Role of mutual funds in diversifying your investment strategyExplore HDFC Mutual Fund and their diverse mutual fund schemes today to begin building your diversified investment journey and secure a prosperous future. Types of mutual fund schemes for diversificationTo achieve optimum diversification, understanding different types of mutual fund schemes is essential. How mutual funds reduce risk through diversificationThe power of mutual funds to reduce risk lies in their diversified holdings and professional management. Common myths about mutual funds and diversificationDespite its proven benefits, several myths persist regarding mutual funds and diversification:Myth 1: Mutual funds are only for wealthy investorsFact: Mutual funds have low minimum investment thresholds, sometimes as low as Rs. Mutual funds are only for wealthy investors Mutual funds have low minimum investment thresholds, sometimes as low as Rs.