Mutual Funds: Most Popular Articles
These articles are the most popular over the last month.
Best S&P 500 Index Funds
Finding the best S&P 500 Index funds can be easy if you know what to look for. Here are a few of the top S&P 500 Index funds and why we recommend them.
Finding the best S&P 500 Index funds can be easy if you know what to look for. Here are a few of the top S&P 500 Index funds and why we recommend them.
Fixed Income 2013
Finding where to invest your fixed income savings in 2013 can be challenging. Learn the best investment and savings ideas for bonds, mutual funds, money markets and CD's.
Finding where to invest your fixed income savings in 2013 can be challenging. Learn the best investment and savings ideas for bonds, mutual funds, money markets and CD's.
What Are Mutual Funds?
As a popular investment option, you have probably already heard plenty about mutual funds. Chances are you own mutual funds in your retirement plan or brokerage account. In fact, according to the Investment Company Institute, more than 92 million individuals in the U.S. (about 45% of U.S. households) owned mutual funds in 2008. But do you know what mutual funds are and why so many people own them?
As a popular investment option, you have probably already heard plenty about mutual funds. Chances are you own mutual funds in your retirement plan or brokerage account. In fact, according to the Investment Company Institute, more than 92 million individuals in the U.S. (about 45% of U.S. households) owned mutual funds in 2008. But do you know what mutual funds are and why so many people own them?
Sectors 2013
The best and worst sectors in 2013 can be revealed by making some basic assumptions about market and economic assumptions. Find ETFs and index funds to maximize returns and minimize risk.
The best and worst sectors in 2013 can be revealed by making some basic assumptions about market and economic assumptions. Find ETFs and index funds to maximize returns and minimize risk.
Disadvantages of Funds
Before you invest, you should do your homework. Will you choose to use mutual funds, closed-end funds, ETFs, and/or individual stocks and bonds? Inevitably, your homework assignment will lead you to articles outlining the disadvantages of mutual funds. But are all of these so-called disadvantages of mutual funds really disadvantages of mutual funds? Let’s take a look at several so-called disadvantages of mutual funds,and how you can avoid them.
Before you invest, you should do your homework. Will you choose to use mutual funds, closed-end funds, ETFs, and/or individual stocks and bonds? Inevitably, your homework assignment will lead you to articles outlining the disadvantages of mutual funds. But are all of these so-called disadvantages of mutual funds really disadvantages of mutual funds? Let’s take a look at several so-called disadvantages of mutual funds,and how you can avoid them.
What Are Index Funds?
Index funds are mutual funds that are intended to track the returns of a market index. Index funds are considered to be passively managed because the portfolio manager of each index fund is replicating the index, rather than trading securities based on his or her view of the potential risk/reward characteristics of various securities. In recent years, more obscure indexes have been created.
Index funds are mutual funds that are intended to track the returns of a market index. Index funds are considered to be passively managed because the portfolio manager of each index fund is replicating the index, rather than trading securities based on his or her view of the potential risk/reward characteristics of various securities. In recent years, more obscure indexes have been created.
Best Bond Funds Rising Interest Rates
Which are the best bond mutual funds in a rising interest rate environment? Which bond funds do better against inflation? Knowing the basics on which funds perform best and which funds perform worst before and during higher interest rates and inflation is a crucial skill for the bond mutual fund investor.
Which are the best bond mutual funds in a rising interest rate environment? Which bond funds do better against inflation? Knowing the basics on which funds perform best and which funds perform worst before and during higher interest rates and inflation is a crucial skill for the bond mutual fund investor.
Mutual Funds 101
Mutual Funds 101 is the basics at its best and easiest; this is investing for dummies; and this is so easy a caveman can do it!
Mutual Funds 101 is the basics at its best and easiest; this is investing for dummies; and this is so easy a caveman can do it!
No-Load Fund Families
There are hundreds of fund families to choose from but there are only a few that offer investors a wide variety of high quality no-load funds. Find out which fund families are the best for no-load funds.
There are hundreds of fund families to choose from but there are only a few that offer investors a wide variety of high quality no-load funds. Find out which fund families are the best for no-load funds.
Asset Allocation - 2013
Asset allocation can have more impact on an investment portfolio's total return than the underlying investments. Be sure to know how and where to allocate stocks, bonds and cash in 2013.
Asset allocation can have more impact on an investment portfolio's total return than the underlying investments. Be sure to know how and where to allocate stocks, bonds and cash in 2013.
Dave Ramsey Mutual Funds
Dave Ramsey gets a few things right on mutual funds but several things wrong. Mutual fund investors can get some good tips from his talk radio show but they are wise to understand the difference between entertainment and sound investment practices.
Dave Ramsey gets a few things right on mutual funds but several things wrong. Mutual fund investors can get some good tips from his talk radio show but they are wise to understand the difference between entertainment and sound investment practices.
Build a Portfolio
Building a portfolio of mutual funds is similar to building a house: There are many different kinds of
Building a portfolio of mutual funds is similar to building a house: There are many different kinds of
Value vs Growth vs Index
Which investment strategy is best - value or growth? Are index funds better than both value and growth? Take a look at this historical data and review the performance charts for yourself and make an informed decision on the value vs growth vs index debate.
Which investment strategy is best - value or growth? Are index funds better than both value and growth? Take a look at this historical data and review the performance charts for yourself and make an informed decision on the value vs growth vs index debate.
How to Buy a Mutual Fund
You have decided to add mutual funds to your well-balanced portfolio. Your next step is to sift through the myriad of choices -- where do you buy mutual funds and how much is it going to cost you?
You have decided to add mutual funds to your well-balanced portfolio. Your next step is to sift through the myriad of choices -- where do you buy mutual funds and how much is it going to cost you?
Mutual Fund Definition
What is a mutual fund? In one simple explanation, learn the definition, basics, advantages and types of mutual funds.
What is a mutual fund? In one simple explanation, learn the definition, basics, advantages and types of mutual funds.
Bond Fund in 2013
What will interest rates do in the coming year? Fixed income investors will be challenged to find the best bond funds types for 2013. Find out how and where to invest now.
What will interest rates do in the coming year? Fixed income investors will be challenged to find the best bond funds types for 2013. Find out how and where to invest now.
Index Funds vs. Actively-Manag
The evidence shows that there are good active managers, but finding such managers in advance of their outperformance is difficult. According to Vanguard, for the 10 years leading up to 2007, the majority of actively-managed U.S. stock funds underperformed the index they were seeking to outperform.
The evidence shows that there are good active managers, but finding such managers in advance of their outperformance is difficult. According to Vanguard, for the 10 years leading up to 2007, the majority of actively-managed U.S. stock funds underperformed the index they were seeking to outperform.
Mutual Fund Distributions
Each year, generally in the last couple of months of the year, mutual fund shareholders face the possibility of receiving capital gains distributions from their mutual funds. Don’t be fooled by the capital gains distributions. These are not gains of the good sort.
Each year, generally in the last couple of months of the year, mutual fund shareholders face the possibility of receiving capital gains distributions from their mutual funds. Don’t be fooled by the capital gains distributions. These are not gains of the good sort.
