• 36. '' Any Offer Documents , as required by law , will contain the information about investment objectives and investment strategies .'' In this context , describe the investment objectives and strategies given in an Offer Documents.

    To select a suitable Fund , investors should read the Fund's Offer Documents completely before making investment. Any Offer Documents , as required by law , will contain the information about investment objectives and investment strategies. By reading investment objectives , the Funds's financial goals and the types of securities chosen can be known .  The investment objectives cannot be changed unless investors of the Fund give their consent by way of voting .An investor can make out whether the Fund is/it not advisable for him based on his decision that the Fund's goals are/aren't congruent with his own investment goals . By reading the investment strategies , the investors can know the way in which the Fund allocates and manages its resources to achieve its investment objectives .The investors should also ensure that the Fund is comparing itself with an appropriate benchmark. Investors should be clear about the distribution policy of the Fund .Fund levies distribution costs to its investors out of the realized capital gains , dividends , interest or other income received from the securities and investing activities of the Fund.

    Ans: Investors Objective: The Offer Document define the goal of the Fund .The goal of the Fund could be to provide income or long-term capital appreciation . Investors need to be sure that the Fund's objective matches their objective.

    Investment Strategies: Since Mutual Funds are essentially pools of money managed by a professional money manager , there are diverse Mutual Fund investment strategies .The AMC may, in the interest of investors , decide to shift full or part of the  investment to Equity Funds, or Fixed Income Funds or Money Market  Funds after making adequate disclosure to the investors.