What would you like to do?
What is the difference between investor funds and class d funds?
It's actually "investment grade" funds versus "Class D" funds. But anyway... Both are kinda like mutual funds--a lot of securities grouped together and sold in shares. Unlike mutual funds, which are comprised of stocks, bond funds are comprised of bonds. The difference is the quality of the bonds in the fund. Investment-grade funds hold nice, safe, well-regarded, boring securities that just sit there, pay interest and don't worry the fund manager too much. Class D fund deal in Class D debentures--D stands for Default. These things are super speculative, super risky and pay large returns if they succeed. You can play in these and make a lot of money quick; you can also play in these and lose your shirt quick. If you're going to invest in Class D funds, you need another shirt--some stable mutual funds, Treasuries, investment-grade bond funds, SOMETHING that you won't lose everything you have in. Also be ready to get out of the Class D fund at a moment's notice.
Was this answer useful?
Thanks for the feedback!
the company invests money collected from employers
A Bond mutual fund is a type of mutual fund that invests in bonds and other government securities that are safe and have a fixed rate of return. Whereas the term mutual fund p…er say refers to equity mutual funds in most cases which invest in the stock market. Bond mf's are safer whereas equity funds come with a certain risk component but at the same time the returns on equity funds are much higher when compared to bond funds Answer: Bond funds are investment vehicles that are meant specifically for people who are looking for low risk investment options, but want higher returns than they would get from a fixed deposit. The NAVs of most bond funds don't fluctuate as much as equity funds. Bond mutual funds invest in bonds issued by the government or corporate houses. Mutual funds investment involves a group of investors pooling in their money to invest in securities, which could be stocks or bonds. Mutual funds are considered a low risk-high return investment vehicle. If you're interested in mutual fund investment, you may want to get some professional advice.
Crowdfunding pertains to donation based fundraising for businesses or creative projects via an online funding portal. Hyper Funding pertains to equity based fundraising, where…as equity ownership in a business is given in exchange for investment capital via an online funding portal as per the Jobs Act of 2012.
Difference between the Dividend and Grow Equity funds usually offer three options for investors to choose from - the Dividend Payout option, the Dividend Re-inves…tment option and the Growth option. A few funds have also started to offer a Bonus option. These options differ only in their method of distribution of returns. When you choose the dividend option, you get to partially cash in on the returns earned by the fund from time to time, through the dividends it declares. When you choose the growth option, the returns earned by the fund are retained and reflect as an appreciation in the fund's Net Asset Value (NAV). Please note that the dividend does not in any way, add to your returns from the fund. The Dividend Re-investment option authorises the fund to plough back the dividends declared into the fund at the prevailing NAV, fetching you more units. In terms of its effect on your returns from the fund, the Dividend Re-investment option is no different from the Growth option. The Dividend Re-investment option is the superior option for investors who want the tax efficiency of the dividend option and are also willing to remain invested in equities through its ups and downs. If they need liquidity, such investors can liquidate a part of their holdings at NAV. To illustrate how these options work, let us suppose you invested Rs.1000 in a fund at an NAV of Rs.10 per unit, fetching you 100 units. Six months later, because of an appreciation in the fund's portfolio, the value of the units you hold has grown to Rs 1,200. In the Dividend option, the fund may declare a dividend of Rs 2 per unit and pay out Rs 200. The value of your residual holdings in the fund would be Rs 1000. In the Growth Option, you would not receive any payout, but the value of your holdings would be Rs 1,200 at the end of six months, as the value of the100 units you hold would have grown from Rs 10 to Rs 12 per unit. In the Dividend Re-investment option, the Rs 200 declared as dividends would be reinvested in the fund at the prevailing ex-dividend NAV, and you would be left with 120 units worth Rs.10 each. Your investment value at Rs 1,200, would be the same as in the Growth option. The Dividend option (whether Reinvestment or Payout) is the more tax- efficient way of receiving your returns from an equity fund. The dividends declared by an equity fund (funds with over 50 per cent equity exposure) are exempt from distribution tax and are also tax-free in the hands of an investor. But any returns that you earn on the fund by way of appreciation in NAV, is subject to capital gains tax. Capital gains are taxed at 10 per cent if you hold the fund for less than a year; but are exempt if you hold for over one year. In the above example, if you opted for