Fund managers are responsible for implementing a consistent investment strategy that reflects the goals and objectives of the fund. The fund manager's role extends to provide for cost-effective investments by monitoring market and economic trends and analysing securities in order to make informed investment decisions.
Normally the investment decision making process is team based involving research analysts, fund managers and chief investment officers (CIOs). Their role is to buy and sell based on their understanding of the markets, stocks and the economy based on the inputs from the research team and philosophy of the asset management company (AMC) which is reflected in the style with which they manage funds.
Actively managed funds have a portfolio of stocks which does not follow a buy and hold strategy; stock are bought and sold not to just achieve the fund's objective but also to manage redemptions and dividends. There is no defined frequency in which the portfolio is reshuffled; over time stock allocation goes up or down based on market movements, economic cycles and valuations.
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Also, know how to buy mutual funds online:
1) DSP BlackRock Mutual Funds:
http://prajnacapital.blogspot.com/2011/05/buying-dsp-blackrock-mutual-funds.html
2) Reliance Mutual Funds:
http://prajnacapital.blogspot.com/2011/06/buying-reliance-mutual-funds-online.html
3) Birla Sunlife Mutual Funds:
http://prajnacapital.blogspot.com/2011/06/buying-birla-sunlife-mutual-funds.html
4) UTI Mutual Funds:
http://prajnacapital.blogspot.com/2011/06/buying-uti-mutual-funds-online.html
5) SBI Mutual Funds:
http://prajnacapital.blogspot.com/2011/06/buying-sbi-mutual-funds-online.html
6) Edelweiss Mutual Funds:
http://prajnacapital.blogspot.com/2011/06/buying-edelweiss-mutual-funds-online.html