Mutual fund portfolios can be actively managed or passively managed and they can be classified as Active funds or Passive Funds.
Investment portfolios of Active funds are designed by their respective fund managers but Passive funds mimic the indices they track.
Mutual Fund investments are subject to market risks, read all scheme related documents carefully. The NAVs of the schemes may go up or down depending upon the factors and forces affecting the securities market including the fluctuations in the interest rates. The past performance of the mutual funds is not necessarily indicative of future performance of the schemes.