accumulated is managed by the fund managers appointed by the companies for providing maximum capital appreciation to the clients for their invested amount. A separate portfolio is maintained for each client to show his/her holdings. To conclude, we can say that a mutual fund is medium for earning copious returns through a secured network.