FUND OF FUNDS

FUND OF FUNDS

Fund of funds is another type of scheme available in the market. This schemes invests its funds into another mutual fund scheme and is hence known as fund of funds. The target objective of the scheme is met through the selection of several other schemes in the portfolio with the desired weights. Several funds invest their corpus into schemes of their own fund house while another variety of fund of fund schemes invest the amount into schemes from other fund houses too.