TIPS Mutual Funds
TIPS mutual funds offer many advantages to investors. TIPS are bonds issued by the US Treasury that pay a coupon on the adjusted principal of the bond. The bond is adjusted on a semi-annual basis with the rate of the Consumer Price Index (a measure of inflation).
TIPS mutual funds offer many advantages to investors. TIPS are bonds issued by the US Treasury that pay a coupon on the adjusted principal of the bond. The bond is adjusted on a semi-annual basis with the rate of the Consumer Price Index (a measure of inflation).
How to Choose Best Funds
Choosing the best mutual funds can be easy. Learn how to find and choose the best mutual funds for you with simple and proven methods.
Choosing the best mutual funds can be easy. Learn how to find and choose the best mutual funds for you with simple and proven methods.
Mutual Fund Fees
There are various classes of shares of each mutual fund available for purchase (a mutual fund may offer various classes of shares to investors -- the differences are in the fees and expenses of each share class). Several common share classes are: Class A, Class B and Class C. Each share class requires a management and operating fee and many share classes charge a 12b-1 fee.
There are various classes of shares of each mutual fund available for purchase (a mutual fund may offer various classes of shares to investors -- the differences are in the fees and expenses of each share class). Several common share classes are: Class A, Class B and Class C. Each share class requires a management and operating fee and many share classes charge a 12b-1 fee.
How Bond Funds Work
Whether you are a beginner or a professional, understanding how bonds and bond mutual funds work can help investors understand other areas of finance and economics, such as stock investing and interest rates, and how they are all interrelated. Learn the basics on bonds and how bond funds work to become a better investor.
Whether you are a beginner or a professional, understanding how bonds and bond mutual funds work can help investors understand other areas of finance and economics, such as stock investing and interest rates, and how they are all interrelated. Learn the basics on bonds and how bond funds work to become a better investor.
Advantages of a Mutual Fund
There are many reasons to buy a mutual fund. While there are a plethora of investment options (individual stocks, ETFs and close-end funds, to name a few) if you buy a mutual fund, then you a simple, efficient way to invest for retirement, education or other financial goals.
There are many reasons to buy a mutual fund. While there are a plethora of investment options (individual stocks, ETFs and close-end funds, to name a few) if you buy a mutual fund, then you a simple, efficient way to invest for retirement, education or other financial goals.
Cheapest S&P 500 Funds
While cheaper doesn't necessarily mean better, you will find some of the cheapest S&P 500 funds that you can buy with $10,000 or less listed below.
While cheaper doesn't necessarily mean better, you will find some of the cheapest S&P 500 funds that you can buy with $10,000 or less listed below.
No-Load Mutual Funds
How many times have we been told that there is no free lunch? The same holds true with no-load mutual funds. No-load mutual funds are free of sales charges (loads), but they do have costs. All share classes of funds -- load or no load -- carry fees that are paid out of the fund’s assets to the fund’s investment advisors (as opposed to paying the advisor/broker who sells the fund).
How many times have we been told that there is no free lunch? The same holds true with no-load mutual funds. No-load mutual funds are free of sales charges (loads), but they do have costs. All share classes of funds -- load or no load -- carry fees that are paid out of the fund’s assets to the fund’s investment advisors (as opposed to paying the advisor/broker who sells the fund).
Fund Research Tools
Mutual fund research can be made easier with a good online research tool. Whether you are a beginner or a pro and if you are looking to buy the best mutual funds, review an existing fund, compare different funds or just trying to learn something new, these mutual fund research cites are among the best.
Mutual fund research can be made easier with a good online research tool. Whether you are a beginner or a pro and if you are looking to buy the best mutual funds, review an existing fund, compare different funds or just trying to learn something new, these mutual fund research cites are among the best.
2013 Portfolio
The make-up of each investor's portfolio of investments will reflect their own objectives and tolerance for risk. However, you can check the 2013 Mutual Funds Portfolio as a guide and for insight into making your own tactical and strategic moves.
The make-up of each investor's portfolio of investments will reflect their own objectives and tolerance for risk. However, you can check the 2013 Mutual Funds Portfolio as a guide and for insight into making your own tactical and strategic moves.
What Are Closed-End Funds?
Closed-end funds are often confused with, and mistakenly called, mutual funds. A major difference is that closed-end funds behave more like a stock -- the market value is driven by supply and demand for the shares. Perhaps the best way to understand a closed-end fund is to compare it with an open-end mutual fund.
Closed-end funds are often confused with, and mistakenly called, mutual funds. A major difference is that closed-end funds behave more like a stock -- the market value is driven by supply and demand for the shares. Perhaps the best way to understand a closed-end fund is to compare it with an open-end mutual fund.
Mutual Fund Basics
It's never too early or too late to review the basics of investing with mutual funds. Check out this easy list to get started or to get back on track toward investing success.
It's never too early or too late to review the basics of investing with mutual funds. Check out this easy list to get started or to get back on track toward investing success.
Analyze a Fund
There is more to analyzing a mutual fund than reviewing past performance. In fact, the best predictors of future performance include factors many investors overlook.
There is more to analyzing a mutual fund than reviewing past performance. In fact, the best predictors of future performance include factors many investors overlook.
Aggressive Portfolio
For an example of how to build an aggressive portfolio of mutual funds, take a look at this model allocation.
For an example of how to build an aggressive portfolio of mutual funds, take a look at this model allocation.
Analyzing Performance
Past performance of a mutual fund may not be a guarantee of future results but if you know how to analyze performance--if you know what to look for and what to avoid--you can make better investment decisions.
Past performance of a mutual fund may not be a guarantee of future results but if you know how to analyze performance--if you know what to look for and what to avoid--you can make better investment decisions.
Research Funds
Whether you use an advisor or you do it yourself, you might enjoy a few sites to help you research mutual funds. The first place to research mutual funds is the sites of the broker and/or mutual fund companies. If you feel compelled to research your mutual funds further, you might want to try one of the sites below.
Whether you use an advisor or you do it yourself, you might enjoy a few sites to help you research mutual funds. The first place to research mutual funds is the sites of the broker and/or mutual fund companies. If you feel compelled to research your mutual funds further, you might want to try one of the sites below.
Regulations of Funds
Regulation of mutual funds, compared to other pooled investment options is extensive. Mutual funds must comply with a strict set of rules that are monitored by the Securities and Exchange Commission.
Regulation of mutual funds, compared to other pooled investment options is extensive. Mutual funds must comply with a strict set of rules that are monitored by the Securities and Exchange Commission.
Standard Deviation
Standard deviation of historical mutual fund performance is used by investors in an attempt to predict a range of returns for various mutual funds.
Standard deviation of historical mutual fund performance is used by investors in an attempt to predict a range of returns for various mutual funds.
Gold Funds
Gold can be used as a hedge against inflation and a falling US dollar. But what is the best way to invest in this precious metal and commodity -- with mutual funds or ETFs?
