What are the risks of investing in a corpus fund?
Ans:
The risks of investing in a corpus fund are:
The fund may perform better than expected, and the investor may not get the desired return on investment.
There is a risk of the fund manager needing to generate enough returns to cover the fund's costs, which could eat into the corpus.
The fund may be subject to market fluctuations, and the investor could lose money.
There is a risk that the fund may not be able to meet its objectives, and the investor could end up with less money than they started with.