Which investment is better, a mutual fund or a chit fund?
Chit Fund Vs Mutual Fund Saving money a little every month can be a blessing when a dire financial need strikes us. A small amount gradually grows over the months and years to become a lumpsum amount even before you know it! You could also enjoy dividends and interests depending on which financial instrument you invest! Two of the most common investment tools are the Chit Funds and Mutual Funds. Both these tools allow you to save a small amount consistently to form a bigger saving amount. In both cases, people come together to pool their money periodically i.e. mostly monthly. Before we jump into the difference between chit funds and mutual funds , let’s get familiar with the basics. Chit Fund Chit fund began as an idea to pool funds for urgent needs such as medical emergencies, marriage, land purchase, etc. It also goes by the name of...