Gold can be used as a hedge against inflation and a falling US dollar. But what is the best way to invest in this precious metal and commodity -- with mutual funds or ETFs?
Diversification
If the three most important things about investing in real estate are: “location, location and location,” then the three most important things about investing in equities are: “diversification, diversification and diversification.”
If the three most important things about investing in real estate are: “location, location and location,” then the three most important things about investing in equities are: “diversification, diversification and diversification.”
Fund Categories
Mutual funds are organized into categories by asset type (stocks, bonds and cash) and then further categorized by style, objective or strategy. Learning how mutual funds are categorized helps an investor choose the best funds for asset allocation and diversification purposes.
Mutual funds are organized into categories by asset type (stocks, bonds and cash) and then further categorized by style, objective or strategy. Learning how mutual funds are categorized helps an investor choose the best funds for asset allocation and diversification purposes.
Fixed Income Funds
Fixed income funds are an excellent diversification tool for investors’ portfolios. These fixed income funds come in many shapes and styles. Let’s start with five basic types of fixed income funds.
Fixed income funds are an excellent diversification tool for investors’ portfolios. These fixed income funds come in many shapes and styles. Let’s start with five basic types of fixed income funds.
Structure of Funds
Technically, mutual funds are “open-end” funds -- one of four types of investment companies. Closed-end funds, exchange-traded funds and unit investment trusts are the three other types. In order to understand the structure of mutual funds, it is helpful to compare other “40 Act Funds” – industry jargon for investment companies registered under the Investment Company Act of 1940.
Technically, mutual funds are “open-end” funds -- one of four types of investment companies. Closed-end funds, exchange-traded funds and unit investment trusts are the three other types. In order to understand the structure of mutual funds, it is helpful to compare other “40 Act Funds” – industry jargon for investment companies registered under the Investment Company Act of 1940.
Tips for Buying Funds
If you need to know how to buy mutual funds that are best for you, the process does not need to be complex. Buying mutual funds can be simple and profitable if you follow a few basic steps.
If you need to know how to buy mutual funds that are best for you, the process does not need to be complex. Buying mutual funds can be simple and profitable if you follow a few basic steps.
Money Market Advantages
Money market funds are mutual funds that invest in short-term, high-quality fixed income securities. Money market funds are regulated by the US Securities and Exchange Commission (SEC). The SEC seeks to assure that risks are limited and investors’ interests are protected.
Money market funds are mutual funds that invest in short-term, high-quality fixed income securities. Money market funds are regulated by the US Securities and Exchange Commission (SEC). The SEC seeks to assure that risks are limited and investors’ interests are protected.
Moderate Portfolio
For an example of how to build an moderate portfolio of mutual funds, take a look at this model allocation.
For an example of how to build an moderate portfolio of mutual funds, take a look at this model allocation.
Statistical Analysis
Statistical analysis of mutual funds requires a fundamental knowledge of quantitative measures, such as Beta, R-squared, Alpha, Sharpe Ratio, Expense Ratio, and Tax Cost Ratio. Learn more about statistical analysis and you can choose the best mutual funds.
Statistical analysis of mutual funds requires a fundamental knowledge of quantitative measures, such as Beta, R-squared, Alpha, Sharpe Ratio, Expense Ratio, and Tax Cost Ratio. Learn more about statistical analysis and you can choose the best mutual funds.
Dividend Mutual Funds
Dividend mutual funds are stock mutual funds that primarily invest in companies that pay dividends, which are profits that companies share with stock shareholders. Learn how to use dividend mutual funds to your advantage.
Dividend mutual funds are stock mutual funds that primarily invest in companies that pay dividends, which are profits that companies share with stock shareholders. Learn how to use dividend mutual funds to your advantage.
Top 10 Taxes
How do I reduce taxes on mutual funds? Which types of funds are best for taxable accounts? Why did I receive a 1099? Understanding mutual fund taxation will help you improve your overall returns by being a smarter investor.
How do I reduce taxes on mutual funds? Which types of funds are best for taxable accounts? Why did I receive a 1099? Understanding mutual fund taxation will help you improve your overall returns by being a smarter investor.
R-squared
R-squared (R2) is a statistical measure that investors can use to determine a particular investment's correlation with a given benchmark.
R-squared (R2) is a statistical measure that investors can use to determine a particular investment's correlation with a given benchmark.
Should You Buy B Shares?
You may hear that mutual fund B shares are a good buy -- generally from transaction-oriented, commission-based advisors/brokers. But more and more mutual fund companies are saying “goodbye” to mutual fund B shares.
You may hear that mutual fund B shares are a good buy -- generally from transaction-oriented, commission-based advisors/brokers. But more and more mutual fund companies are saying “goodbye” to mutual fund B shares.
Total Stock Market Index Funds
What are total stock market index funds? Find out how to use total stock market index funds, which ones are the best and if you should use them.
What are total stock market index funds? Find out how to use total stock market index funds, which ones are the best and if you should use them.
Conservative Portfolio
For an example of how to build an conservative portfolio of mutual funds, take a look at this model allocation.
For an example of how to build an conservative portfolio of mutual funds, take a look at this model allocation.
Index Funds FAQ
Why invest in index funds? Learn about index funds and find out the primary reasons why index funds often outperform most actively-managed funds in the long run.
Why invest in index funds? Learn about index funds and find out the primary reasons why index funds often outperform most actively-managed funds in the long run.
Dividends
What are dividends and how are mutual fund investors taxed on dividends? Understanding the basics of dividends and mutual fund taxation is essential to investing success.
What are dividends and how are mutual fund investors taxed on dividends? Understanding the basics of dividends and mutual fund taxation is essential to investing success.
Tactical Asset Allocation
Tactical asset allocation with mutual funds and Exchange Traded Funds (ETFs) can be an effective middle ground of investing between the extremes of market timing and passive investing.
Tactical asset allocation with mutual funds and Exchange Traded Funds (ETFs) can be an effective middle ground of investing between the extremes of market timing and passive investing.
Index Funds Beat Actively-Managed
Why do index funds outperform actively-managed funds? Over long periods of time, index funds have higher returns than their actively-managed counterparts for several simple reasons.
Why do index funds outperform actively-managed funds? Over long periods of time, index funds have higher returns than their actively-managed counterparts for several simple reasons.
Rebalancing
Rebalancing your investment portfolio is the best way to 'buy low and sell high.' All you need to do is learn the best strategies.
Rebalancing your investment portfolio is the best way to 'buy low and sell high.' All you need to do is learn the best strategies.
Lazy Portfolio
Want to know how to build the best lazy portfolio? Start with these timeless and tested investing strategies. Set it and forget it!
Want to know how to build the best lazy portfolio? Start with these timeless and tested investing strategies. Set it and forget it!
Expense Ratio
The percentage of fees paid to the mutual fund company to manage and operate the fund, including all administrative expenses and 12b-1 fees. The expense ratio excludes sales charges.
The percentage of fees paid to the mutual fund company to manage and operate the fund, including all administrative expenses and 12b-1 fees. The expense ratio excludes sales charges.
