What is a key factor that influences investment choices?

"Risk Tolerance" "Investment Duration" "Age" "All of the above"

Why are mutual funds considered a good investment opportunity?

"They guarantee high returns." "They are not subject to market risks." "They have the potential to outperform inflation over time." "They are suitable for short-term investments."

Which type of mutual fund plan offers no cash payout and reinvests profits?

"Dividend Payout Plan" "Growth Plan" "Dividend Reinvestment Plan" "None of the above"

What is a characteristic of the Dividend Payout plan?

"Profits are reinvested to buy more units." "NAV remains unaffected by dividend payments." "Dividends are credited to the investor's account." "It is ideal for long-term capital growth."

Why is the Dividend Reinvestment plan not considered beneficial?

"It leads to a decrease in the number of units held." "It generates lower returns compared to the Growth plan." "It doesn't offer any additional returns despite increasing units." "It incurs high transaction costs for reinvesting dividends."

What is the recommended investment plan for long-term capital appreciation?

"Dividend Payout Plan" "Dividend Reinvestment Plan" "Growth Plan" "A combination of all three plans"