Dividend Payout, you would have no tax liability at the end of the six-month period. The same would hold good of the Dividend Re-investment option. However, if you sell your units in the Growth option at the end of the six-month period, you would have to pay short term capital gains tax of 10 per cent on the Rs.200 you earned by way of appreciation on the Growth Option NAV. Tax reasons apart, choosing the Dividend Option may also confer other advantages for conservative investors. Equity funds declare dividends only from the profits booked on the holdings in their portfolio. They have tended to pay out liberal dividends when the stock markets are in a buoyant phase and refrain from payouts when the markets are in a bearish phase. Dividend payouts thus offer you the opportunity to cash in partially on any returns that the fund has made, after a sharp run-up in stock prices. Dividend payouts also help you re-balance your equity holdings when the markets are buoyant, guarding you to an extent against a decline in values. The flip side in opting for the Dividend Option is that they could result in an opportunity loss in a rising market. In the above example, if the NAV of the fund climbed from Rs 12 to Rs 15 per unit after the dividend declaration, investors who opted for Dividend Payout would have suffered an opportunity loss on the Rs 200 that they have pulled out of the fund by way of dividend. Their appreciation would be restricted to the Rs 1,000 they have invested in the fund. In contrast, investors who have opted for the Growth and Dividend Re-investment option would have earned an appreciation on the entire sum of Rs 1,200 that they retained in the fund.
Mutual funds and ulips are almost similar in one aspect - They invest in the stock market and the investors own units of the fund that have a face and market value. The diff…erence lies in the fact that, ulips provide life insurance coverage to its investors by charging a certain fee on the investment whereas mutual funds do not provide insurance coverage. In simple terms, ULIP stands for UNIT LINKED INSURANCE PLAN. They are a combination of Insurance and Investment plan. You could start with a small investment. ULIPs give you the benefit of investment and an insurance policy together. They are good avenues to invest in. ULIPs are Unit Linked Insurance Plans which are meant to give you safe and high returns. I personally am a ULIP holder from Bajaj Allianz and have been very satisfied with their returns. I invest in an online ULIP called iGain which allows you flexibility of payment and involves no middlemen/paperwork. So its nice and easy to invest in.
sinking fund is the setting aside of money for instance by the government to a pool to reduce its budget deficit while amortisation is the paying off of debts over a period of… time with a decreasing principal balances and interests
Investing takes many forms, from simple to complex, safe to risky. If you have money you want to put to work, you should first prepare by researching the many different strate…gies available. For investors with a large amount of capital, hedge funds and venture capital are two popular options. Hedge FundA hedge fund is a pool of investment capital that a manager invests on shareholders' behalf. In this basic operation, a hedge fund is similar to a mutual fund, but with a crucial difference: the complete discretion it gives the fund manager to invest where and how he chooses. This means hedge funds can hold any and all investment types, from the safest U.S. Treasury bond to the riskiest junk bonds, stock options and futures contracts. Entrance FeeHedge funds have much higher minimum investments than ordinary mutual funds and place greater restrictions on withdrawals. Some hedge funds require you to stay invested a minimum of a year or more to avoid a run on the fund that could force it to liquidate its investments. Hedge funds tend to be riskier than mutual funds, and it can be difficult to ascertain how much their holdings are worth. Because hedge funds are not regulated by the SEC, potential investors must thoroughly research the performance and management before entrusting their money to a hedge-fund manager. Venture CapitalA venture fund takes a more active role in its investments. It allows investors -- individuals as well as institutions -- to invest money in new companies and enterprises. The fund pools money from its partners and buys a share in companies that do not yet have the finances or history to successfully offer shares on the public stock exchanges. In exchange, the venture fund earns a share of the company's future earnings, if any, and its partners divide the proceeds according to their participation in the fund. Venture Fund Risk and ReturnVenture funds represent a high-risk, high-return investment for their partners. Many companies in which a venture fund invests do not yet have sales or profits, and some stand for only a concept or invention that has not yet been brought to market. Members of a venture fund may take an active role in the operation of the new company, taking seats on its board of directors or providing active advice and guidance. Once the company makes an initial public offering, the venture fund sells its stake and divides the proceeds to its own partners.
