In a circular dated October 6, 2018, Sebi broadly categorized mutual fund schemes equity schemes, debt schemes, hybrid schemes, solution oriented schemes and other schemes. There are a total 341 open-ended debt schemes in the market and around 1,028 close-ended schemes in total, according to Valueresearchonline.com. Debt funds invest in fixed income securities. As equity investments are riskier than debt instruments, most experts advise you to begin investments with your portfolio tilted more towards equity and then slowly move towards debt. When you move closer to retirement, you can switch to hybrid equity or debt schemes," said Nisreen Mamaji, CEO, Moneyworks Financial Advisors.

Source: Mint June 15, 2019 05:15 UTC