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34.'' To select a suitable Fund , investors should read the Fund's Offer Documents completely before making investment .'' In this context , explain how to select a suitable Fund?
Ans: Identifying a suitable Fund can be done in a two-step manner as follows:
a. In the first step, the investors should select a Fund and ensure whether its investment objectives and preference , return objectives , time horizon and risk tolerances meet his requirements
b. In the second step, the investor should select a Fund that has a detailed asset allocation strategy by Fund type category to reflect the investment objectives of the Fund.