Whichis the right form of investment ? is it buying of shares through your stock broker or mutual fund application through banks and investment companies.

I think both investment are good depending on ur risk appetite. reason:

lets do a brief defination:

Direct Stocks: Singular investment with high risk, u r exposed to all the risk available in the market as at then n u r exposed to all the profit u can grab as well but u must be knowledgeable abt the market.

Mutual Funds: Is a combination of various investment vehicle i.e Stocks, real estate, Bonds, T-bills, Fixed income instument etc. (Diversification). it as well depends on the type of fund u r getting into ( Balanced or Aggressive) it goes as far as balancing btw risk n return.

For example: A&B makes investment, A goes for mutual funds while B goes for Stocks. so if there is a deep in the market A will not be hit as bad as B would.

If u r a regular player in the market (capital) by now u would ve known n understand the trend of the market. when the market is bullish u make super abnormal returns than u will make in a mutual fund n when the market is bearish u make less return than u would in a mutual fund. Basicly mutual funds r safer for the long time cos majority of them are properly managed by fund manager.

I can go on n on abt this cos i love mutual funds.

lets read other opinion as well.

Mutual Funds, i'll say is less risky and of course there's diversification and my opinion about funds generally is that , its for the passive investor, not everyone has the time to deal with the Stock market, so funds could be a good alternative for such people,
As aone of my good teachers say, As the stock market rises funds rises and also as it falls so do funds, i'll like you to try and monotor that statement urself,

But as for me i love the Stock so, much because i love taking risk and i mean Worth risks, so its basically ur risk appetite and investor type,

The problem with mutual funds is their management fee. You can always diversify on your own.

my name is NWACHUKWU AFAM and i work with ASSET AND RESOURCE INVESTMENT MANAGEMENT COMPANY(ARM)of the oldest asset management company.

The company is into financial advisory services and asset management(mutual fund).

We at ARM manage the DISCOVERY FUND AND AGGRESSIVE GROWTH FUND.

You can reach me on 08038673022,to help you realise your investment needs.

Also,for the management fee issue,we just take 1.5%of the net asset value(NAV) ONLY.

Mutual funds are definitely less risky but if you are worried about the management fees they charge. You could invest in the Index itself . This means you dont have to rack your brain as to how you will diversify your portfolio.

However this also means you can't generate abnormal returns or beat the market