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Okoronkwonnamdia
Okoronkwonnamdia
Asked: September 7, 20262026-09-07T17:19:37+00:00 2026-09-07T17:19:37+00:00In: BANKING & FINANCIAL SERVICES

Why is mutual funds better than fixed deposit?

In terms of money gains per month,why is mutual funds greater than fixed deposit.

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  1. Umar Ibraheem
    Umar Ibraheem
    2026-09-08T05:05:43+00:00Added an answer about 5 days ago

    Mutual funds mostly you agreeing or loaning someone to business the percentage gain can be 41% but fixed deposit max can be 12% but in this situation,bank have make 10x of your money Make sure you make more research

    Mutual funds mostly you agreeing or loaning someone to business the percentage gain can be 41% but fixed deposit max can be 12% but in this situation,bank have make 10x of your money
    Make sure you make more research

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  2. Bryant
    Bryant
    2026-09-07T19:15:14+00:00Added an answer about 5 days ago

    A mutual fund can generate more monthly income than a fixed deposit when its underlying investments earn a higher return than the bank's fixed-deposit rate. Its returns can also be reinvested, allowing compounding to increase future gains. Fixed deposits usually lock your money at a predetermined inRead more

    A mutual fund can generate more monthly income than a fixed deposit when its underlying investments earn a higher return than the bank’s fixed-deposit rate.
    Its returns can also be reinvested, allowing compounding to increase future gains.
    Fixed deposits usually lock your money at a predetermined interest rate for a fixed period.
    However, a mutual fund is not automatically better—its returns are variable and can sometimes be lower than a fixed deposit.

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  3. Emmanuel Samuel
    Emmanuel Samuel
    2026-09-07T17:54:28+00:00Added an answer about 5 days ago

    In terms of the word mutual funds it refers to diversification of funds. It is way better because it helps to provide fund flexibility because at anytime you can request for withdrawal and get it also you can invest in so many mutual funds and begetting returns on a daily basis but fixed deposit youRead more

    In terms of the word mutual funds it refers to diversification of funds. It is way better because it helps to provide fund flexibility because at anytime you can request for withdrawal and get it also you can invest in so many mutual funds and begetting returns on a daily basis but fixed deposit you can only withdraw on the said fixed date and if you want to force a withdrawal then a penalty is attached to it but for mutual funds no penalty at all. So that’s why I believe mutual funds is better.

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  4. Emoze55
    Emoze55
    2026-09-07T17:26:48+00:00Added an answer about 5 days ago

    Mutual funds can be better than fixed deposits because they offer higher growth potential, better diversification, and more flexibility, while fixed deposits usually provide a fixed, predictable return. Mutual funds have greater potential to beat inflation and grow your money over time, though theyRead more

    Mutual funds can be better than fixed deposits because they offer higher growth potential, better diversification, and more flexibility, while fixed deposits usually provide a fixed, predictable return. Mutual funds have greater potential to beat inflation and grow your money over time, though they also carry more investment risk.

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