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105.'' Financial liberalization , catalyzed by social transformation in the country, has changed the mindset of the prudent investors , which enabled him to find new alternatives for his investments.'' In this context , explain the various alternative to the investment in the Financial Services Indusrty.
Financial liberalization , catalyzed by social transformation in the country , has changed the mindest of the prudent investors , which enabled him to find new alternatives for his investments . MF is the best alternative for the retail investors to make his investment optimum with efficient portfolio .MF Industry is changing its hue as an imperative investment option in the metro cities and towns for the retail investors in India , after term deposits with banks and post offices . MFs ' offers an array of schemes for both risk takers and risk averters to meet their diversified financial objectives like risk minimization , returns maximization , consistent returns , tax savings , short-term capital gains and the like. Mutual Funds fulfill most of the financial objectives of the cautions and the avaricious investors through a variety of schemes like income plan, equity schemes , balanced funds, gilt plans , tax savings schemes , and money market MF schemes.
Ans: The Financial Services Industry can be broadly classified into the followings categories:
- Saving instruments- Bank deposits
- Risk cover instruments -Insurance
- Borrowing -Housing and consumer loans
- Investment vehicles -Real estate, bullions , small savings schemes , stock market and Mutual Funds.