The Indian capital market is robust and has remarkable growth. With registering a six fold increase in AUM over the last years. Mutual Fund is a investment and saving financial tool which is intended for those who do not directly invest in share market because of its risky and volatile in nature, but spellbound growth and returns given by the share market attracts investment in mutual fund investments. Since the announcement of 1991?s liberalization policy the growth of Indian Economy is astounding and per capita income has also increased. Last two decades saw a very high growth of upper middle and lower middle class in India. The increased income of that middle class group increased the demand for financial products and services. This sector of the people are targeted by almost all Mutual fund companies, Although the mutual fund companies are partially successful in converting middle class people in to investors but there is need for creating more awareness about the mutual funds and related schemes.

India is a country where individual investors prefer for risk free avenues of investments which provide stable return. Bank fixed and recurring deposits are one of the most favourable investments because they give protected return, but the return from the deposits is not in line with the inflation. The investor has a very less access to gain insight about various investment avenues and sometimes even when they get the information they do know to understand the products and their workings.