Mutual and other Funds

53. What is the relationship between a Fund Manager and the investors in relation to Funds?

Ans: The Fund Manager has the discretion to utilize the Funds of the unit holders or the investors; the latter must be able to evaluate if these are indeed bona fide transactions. In case of crossholding ,an investor must be able to gauge how frequently a Fund has transacted in such securities .An investors must be able to determine if the turnover ratio for this select class of securities is higher than the rest , indicating ,probably the malafide intension of the corporate unit holder.