0
What else can I help you with?
What is the difference between person fund vs account fund?
The difference between person fund and account fund is that a person fund is transferred to the recipient in person, while the account fund is transferred to the account of the recipient.
What is the difference between investing in shares vs units in a mutual fund?
Investing in shares means buying ownership in a specific company, while investing in units in a mutual fund means pooling money with other investors to invest in a diversified portfolio managed by professionals.
Health Savings Account (HSA) vs. Traditional Health Plan?
Health Savings Account (HSA) vs. Traditional Health Plan This tool is designed to help you compare a High Deductible Health Plan (HDHP) with a Health Savings Account (HSA) to a traditional health plan. By using an HDHP/HSA solution, you can often realize significant savings on your insurance premiums and receive a deduction on your income taxes. Use this calculator to determine the possible savings.
When is it beneficial to pay off debt vs putting money in a savings account?
How much you owe and what the interest rate is.
Mutual Fund SIP Vs PPF Which is Better?
When comparing SIP vs PPF, SIPs in mutual funds are better suited for investors who can handle moderate to high risk in exchange for potentially greater returns, whereas PPF is perfect for those who prefer guaranteed returns with tax benefits.
What are the key differences between investing in units vs shares in a mutual fund?
Investing in units of a mutual fund means you are buying a specific dollar amount of the fund, while investing in shares means you are buying a specific number of shares. Units are typically used in retirement accounts, while shares are more common in regular investment accounts. The value of units can fluctuate based on the fund's performance, while shares have a fixed value.
Disadvantages of mutual fund?
A mutual fund is an investment vehicle with a well defined, easy to understand investment strategy and goals. Investing in a mutual fund is only advantageous if the investment strategy and goals of the fund (or combination of funds) match that of an investor. For example, if investment is made into a fund whose goal is growth over a long term, an investor may lose a significant fraction of their investment when taking the money out too soon. A second, very important consideration is taxes. It turns out that buying mutual funds is a good idea when one is to use tax advantages of retirement plans, such as IRA, Roth IRA or 401k, 403b. The reason is that a so-called turnover ratio (or distributed gains) for a mutual fund can be quite high. If you have to pay taxes on these gains, you might end up paying tax on the income you did not receive. It is therefore recommended to use low turnover mutual funds or an entirely different investment vehicle - exchange traded funds (ETF) if investment is made in an ordinary (vs. tax privileged) account.
Why is load important when deciding where to buy a mutual fund?
The load is the amount of sales charge that is deducted from the amount you are investing. So if a fund has a 5% load, vs a 2% load - the amount actually being invested and available to earn dividends, etc. in the future could be reduced.
When should i buy a mutual fund?
A mutual fund is an investment with a well defined, easy to understand investment strategy and goals. People buy mutual funds because they enjoy the certainty of following the pre-declared investment goal in a diversified way. Another option would be to create your own investment portfolio of stocks and bonds that matches ones investment objective. This is a much harder task than just buying a mutual fund, because it takes a lot of work to select a bunch of securities that would satisfy your goals. The trick is that no single financial instrument you select would normally satisfy your strategy by itself, only together with other ones, your portfolio will be complete. Therefore, to save time and money on creating an individual portfolio from scratch, one wants to buy a mutual fund if one establishes that the goals of the fund suit an investment strategy of the individual. A second, very important consideration is taxes. It turns out that buying mutual funds is a good idea when one is to use tax advantages of retirement plans, such as IRA, Roth IRA or 401k, 403b. The reason is that a so-called turnover ratio (or distributed gains) for a mutual fund can be quite high. If you have to pay taxes on these gains, you might end up paying tax on the income you did not receive. It is therefore recommended to use low turnover mutual funds or an entirely different investment vehicle - exchange traded funds (ETF) if investment is made in an ordinary (vs. tax privileged) account.
What are hedge funds?
Some type of pooled investments that invest's in things to make money. The rules vary depending on the manager. They are usually less strict on what to invest in vs. a mutual fund. Hedge funds can do what ever they want to for investments.
How do mutual funds measure up vs. other investments?
Mutual funds offer several advantages over investing in individual stocks. For example, the transaction costs are divided among all the mutual fund shareholders, which allows for cost-effective diversification. Investors may also benefit by having a third party (professional fund managers) apply expertise and dedicate time to manage and research investment options, although there is dispute over whether professional fund managers can, on average, outperform simple index funds that mimic public indexes. Many mutual funds offer more than one class of shares. For example, you may have seen a fund that offers "Class A" and "Class B" shares. Each class will invest in the same pool (or investment portfolio) of securities and will have the same investment objectives and policies. But each class will have different shareholder services and/or distribution arrangements with different fees and expenses. A front-end load or sales charge is a commission paid to a broker by a mutual fund when shares are purchased,
Cash flow Vs funds flow?
Cash flows and fund flows
