What is the primary distinction between International Funds and Global Funds?

International Funds invest in all countries, including the investor's home country, while Global Funds exclude the investor's country. Global Funds invest in all countries, including the investor's home country, while International Funds exclude the investor's country. International Funds focus on specific sectors, whereas Global Funds invest broadly across all sectors. Global Funds are actively managed, while International Funds are passively managed.

Which type of International Fund would be most suitable for an investor seeking to capitalize on the growth of a particular industry worldwide?

Regional Funds Country Funds Global Sector Funds Global Funds

How can investing in International Mutual Funds contribute to cost-effectiveness in a portfolio?

By providing exposure to potentially undervalued markets. By eliminating the need for diversification in other asset classes. By guaranteeing higher returns than domestic investments. By reducing the overall expense ratios of the portfolio.

What is a key risk factor to consider when investing in International Mutual Funds?

Fluctuations in currency exchange rates. Limited investment options compared to domestic markets. Lack of regulation in international markets. Guaranteed lower returns than domestic investments.

How are International Mutual Funds typically treated for tax purposes in India?

As equity funds, subject to equity fund tax regulations. As debt funds, subject to debt fund tax regulations. As hybrid funds, subject to a combination of equity and debt fund regulations. As tax-exempt investments, with no applicable tax liabilities.