Abt mutual funds?

Wt r mutual funds? Is it advisable to reduce the tax and get benefited! Which company,type,period,etc., is good for my investment(im 22years,freshly joined in a software company & now my sal is 2.11 lac /- in india & after traning 6 months they may give 2.8 lacs) so plz suggest hw much to invest,type,period,company,etc... needed things