
Choosing between active and passive mutual funds is one of the first decisions every investor faces. Pooja Bhinde, Certified Financial Planner, PB Investments, explains the key differences in a simple way. She says passive funds replicate an index like the Nifty 50 or Sensex, while active funds are managed by professional fund managers aiming to outperform the benchmark and generate higher returns. Watch this detailed discussion to understand how both investment strategies work and which option may suit your financial goals and risk profile.