Should we trust our money to foreigners and shady operators?

Seems that Indians are putting more money into shares, through equity mutual funds, than on physical assets, such as real estate and gold. Gold prices are dropping so people maybe waiting for it to reach some kind of bottom before investing in gold again. Property prices are also dropping because the government is cracking down hard on black money. This is good because investment in gold is completely non-productive while the boom in property prices, while encouraging a frenzy of construction activity, was more like a ponzy scheme which made it impossible for ordinary people to buy their own properties and increased poverty by wasting money on rent. So is it going to be beneficial for people to invest in equity mutual funds? We are constantly being advised to invest in shares through mutual funds by investing some money every month, the so called Systematic Investment Plan, which apparently smooths the risks of stock market volatility. But is it as safe as it is made out to be or are these people conning us because they work in mutual funds or brokerages? Mutual fund managers are only interested in launching new schemes, so that they have similar products under different names, confusing the public. Not understanding the trade jargon people hand over their money, expecting guaranteed returns. The reason for launching new products is that funds take hefty cuts right at the beginning, reducing the amount invested but increasing bonuses of managers. Equity analysts are accused of bias if they write negative opinions. Ketan Parekh, who was banned from trading in stocks because of illegal activities, is still playing the markets through off shore channels. So, if people are being forced to invest in stocks because they have no other avenue then it is dangerous. We have seen the recent crash in the Chinese stock market. The Chinese economy is 5 times the size of India's, China has $4 trillion in reserves, and the Communist Party is absolute. China rescued its market by forcing brokers to buy stocks, by banning large stakeholders from selling stocks, by forcing banks to lend money to retail investors to buy stocks, which is known as margin trading, and by banning Initial Public Offerings so that people did not sell old stocks to buy new ones. While the Chinese stock market is not a very large part of the economy the Indian market is largely controlled by foreign investors who can terrify the government from changing tax laws or forcing transparency in Participatory Notes, a route for black money and terror funding. Foreign investors are already hedging against large falls in Indian share prices when the Federal Reserve raises interest rate in September. Just over 1 month away. Poor Indians. They will get burned again.