Difference in Bonds and Funds
What is the difference between bonds and bond mutual funds? When is the best time to use bonds and when is the best time to use bond funds? Find out here.
What is the difference between bonds and bond mutual funds? When is the best time to use bonds and when is the best time to use bond funds? Find out here.
Before You Buy Funds
Before you buy a mutual fund, you will need to spend a little time learning the basics and studying a
Before you buy a mutual fund, you will need to spend a little time learning the basics and studying a
Beat Inflation
Inflation erodes at the value of money and can be an investor's worst enemy. Learn how to beat inflation by investing in mutual funds.
Inflation erodes at the value of money and can be an investor's worst enemy. Learn how to beat inflation by investing in mutual funds.
Risk Tolerance
A key ingredient to successful investing is knowing yourself. Gauging your risk tolerance is a good way to help you determine how much risk you can tolerate in your portfolio of investments.
A key ingredient to successful investing is knowing yourself. Gauging your risk tolerance is a good way to help you determine how much risk you can tolerate in your portfolio of investments.
Where to Invest 2012 - Bonds
What are the best ways to invest with bond funds in 2012? If you thought stocks face an uphill battle in 2012, bonds have a similar challenge.
What are the best ways to invest with bond funds in 2012? If you thought stocks face an uphill battle in 2012, bonds have a similar challenge.
CEFs
Despite the similarities of closed-end funds (CEFs) and mutual funds, they are two distinct types of investment companies. If you have read “What Is a Closed-End Fund?” and learned about the basics of the fund structure, then take a closer look at CEFs below.
Despite the similarities of closed-end funds (CEFs) and mutual funds, they are two distinct types of investment companies. If you have read “What Is a Closed-End Fund?” and learned about the basics of the fund structure, then take a closer look at CEFs below.
Aggressive Growth
What is Aggressive Growth are what are some mutual fund examples? Aggressive Growth is a mutual fund objective that is so broad, an investor can easily make a mistake when building an investment portfolio. Therefore, the Dave Ramsey mutual fund portfolio example can be misleading advice.
What is Aggressive Growth are what are some mutual fund examples? Aggressive Growth is a mutual fund objective that is so broad, an investor can easily make a mistake when building an investment portfolio. Therefore, the Dave Ramsey mutual fund portfolio example can be misleading advice.
5 Things to Know About Mutual Funds
There are a few key things every investor should know about mutual funds. Learn the 5 things to know about mutual funds.
There are a few key things every investor should know about mutual funds. Learn the 5 things to know about mutual funds.
Average Expense Ratios
There are plenty of good mutual funds with below-average expense ratios to choose from in the universe. Therefore don't settle for expensive when you can have inexpensive AND high quality! Check out this breakdown and comparison of average expense ratios for basic fund types
There are plenty of good mutual funds with below-average expense ratios to choose from in the universe. Therefore don't settle for expensive when you can have inexpensive AND high quality! Check out this breakdown and comparison of average expense ratios for basic fund types
How to Get Started Investing With Funds
To get started investing with mutual funds, you will need to know the basics. Learn how to get started investing with mutual funds by understanding the mutual fund types, taxation and how to buy a mutual fund.
To get started investing with mutual funds, you will need to know the basics. Learn how to get started investing with mutual funds by understanding the mutual fund types, taxation and how to buy a mutual fund.
Tax-Efficient Funds
The failure to understand and apply the basic concepts of tax-efficient investing is among the biggest mistakes made by investors. Learn how and where to use tax-efficient mutual funds.
The failure to understand and apply the basic concepts of tax-efficient investing is among the biggest mistakes made by investors. Learn how and where to use tax-efficient mutual funds.
Short-Term Gains Distributions
While most people are painfully aware of short-term capital gains, short-term capital gains distributions are often a misunderstood -- and always a dreaded -- aspect of mutual fund investing. Financial advisors, sophisticated investors and novices alike, forget the rules of the unpleasant feature of mutual funds we know as short-term capital gains distributions.
While most people are painfully aware of short-term capital gains, short-term capital gains distributions are often a misunderstood -- and always a dreaded -- aspect of mutual fund investing. Financial advisors, sophisticated investors and novices alike, forget the rules of the unpleasant feature of mutual funds we know as short-term capital gains distributions.
Municipal Bond Funds
So you have heard a lot of talk about municipal bond funds and do the research to find a fund for you. But your research suggests that the yields of these municipal bond funds are less than many of their bond fund counterparts. So, why would you want to buy a municipal bond fund if you can buy another bond fund that has a higher yield?
So you have heard a lot of talk about municipal bond funds and do the research to find a fund for you. But your research suggests that the yields of these municipal bond funds are less than many of their bond fund counterparts. So, why would you want to buy a municipal bond fund if you can buy another bond fund that has a higher yield?
Before You Buy an Index Fund
Before you buy an index fund, it is important to understand the definition of an index fund, the passive versus active management debate, and the difference between ETFs and mutual funds.
Before you buy an index fund, it is important to understand the definition of an index fund, the passive versus active management debate, and the difference between ETFs and mutual funds.
Bond Mutual Funds
Bond mutual funds are an excellent diversification tool for investors’ portfolios. Bond mutual funds come in many shapes and styles. Let’s start with five basic types of bond mutual funds.
Bond mutual funds are an excellent diversification tool for investors’ portfolios. Bond mutual funds come in many shapes and styles. Let’s start with five basic types of bond mutual funds.
Silver Funds
If you want to learn how to invest in silver with mutual funds, Exchange-Traded Funds (ETF) or Exchange-Traded Notes (ETN), it is important to understand the risk and nature of commodity investing.
If you want to learn how to invest in silver with mutual funds, Exchange-Traded Funds (ETF) or Exchange-Traded Notes (ETN), it is important to understand the risk and nature of commodity investing.
12b-1 Fee
A fee that is charged by some mutual funds, which is used to pay marketing, distribution, and service costs, and is paid to the broker. The Financial Industry Regulation Authority (FINRA) allows funds to charge as much as 1.00% annually as a 12b-1 fee.
A fee that is charged by some mutual funds, which is used to pay marketing, distribution, and service costs, and is paid to the broker. The Financial Industry Regulation Authority (FINRA) allows funds to charge as much as 1.00% annually as a 12b-1 fee.
Pros and Cons of a Stock Fund
What are the pros and cons of a stock fund and should you invest in a stock fund? Whether you plan to buy a stock fund or you plan to buy individual stocks, you should become familiar with the pros and cons of a stock fund prior to investing.
What are the pros and cons of a stock fund and should you invest in a stock fund? Whether you plan to buy a stock fund or you plan to buy individual stocks, you should become familiar with the pros and cons of a stock fund prior to investing.
Efficient Markets Hypothesis
The Efficient Market Hypothesis (EMH) essentially says that all known information about investment securities, such as stocks, is already factored into the prices of those securities. Therefore no amount of analysis can give an investor an edge over other investors. But is this hypothesis true in application? Are there certain areas of the market that are more or less efficient than others? How can you use index funds to take advantage of EMH?
