Mutual Fund units represent an investor's ownership in a Mutual Fund scheme. When you invest in a Mutual Fund, you are essentially buying units of the fund. These units represent your share of the overall holdings of the Mutual Fund scheme. The number of units you own is determined by the amount of money you invest and the fund's Net Asset Value (NAV) at the time of your investment. For example, if you invested Rs. 1,500 in a Mutual Fund and the NAV of the fund is Rs. 10 per unit, you will be allotted 150 units of the Mutual Fund.