Are MutualFund investments protected? Aadhav, 27 Dec 2013

Dear Sir, I am planning to invest in 3 Mutual Funds on Long and Mid term funds, and all 3 funds I have selected are from same fund house(HDFC), so I would like to know for any reason if HDFC is bankrupt what will happen to my investments? Are they protected somehow?

Fintotal Answer

Just remember that the money which you give them actually goes to a trust and you are the unit holders of that trust. So even if the AMC closes down, the money is lying in the trust a/c and does not go in their pocket. In fact you can be rest assured that mutual funds are very well regulated by SEBI in India.

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