Source from: www.amfiindia.com

Solution Oriented Fund is a recently introduced category of mutual funds by SEBI. It has created an easy path for the financial planning of complex long term objectives which may or may not need alteration in the strategy with respect to time. The schemes under this category have been operating long before the formation of the category. These funds were previously categorised under equity or balanced schemes. However, the separate category allows fund managers to follow unique strategies and deliver eccentric outputs. The fund manager of a solution-oriented fund is free to furbish the portfolio with equity or debt tools and can also change the strategy for investors of different age groups. Some of the solution oriented mutual funds also provide tax deductions. Majority of the schemes under this category have lock-in period as the investment objective is of long term.https://www.mysiponline.com/solution-oriented-funds#types

Mutual Funds Based on Structure

Open-Ended Funds: These are funds in which units are open for purchase or redemption through the year. All purchases/redemption of these fund units are done at prevailing NAVs. Basically these funds will allow investors to keep invest as long as they want. There are no limits on how much can be invested in the fund. They also tend to be actively managed which means that there is a fund manager who picks the places where investments will be made. These funds also charge a fee which can be higher than passively managed funds because of the active management. They are an ideal investment for those who want investment along with liquidity because they are not bound to any specific maturity periods. Which means that investors can withdraw their funds at any time they want thus giving them the liquidity they need.