The Efficient Market Hypothesis (EMH) essentially says that all known information about investment securities, such as stocks, is already factored into the prices of those securities. Therefore no amount of analysis can give an investor an edge over other investors. But is this hypothesis true in application? Are there certain areas of the market that are more or less efficient than others? How can you use index funds to take advantage of EMH?
Passively Managed Funds
Index funds are considered to be passively managed funds. The manager of an index fund tries to mimic the returns of the index it follows by purchasing all -- or almost all -- of the holdings in the index. Hundreds of market indexes can be invested in via mutual funds and exchange-traded funds.
Index funds are considered to be passively managed funds. The manager of an index fund tries to mimic the returns of the index it follows by purchasing all -- or almost all -- of the holdings in the index. Hundreds of market indexes can be invested in via mutual funds and exchange-traded funds.
Fund Flows
Mutual fund flows, which are usually called fund flows, indicate how investors are investing their money in mutual funds. The flows are measures of dollars flowing into or out of mutual funds.
Mutual fund flows, which are usually called fund flows, indicate how investors are investing their money in mutual funds. The flows are measures of dollars flowing into or out of mutual funds.
UITs
Unit investment trusts (UITs) may be the least understood, and certainly least utilized, of all of the US registered investment companies. What's the problem with UITs? Before answering the question, we need to understand the structure of UITs.
Unit investment trusts (UITs) may be the least understood, and certainly least utilized, of all of the US registered investment companies. What's the problem with UITs? Before answering the question, we need to understand the structure of UITs.
Beta
A mutual fund investor can use beta in planning their fund selection to determine volatility of the fund and to compare its sensitivity in movement to the overall market.
A mutual fund investor can use beta in planning their fund selection to determine volatility of the fund and to compare its sensitivity in movement to the overall market.
Risks of Investing in TIPS
John Hollyer, co-manager of Vanguard Inflation-Protected Securities, outlines why deflation is a risk of investing in TIPS.
John Hollyer, co-manager of Vanguard Inflation-Protected Securities, outlines why deflation is a risk of investing in TIPS.
Morningstar
Morningstar is best known as a mutual funds research company. But what exactly do they do?
Morningstar is best known as a mutual funds research company. But what exactly do they do?
Market Cap
What is market cap and how does it relate to mutual funds? Market cap refers to the equity capitalization of an individual stock. It is the price of a share of stock multiplied by the number of shares outstanding. Many equity mutual funds are categorized based on the average market capitalization of the stocks that the mutual funds own.
What is market cap and how does it relate to mutual funds? Market cap refers to the equity capitalization of an individual stock. It is the price of a share of stock multiplied by the number of shares outstanding. Many equity mutual funds are categorized based on the average market capitalization of the stocks that the mutual funds own.
Interest Rate Risk
Interest rate risk is the risk of falling bond prices due to the rise in interest rates.
Interest rate risk is the risk of falling bond prices due to the rise in interest rates.
NAV
NAV is an acronym for Net Asset Value. The NAV of a fund is the total value of the securities in the fund minus liabilities, divided by shares outstanding.
NAV is an acronym for Net Asset Value. The NAV of a fund is the total value of the securities in the fund minus liabilities, divided by shares outstanding.
Growth & Income
Definition: As the name suggests, the growth and income objective for mutual funds is a combination of
Definition: As the name suggests, the growth and income objective for mutual funds is a combination of
S&P 500 P/E
If you learn how to interpret the overall value of stocks by using the P/E ratio on the S&P 500 Index, you can gain insights into the future direction of equity prices.
If you learn how to interpret the overall value of stocks by using the P/E ratio on the S&P 500 Index, you can gain insights into the future direction of equity prices.
Best Funds Beginners
Choosing the best mutual funds for beginners is not a matter of finding the best performers of the day. Instead, beginners are wise to know their investment objectives and future plans and prepare for a long-term strategy. Therefore, assuming you want to do it yourself, it is wise to know which mutual fund companies have the best variety of low-cost, no-load funds.
Choosing the best mutual funds for beginners is not a matter of finding the best performers of the day. Instead, beginners are wise to know their investment objectives and future plans and prepare for a long-term strategy. Therefore, assuming you want to do it yourself, it is wise to know which mutual fund companies have the best variety of low-cost, no-load funds.
Total Stock vs S&P 500
Which is best, a total stock market index or the S&P 500 Index? The answer depends upon the complimentary mutual funds or ETFs within the investor's portfolio. There are some mistakes to avoid in the total stock market index vs S&P 500 index debate. It is wise to compare and contrast the similarities and differences before investing.
Which is best, a total stock market index or the S&P 500 Index? The answer depends upon the complimentary mutual funds or ETFs within the investor's portfolio. There are some mistakes to avoid in the total stock market index vs S&P 500 index debate. It is wise to compare and contrast the similarities and differences before investing.
Transaction Fees
Many investments incur transaction fees when buying shares. For this reason, investors should be aware of these trading costs, especially when making frequent purchases.
Many investments incur transaction fees when buying shares. For this reason, investors should be aware of these trading costs, especially when making frequent purchases.
Target-Date Funds
Target-date funds are often thought of as “set it and forget it” funds. For example if you plan to retire in 20 years, you might buy a target-date fund that matches your time-frame -- a target of 20 years. As you approach your retirement date, the fund moves its allocation to more conservative mutual fund investments (holding bonds and cash) and away from riskier mutual funds investments (holding equities).
Target-date funds are often thought of as “set it and forget it” funds. For example if you plan to retire in 20 years, you might buy a target-date fund that matches your time-frame -- a target of 20 years. As you approach your retirement date, the fund moves its allocation to more conservative mutual fund investments (holding bonds and cash) and away from riskier mutual funds investments (holding equities).
Pitfalls of Mutual Funds
Whether you have made a thoughtful decision to invest in mutual funds or you are all but forced to invest in mutual funds (401k, 403b, or other retirement plans), you are bound to read about, hear about, and/or experience the pitfalls of mutual funds. So, let’s take a look at several pitfalls of mutual funds and what we can do to avoid them.
Whether you have made a thoughtful decision to invest in mutual funds or you are all but forced to invest in mutual funds (401k, 403b, or other retirement plans), you are bound to read about, hear about, and/or experience the pitfalls of mutual funds. So, let’s take a look at several pitfalls of mutual funds and what we can do to avoid them.
Vanguard TIPS Interview
John Hollyer, co-manager of the Vanguard Inflation-Protected Securities Fund, delves into key issues related to TIPS and to the Vanguard Inflation-Protected Securities Fund.
John Hollyer, co-manager of the Vanguard Inflation-Protected Securities Fund, delves into key issues related to TIPS and to the Vanguard Inflation-Protected Securities Fund.
Core and Satellite
Definition: Core and Satellite is a common and time-tested investment portfolio design that consists
Definition: Core and Satellite is a common and time-tested investment portfolio design that consists
Benefits & Risks of TIPS
Investors should be aware of the benefits and risks of TIPS. Vanguard's John Hollyer was kind enough to answer several questions for About.com regarding the benefits and risks of TIPS.
