Stocks or a mutual funds both comes under Equity category and these are good for long-term investment.There are some differences between stock investing and mutual fund investing that is done by a common man.It’s a good to know where they differ,so that one can take better investing decisions.
Let’s look at the main differences.
Mutual Funds are actually collection of stocks only but just because it’s a group of stocks the characteristics are not very similar to that of stocks. You should be clear about all the points of difference and only after that you should decide whether to invest in Stocks directly or take the Mutual Fund route.
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