Question 49 of 90
Mutual funds are constituted in India as _____.
A
Companies
B
Trusts
C
Partnership firms
D
NGOs
Correct Option:
B
Explanation
In India, mutual funds are constituted as trusts under the Indian Trusts Act, 1882, and are regulated by SEBI under the SEBI (Mutual Funds) Regulations, 1996. The trustees hold the assets for the benefit of the unit holders, while the Asset Management Company (AMC) manages the investments.