Mutual vs. Hedge Funds Mutual funds and hedge funds both pools investor's money into one larger, centrally-managed set of assets. The main difference is in legal s…tructure and regulation. In the US, mutual funds are heavily regulated by the Securities and Exchange Commission (SEC). Because they are unregulated, hedge funds are not open to the general public. The US government only allows high net worth individuals and institutional investors to invest in them. Before 2005, the SEC did not regulate hedge funds at all. Their freedom is now being curtailed. The SEC is now asserting some regulatory power. In the UK, the Financial Services Authority already exercises much more oversight. This is driving hedge funds overseas. Some more details: In the US, Mutual funds are investment companies that must register with the U.S. Securities and Exchange Commission and are subject to strict regulation under four federal laws: the Securities Act of 1933, the Securities Exchange Act of 1934, the Investment Company Act of 1940 and the Investment Advisers Act. Hedge Funds are not considered to be investment companies, and are thus excluded under the federal securities laws. This may be because of the private nature of their offerings or the financial means and sophistication of their investors (e.g., investment funds with no more than 100 investors and private investment funds whose investors each have a substantial amount of investment assets - $5 million minimum for some funds under Investment Company Act of 1940). Thus, unlike Mutual Funds Hedge Funds do not have to face: * periodic reports under the Securities Exchange Act of 1934; * regulations on the structure and operation of funds; * NASD rules limiting sales charges and other distribution fees that need to be presented in comparable and standard form (e.g., expense ratios); * restrictions on ability to leverage or borrow against the value of securities in its portfolio, which practically eliminate the ability to buy on margin and sell short; * requirements to value portfolios and price their securities daily based on market quotations; * requirements by law to allow shareholders to redeem their shares at any time; * requirements regarding a fund's portfolio diversification and its distribution of earnings; * NASD oversight of fund advertisements and other sales materials; * the need for majority of independent directors who are responsible for extensive oversight of the fund's policies and procedures.
Funding is money provided for a specific purpose, often by an organization or the government. Financing is obtaining or furnishing money or capital for an enterprise or pu…rpose, and is often done by banks and other lending institutions.
Trust Funds are set up as legal entities for the benefit of a particular group or named beneficiary. Trust relationships are generally established through formal trust agreeme…nts. Governments have more of a degree of involvement in decision-making for trust agreements. Agency Funds are used to account for funds held by a government temporally for individuals, private organizations, and/or other governmental units. The fund assets are offset by liabilities equal in amount; no fund equity exists. It has an indefinite term which means that while assets continue to be collected or held for others. Both funds are often identifies in governmental financial reports for fiduciary funds
The difference between a pension fund and provident fund is in how the benefits are paid out. A provident fund pays all he retirement benefits in a lump sum cash benefit a…t retirement. A pension fund pays one third of the benefit as a lump sum at retirement and the rest is paid out over the lifetime of the beneficiary.
Enterprise fund is a fee for service. Internal service fund is services from one department to another on a cost reimbursement basis.
Provisions are those where the liability existence is certain, but the amount of liability cannot be determined with substantial accuracy. In case of reserves, the liability… is not known. but some amount of profits are kept aside for meeting the contingencies that might become actual liabilities.
Mutual funds are an investment. They consists of a collection of various different investment products such as Stocks and Bonds and are managed by a team of experts. Lif…e insurance is a means to leave money behind for your family or financial responsibilities when you die. You should both save for retirement and buy life insurance.
Federal funding is typically funding using our tax dollars. Private funding is exactly what it says "private funding" or funding through a hedge fund or investor.