Basic objective of this article is to analysis on Select the Right Mutual Funds. Systematically mutual funds are an excellent avenue to diversify your current investments, it is essential that you choose the best fund. The individual risk appetite differs from one individual to another and usually the investor is the greatest judge of how much financial risk he desires to undertake. The standard principle is “Higher the risk, Higher the Return”. Hence the second tip should be to carefully consider your “Personal Risk-Return Trade-Off”. It depends on various factors for instance your age, income, various other savings, financial and physical assets whilst your attitude towards life also.