Mutual Funds for Dummies

Mutual Funds for Dummies are several ways how to play your money to mutual funds safer and more comfortable. From my previous article titled Types of Mutual Funds Shouldyou know explain how mutual funds in general and you must learn first to make these investments. Mutual Funds for Dummies are a mutual fund that can only be bought or resold by the investor at any given moment is determined by the investment manager. I will explain some of the Mutual Funds for Dummies, for you are just learning about mutual funds.

Mutual Funds for Dummies Beginners

Protected Fund; is a mutual fund where the principal that you invest the funds still continue to exist or will not disappear despite its net asset value is negative. Some funds are managed in debt securities that fall into the category worth the investment (investment grade) so that the value of such debt securities at maturity at least is able to cover the amount protected.

If the funds managed by investment managers can provide benefits, you as an investor will get a return. But if not, the fund's principal investment will still be there. For example, if you invest the money as much as $ 1,000 in mutual funds is protected at maturity, the principal investment of $ 1,000 remains, very easy not to Mutual Funds for Dummies absolutely no risk and no benefit at all.

The Guarantee Fund; almost the same as protected mutual funds, mutual funds provide investors assurance that will receive at least for the initial investment at maturity. The difference, in a mutual fund with a surety there is an institution that can guarantee (surety / guarantor) and is very easy not to Mutual Funds for Dummies, your funds can be guaranteed to lose you can get your money back, but still you cannot profit.

Index Fund; is an indicator or a reflection of stock price movement and became one of the guidelines for investors to invest in capital markets, particularly stocks are selected based on specific methods. That way, a portfolio of index mutual funds composed of securities that are part of a collection of the effects of an index of the reference.

The results of this index mutual fund investments will follow the movement of the index is a reference that includes types of mutual funds that contain a high risk. It's easy not to be a choice of Mutual Funds for Dummies does not mean there is a risk, but also less satisfactory results. All depends on your choice to choose, with the Mutual Funds for Dummies, you can be safe in saving money, I hope this information is useful to you, thank you