Investors should be aware of the benefits and risks of TIPS. Vanguard's John Hollyer was kind enough to answer several questions for About.com regarding the benefits and risks of TIPS.
Cost Basis
Cost basis is the purchase price of a mutual fund (or other asset) plus reinvested dividends and reinvested capital gains distributions. The market value less the cost basis is the capital gain or capital loss.
Cost basis is the purchase price of a mutual fund (or other asset) plus reinvested dividends and reinvested capital gains distributions. The market value less the cost basis is the capital gain or capital loss.
Invest Lump Sum
Whether you want to invest a 401(k) or IRA rollover, a tax refund, an inheritance, or you win the lottery, there are a few smart ways to best manage a large amount of cash, no matter what the stock market or economy is doing at the time.
Whether you want to invest a 401(k) or IRA rollover, a tax refund, an inheritance, or you win the lottery, there are a few smart ways to best manage a large amount of cash, no matter what the stock market or economy is doing at the time.
DIY vs Hire Advisor
Whether you do it yourself or choose an expert for investment advice and financial planning, you are choosing an advisor. The fundamental question is this: Do you want to hire you as the advisor or someone else?
Whether you do it yourself or choose an expert for investment advice and financial planning, you are choosing an advisor. The fundamental question is this: Do you want to hire you as the advisor or someone else?
How to Invest Your 401(k)
There are many issues surrounding how to invest your assets. Typical considerations are how to invest in stocks, how to invest in bonds, how to invest in mutual funds and the “how to invest” list goes on. There are a plethora of “how to invest” considerations. If you’re planning for retirement, how to invest in mutual funds in your 401(k) is usually the top priority.
There are many issues surrounding how to invest your assets. Typical considerations are how to invest in stocks, how to invest in bonds, how to invest in mutual funds and the “how to invest” list goes on. There are a plethora of “how to invest” considerations. If you’re planning for retirement, how to invest in mutual funds in your 401(k) is usually the top priority.
Holdings
What are mutual fund holdings? Do holdings matter with mutual funds? How many holdings is ideal? The total number of holdings can give an investor a clue to future performance.
What are mutual fund holdings? Do holdings matter with mutual funds? How many holdings is ideal? The total number of holdings can give an investor a clue to future performance.
Reasons to Sell Your Fund
Pick up any financial magazine, peruse the money section of a newspaper, or search for mutual funds online and you will not have a problem finding a mutual fund to buy right now. There’s no shortage of “top mutual funds” lists. On the other hand, it can be no easy task to find an article, blog post or mutual fund sales person to provide information that will help you decide whether or not to sell your mutual fund. So, why should you sell your mutual fund?
Pick up any financial magazine, peruse the money section of a newspaper, or search for mutual funds online and you will not have a problem finding a mutual fund to buy right now. There’s no shortage of “top mutual funds” lists. On the other hand, it can be no easy task to find an article, blog post or mutual fund sales person to provide information that will help you decide whether or not to sell your mutual fund. So, why should you sell your mutual fund?
Vanguard
Who is Vanguard? Vanguard Investments is among the best and favorite of mutual fund companies for the
Who is Vanguard? Vanguard Investments is among the best and favorite of mutual fund companies for the
5 Percent Rule
How much of one investment security is too much? To be properly diversified, to obtain reasonable returns while minimizing risk, pay close attention to the 5 Percent Rule of Investment Allocation.
How much of one investment security is too much? To be properly diversified, to obtain reasonable returns while minimizing risk, pay close attention to the 5 Percent Rule of Investment Allocation.
Index Definition
You may have heard about index funds. But what is an index? What are examples of best known indexes?
You may have heard about index funds. But what is an index? What are examples of best known indexes?
ETFs
: ETF is short for "Exchange-Traded Fund." An ETF holds a basket of securities and trades on a stock
: ETF is short for "Exchange-Traded Fund." An ETF holds a basket of securities and trades on a stock
How Mutual Funds Work
The basic idea of how mutual funds work is straightforward. Investors pool their money and hire a portfolio manager to invest in a variety of investment securities. When an investor buys a mutual fund, their investment dollars are used to purchase new shares of the mutual fund.
The basic idea of how mutual funds work is straightforward. Investors pool their money and hire a portfolio manager to invest in a variety of investment securities. When an investor buys a mutual fund, their investment dollars are used to purchase new shares of the mutual fund.
Bond Fund Types and Categories
What are the types of bond funds? How are bond mutual funds categorized? Bond mutual fund investing can appear complex but understanding the basics of bond categorization will help determine which bond fund type is best for you.
What are the types of bond funds? How are bond mutual funds categorized? Bond mutual fund investing can appear complex but understanding the basics of bond categorization will help determine which bond fund type is best for you.
S&P Mid-cap 400
What is the Standard & Poor's Midcap 400? You've probably heard of the S&P 500 Index but you may not be familiar its mid-cap cousin, the S&P Midcap 400. Learn more about this often overlooked segment of the market and improve your portfolio's diversity and possibly its returns.
What is the Standard & Poor's Midcap 400? You've probably heard of the S&P 500 Index but you may not be familiar its mid-cap cousin, the S&P Midcap 400. Learn more about this often overlooked segment of the market and improve your portfolio's diversity and possibly its returns.
1099 Form
What do I do with my 1099? Do I have to file it with my taxes? Does the IRS need a copy? Why did I receive a 1099? There are more than a dozen different types of 1099 forms but the most common 1099 forms are generated from investing activities, such as dividends, capital gains and IRA and 401(k) distributions and rollovers.
What do I do with my 1099? Do I have to file it with my taxes? Does the IRS need a copy? Why did I receive a 1099? There are more than a dozen different types of 1099 forms but the most common 1099 forms are generated from investing activities, such as dividends, capital gains and IRA and 401(k) distributions and rollovers.
Asset Allocation
Asset allocation describes how investment assets are dividend into the 3 basic investment types - stocks, bonds and cash - within an investment portfolio.
Asset allocation describes how investment assets are dividend into the 3 basic investment types - stocks, bonds and cash - within an investment portfolio.
Turnover Ratio
It is no coincidence that the mutual funds with the lowest turnover ratios generally produce higher average returns to the investor over time. Learn more about turnover ratio and become a better mutual fund investor.
It is no coincidence that the mutual funds with the lowest turnover ratios generally produce higher average returns to the investor over time. Learn more about turnover ratio and become a better mutual fund investor.
Growth Stocks
What are growth stocks? Which mutual funds are best for exposure to growth stocks? What is the best timing for investing? Mutual funds are an ideal means of investing in growth stocks for the average investor. Advanced investors can also use them as tools in their portfolios.
What are growth stocks? Which mutual funds are best for exposure to growth stocks? What is the best timing for investing? Mutual funds are an ideal means of investing in growth stocks for the average investor. Advanced investors can also use them as tools in their portfolios.
