Discover the Origins of History of Mutual
Fund Investing
When three Boston securities executives pooled their money
together in 1924 to create the first mutual fund, they had
no idea how popular mutual funds would become...
Mutual Funds: How
To Read A Mutual Fund Table
Mutual Funds: Conclusion
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Mutual Fund
Prospectuses Online Welcome to The Fund Info
Service, a FREE Service provided by PrecisionIR and Direct Fund Club.
The Fund Info Service provides you with quick access to prospectuses and
other information on select
funds. Use the following search options to find the information in which
you are interested. A fund is simply a financial intermediary that allows
a group of investors to pool their money together with a predetermined investment
objective.
ETF Fund of Funds : ETFs
are now available as a "fund
of funds", or more precisely ETF of ETFs. Claymore
has launched one income and one growth-oriented version in
its new CorePortfolio line trading on the Toronto Stock Exchange.
Originally, were heralded as a way for the little guy
to get a piece of the market. Instead of spending all your free time buried
in the financial pages of the Wall Street Journal, all you had to do was
buy a mutual fund and you'd be set on your way to financial freedom.
As you might have guessed, it's not that easy. Mutual funds
are an excellent idea in theory. |
 An
investment vehicle that is made up of a pool of funds collected
from many investors for the purpose of investing in securities such as
stocks, bonds, money market instruments and similar assets. Mutual
funds are operated by money mangers, who invest the fund's capital and
attempt to produce capital gains and income for the fund's investors.
A mutual fund's portfolio is structured and maintained to match the
investment objectives stated in its prospectus.
 One
of the main advantages of mutual
funds is that they give small investors access to professionally
managed, diversified portfolios of equities, bonds and other securities,
which would be quite difficult (if not impossible) to create with a small
amount of capital. Each shareholder participates proportionally in the
gain or loss of the fund. Mutual fund units, or shares, are issued and
can typically be purchased or redeemed as needed at the fund's current
net asset value (NAV) per share, which is sometimes expressed
as NAVPS.
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Basics Of Index Funds
Index funds
can be simply explained as mutual
funds that aim to replicate the movements or else copy the performance
of an index belonging to a specific financial market. Different indices
copied for index funds include S&P500, Russell 2000, Wilshire 5000,
MCSI-EAFE, Lehman-Brothers Aggregate Bond and NASDAQ 100.
Index funds are ideal investment vehicles for those investors
who are more interested in buying and holding their investments, thereby
allowing them to grow. These funds are advantageous in way that they carry
very low fees primarily because they lack any active management. These
funds need not invest anything on hiring an expensive fund manager or
any research analyst for managing the funds. In most cases, computers
are programmed to handle the job of fund management. Even the expense
ratio on index funds is as low as 0.18 percent. Another advantage of these
funds is that it is easy to understand the objectives and asset allocations
of the funds. One can easily determine the securities a fund will hold
depending upon the target index.
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