10 things you need to know about mutual funds

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1. Mutual funds are a type of investment vehicle that pool money from many investors to purchase securities.

2. Mutual funds are managed by professionals who invest the money in a variety of different securities in an effort to grow the fund.

3. Many mutual funds are available to investors, each with its own investment objectives and strategies.

4. Mutual fund shares represent ownership in the underlying securities held by the fund.

5. Shareholders of mutual funds typically receive periodic distributions of the fund's earnings, which may be reinvested in additional shares of the fund.

6. Mutual funds are regulated by various government agencies, and are required to provide disclosure documents that describe the fund's investment objectives, strategies, and risks.

7. Mutual fund investments are subject to market risk, which means the value of the securities in the fund may go up or down in response to changes in the overall market.

8. Some mutual funds charge fees and expenses, which may reduce the return on investment.

9. Many mutual funds allow investors to purchase shares directly from the fund, or through a broker or other financial intermediary.

10. Investing in mutual funds involves risk, including the risk of loss of principal. Before investing, carefully consider the fund's investment objectives, risks, charges, and expenses. For this and other important information, obtain a prospectus from the fund or your financial professional, and read it carefully before investing.
 
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