An equity mutual fund is a type of investment where the fund manager strategically allocates funds towards companies that may not be performing well in the short term. The goal is to take advantage of potential long-term growth opportunities. This approach requires a thorough understanding of the market and the underlying companies, as well as the ability to foresee future trends. By carefully selecting and monitoring these undervalued stocks, the fund manager aims to generate profitable returns for investors in the long term.