Mutual Fund Prospectus
A mutual fund prospectus is to a mutual fund what an owner’s manual is to a car. If you want to learn more about what’s under the hood of your mutual fund, check out the prospectus. The mutual fund prospectus is a valuable tool that contains important information.
A mutual fund prospectus is to a mutual fund what an owner’s manual is to a car. If you want to learn more about what’s under the hood of your mutual fund, check out the prospectus. The mutual fund prospectus is a valuable tool that contains important information.
Pros of Mutual Funds
Investment diversification is an advantage of mutual funds. This investment diversification of a mutual fund means that an investor is able to obtain instant access to a hundreds of individual stocks or bonds with a low minimum investment. Otherwise, in order add investment diversification to your portfolio, you might have to buy individual securities, which exposes you to more potential volatility.
Investment diversification is an advantage of mutual funds. This investment diversification of a mutual fund means that an investor is able to obtain instant access to a hundreds of individual stocks or bonds with a low minimum investment. Otherwise, in order add investment diversification to your portfolio, you might have to buy individual securities, which exposes you to more potential volatility.
Dogs of Dow Funds
There a few mutual funds that invest in the Dogs of the Dow. However, this is not just for market timers. These 'dogs' are also among the best stocks for dividends.
There a few mutual funds that invest in the Dogs of the Dow. However, this is not just for market timers. These 'dogs' are also among the best stocks for dividends.
Cons of Mutual Funds
If you are a regular reader of the About.com mutual funds site, then you may have read about the so-called disadvantages of mutual funds. But what are the real cons of owning a mutual fund – the cons that are not as easily avoided or are impossible to avoid?
If you are a regular reader of the About.com mutual funds site, then you may have read about the so-called disadvantages of mutual funds. But what are the real cons of owning a mutual fund – the cons that are not as easily avoided or are impossible to avoid?
Actively Managed Funds
The portfolio manager of an actively-managed fund tries to beat the market by picking and choosing investments.
The portfolio manager of an actively-managed fund tries to beat the market by picking and choosing investments.
Market Risk
There are several different types of risk associated with investing. All of these types of risk generally refer to the risk a particular investment or a group of investments will decline in value and are included under one overall risk, which is market risk.
There are several different types of risk associated with investing. All of these types of risk generally refer to the risk a particular investment or a group of investments will decline in value and are included under one overall risk, which is market risk.
Bulloin Coins
Bullion coins are most commonly used as a store of cash or alternative to currency for savers and investors during times of economic uncertainty.
Bullion coins are most commonly used as a store of cash or alternative to currency for savers and investors during times of economic uncertainty.
Summary Prospectus
The summary prospectus rules require that funds provide investors with a brief summary (generally three to four pages) – in plain English – of the key information that will allow investors to make informed investment decisions.
The summary prospectus rules require that funds provide investors with a brief summary (generally three to four pages) – in plain English – of the key information that will allow investors to make informed investment decisions.
Bond Portfolio
The best days of bond mutual funds may be behind investors for a long time. Learn how to choose and buy bonds to build your own diversified portfolio of bonds.
The best days of bond mutual funds may be behind investors for a long time. Learn how to choose and buy bonds to build your own diversified portfolio of bonds.
Where to Invest 2012 - Foreign
Where to invest in 2012 will be challenging, especially for foreign stock. As always, foreign (international, global, emerging markets) can play in important role in a diversified portfolio. How can investors balance risk and growth in 2012?
Where to invest in 2012 will be challenging, especially for foreign stock. As always, foreign (international, global, emerging markets) can play in important role in a diversified portfolio. How can investors balance risk and growth in 2012?
What Is a Sector Fund?
A sector fund is a mutual fund or exchange-traded fund that concentrates its investments in a single sector of the market. If you invest in individual stocks and you’re uncomfortable investing in stocks within a particular sector, then you may benefit from sector funds. You can diversify your portfolio by adding the neglected sector via a sector fund.
A sector fund is a mutual fund or exchange-traded fund that concentrates its investments in a single sector of the market. If you invest in individual stocks and you’re uncomfortable investing in stocks within a particular sector, then you may benefit from sector funds. You can diversify your portfolio by adding the neglected sector via a sector fund.
Depreciating US Dollar
For those mutual fund investors who believe that the US dollar will lose ground against other currencies, how can you obtain an advantage? There is certainly more than one answer to this question. Let’s look at how a mutual fund investor can gain from a depreciating US dollar by investing in international mutual funds.
For those mutual fund investors who believe that the US dollar will lose ground against other currencies, how can you obtain an advantage? There is certainly more than one answer to this question. Let’s look at how a mutual fund investor can gain from a depreciating US dollar by investing in international mutual funds.
Barclays Aggregate
The Barclays Capital Aggregate Bond Index is the benchmark for most bond funds traded in the US. What is the BarCap Aggregate and how can an investor benefit by using a total bond market fund?
The Barclays Capital Aggregate Bond Index is the benchmark for most bond funds traded in the US. What is the BarCap Aggregate and how can an investor benefit by using a total bond market fund?
Market Timing - Mutual Funds
If you think about it for a moment, all investing is a form of market timing, even if you consider yourself a buy-and-hold investor. As with all investment strategies and financial plans, there are wise steps you can take to find success without taking unreasonable risk.
If you think about it for a moment, all investing is a form of market timing, even if you consider yourself a buy-and-hold investor. As with all investment strategies and financial plans, there are wise steps you can take to find success without taking unreasonable risk.
Stagflation
Stagflation can be one of an investor's worst enemies. However, it is the common lack of understanding of stagflation that can be most detrimental to an investor's investment portfolio. Learn how to invest and hedge against stagflation with mutual funds.
Stagflation can be one of an investor's worst enemies. However, it is the common lack of understanding of stagflation that can be most detrimental to an investor's investment portfolio. Learn how to invest and hedge against stagflation with mutual funds.
Deflation
What is deflation? Learn how to invest and hedge against deflationary economic environments.
What is deflation? Learn how to invest and hedge against deflationary economic environments.
Small-Cap Timing
Small-Cap stocks can make up a significant portion of your investment portfolio at any time. But when is the best time to invest in small-cap stocks?
Small-Cap stocks can make up a significant portion of your investment portfolio at any time. But when is the best time to invest in small-cap stocks?
Junk Bonds
Junk bonds, also known as high yield bonds, can make a good addition to your mutual fund investment portfolio. Before investing in junk bond funds, be sure to understand the definition, nature and risks of high yield investing.
Junk bonds, also known as high yield bonds, can make a good addition to your mutual fund investment portfolio. Before investing in junk bond funds, be sure to understand the definition, nature and risks of high yield investing.
Should You Buy Funds?
If you are seeking an answer to the question, “Should You Buy Mutual Funds,” then you will want to look at mutual funds from several different angles. Learn the pros and cons of funds and how to avoid the pitfalls of fund investing.
If you are seeking an answer to the question, “Should You Buy Mutual Funds,” then you will want to look at mutual funds from several different angles. Learn the pros and cons of funds and how to avoid the pitfalls of fund investing.
Sharpe Ratio
Sharpe Ratio is a useful analytical tool for analyzing mutual funds. Investors who understand the definition and benefits of Sharpe Ratio in their fund research are enabled to build a better portfolio of mutual funds.
Sharpe Ratio is a useful analytical tool for analyzing mutual funds. Investors who understand the definition and benefits of Sharpe Ratio in their fund research are enabled to build a better portfolio of mutual funds.
Tax Loss Harvest
What is tax loss harvesting? Understanding the tax consequences (capital gains and capital losses) of selling stocks and stock mutual funds is an important aspect of successful investing practices.
What is tax loss harvesting? Understanding the tax consequences (capital gains and capital losses) of selling stocks and stock mutual funds is an important aspect of successful investing practices.
American Funds
Since 1931, American Funds has been known as a conservative, value-oriented mutual fund company. American Funds is one of the three largest mutual fund families in the US.
Since 1931, American Funds has been known as a conservative, value-oriented mutual fund company. American Funds is one of the three largest mutual fund families in the US.
Class A Shares
Class A shares generally have front-end sales charges (also known as a “load”). The load is paid to the advisor for buying the mutual fund on behalf of investors.
Class A shares generally have front-end sales charges (also known as a “load”). The load is paid to the advisor for buying the mutual fund on behalf of investors.
Stocks, Sectors Rising Rates
Market timing can be challenging but there are some logical moves traders and investors can make to invest in the best stocks and sectors in a rising interest rate environment.
Market timing can be challenging but there are some logical moves traders and investors can make to invest in the best stocks and sectors in a rising interest rate environment.
Variety of Funds
There are many types and styles of mutual funds. There are stock funds, bond funds, money market funds and balanced funds. Mutual funds allow you to invest in the market whether you believe in active portfolio management (actively managed funds) or you prefer to buy a segment of the market with no interference from a manager (passive funds and index funds). The availability of different types of funds allows you to build a diversified portfolio at low cost and without much difficulty.
There are many types and styles of mutual funds. There are stock funds, bond funds, money market funds and balanced funds. Mutual funds allow you to invest in the market whether you believe in active portfolio management (actively managed funds) or you prefer to buy a segment of the market with no interference from a manager (passive funds and index funds). The availability of different types of funds allows you to build a diversified portfolio at low cost and without much difficulty.
Where to Invest 2012 - Hub
Knowing where to invest in 2012, or any time frame, requires a complete guide that covers strategies and ideas for asset allocation, stocks, bonds, cash, sectors, foreign investing, indexes and ETFs. Check this efficient overview to quickly find the ideas you need to invest in 2012.
Knowing where to invest in 2012, or any time frame, requires a complete guide that covers strategies and ideas for asset allocation, stocks, bonds, cash, sectors, foreign investing, indexes and ETFs. Check this efficient overview to quickly find the ideas you need to invest in 2012.
Where to Invest 2012 - Sectors
Which sectors of the economy will do well in 2012? No one knows for sure but there are a few sectors that look better than others, especially if the economy continues to be weak and stocks continue to struggle.
Which sectors of the economy will do well in 2012? No one knows for sure but there are a few sectors that look better than others, especially if the economy continues to be weak and stocks continue to struggle.
Frontier Markets Introduction
You may have read that frontier markets are the next hot investment idea. You may have read that frontier markets offer more upside than their emerging market and developed market cousins. But what are these frontier markets, what are the risks of frontier markets, and how can you invest in these frontier markets?
You may have read that frontier markets are the next hot investment idea. You may have read that frontier markets offer more upside than their emerging market and developed market cousins. But what are these frontier markets, what are the risks of frontier markets, and how can you invest in these frontier markets?
Inflation
Inflation is said to be one of an investor's worst enemies. However, it can also be said that a lack of understanding of inflation can be detrimental to an investor's investment portfolio. Learn how to invest and hedge against inflationary economic environments with mutual funds.
Inflation is said to be one of an investor's worst enemies. However, it can also be said that a lack of understanding of inflation can be detrimental to an investor's investment portfolio. Learn how to invest and hedge against inflationary economic environments with mutual funds.
Money Management
Many investors don’t have the resources or the time to buy individual securities such as stocks and bonds. In order to profit from investing in individual securities, an investor not only needs resources and time, but a considerable amount of expertise.
Many investors don’t have the resources or the time to buy individual securities such as stocks and bonds. In order to profit from investing in individual securities, an investor not only needs resources and time, but a considerable amount of expertise.
Benefits of Funds
The numerous benefits of mutual funds make them the first and best choice of investment for the do-it-yourself crowd. If you are a beginner and want to know why mutual funds are a good fit for your investment needs or if you are an advanced investor and need a reminder of why mutual funds are best-suited for your financial goals and lifestyle, here are some of the many benefits you need to know.
The numerous benefits of mutual funds make them the first and best choice of investment for the do-it-yourself crowd. If you are a beginner and want to know why mutual funds are a good fit for your investment needs or if you are an advanced investor and need a reminder of why mutual funds are best-suited for your financial goals and lifestyle, here are some of the many benefits you need to know.
Investing With One Fund
Investing with one mutual fund is possible if done properly. Find out how to put all of your eggs in one basket and still sleep at night.
Investing with one mutual fund is possible if done properly. Find out how to put all of your eggs in one basket and still sleep at night.
Capital Gain Distribution
To help shareholders prepare for capital gain distributions, mutual fund companies generally post capital gain distribution estimates beginning in October. These capital gain distribution estimates can help mutual fund investors (who own funds held in taxable accounts) plan ahead for tax day.
To help shareholders prepare for capital gain distributions, mutual fund companies generally post capital gain distribution estimates beginning in October. These capital gain distribution estimates can help mutual fund investors (who own funds held in taxable accounts) plan ahead for tax day.
Investment Styles
Choosing investment styles is like matching personality types in relationships. To maximize returns and minimize risk, you need to find the best investment styles and strategies.
Choosing investment styles is like matching personality types in relationships. To maximize returns and minimize risk, you need to find the best investment styles and strategies.
Large Cap
Large cap refers to a categorization of stocks based on market capitalization (number of shares outstanding multiplied by stock price).
Large cap refers to a categorization of stocks based on market capitalization (number of shares outstanding multiplied by stock price).
Dividend Dates
How does the Ex-Dividend date for stocks work? When are the best and worst times to buy stocks in relation to dividend dates?
How does the Ex-Dividend date for stocks work? When are the best and worst times to buy stocks in relation to dividend dates?
TIPS vs. TIPS Funds
There are a couple of advantages of investing in TIPS mutual funds versus buying individual TIPS. For an investor who is subject to tax, direct holdings of TIPS are somewhat inefficient, because the Treasury characterizes as ordinary income both the real coupon income that’s earned and the adjustment for inflation, which is typically upward.
There are a couple of advantages of investing in TIPS mutual funds versus buying individual TIPS. For an investor who is subject to tax, direct holdings of TIPS are somewhat inefficient, because the Treasury characterizes as ordinary income both the real coupon income that’s earned and the adjustment for inflation, which is typically upward.