i want to know weather i should use my mind to invest in shares, or divert my money to mutual funds.
2006-10-29 04:16:06 · 7 answers · asked by rina 1 in Business & Finance ➔ Investing
usually its depends on you. as no one give 100% guarantee to return the money. but the main and important thing is use your head let analize the market when correction comes do only that time to find out good stocks to invest or to invest in mf.
2006-10-29 17:12:22 · answer #1 · answered by GLADIATOR 3 · 0⤊ 0⤋
The truth is most brokerages put a disclaimer that states that their investments are uninsured. There is a rating system for bonds "AAA "being the best and of course "C" bonds are junk.
One fun investment is mutual municipals because you still get the "safety" of a government investment but you are diversified all over the country. If one part of the nation goes sour your entire investment isn't hit as hard as buying a muni bond for a single city or entity. Mutual funds spread the risk over many companies somewhat the same way. It is still "caveat emptor". Nothing is 100% safe. Read the prospectus before you invest in anything.
2006-10-29 04:25:48 · answer #2 · answered by Jessica M 4 · 0⤊ 0⤋
Here is an option for you. Split your money into two equal parts. Place one part into well reguarded mutual funds--funds that are rated 4 or 5 stars by Moringstar. Pick not just one but several with different investment objectives. Place the other part into stocks that you pick yourself. After one year see which pile of investments has done better. That exercise might very well answer your question for you.
2006-10-29 04:45:38 · answer #3 · answered by Anonymous · 1⤊ 0⤋
Mutual funds are handled by analysists who purchase the stocks that make up the portfolio of each fund. There are low risk funds with lots of bonds, and high risk funds with lots of international companies.
Most of the time the analysist buy a wide variety of funds and do very good research. If you want a risk-free investment get a bond, but mutual funds are a great way to diversify.
2006-10-29 04:20:08 · answer #4 · answered by bluasakura 6 · 0⤊ 0⤋
Mutual money are secure in that no one is going to scouse borrow your investment, besides the undeniable fact that it could lose fee. the government, to guard you from probability, demands that mutual money would desire to be long (i.e. very own) shares relatively than sell shares short. This ensures which you will lose money in a dropping industry. maximum 401k plans have a style of investment alongside with a money industry fund. in case you do no longer prefer to computer screen inventory money bypass down, pass each thing to the money industry selection. in the event that they have not got that, seem for a quick term bond fund or a certain investment settlement.
2016-10-20 23:15:27 · answer #5 · answered by ? 4 · 0⤊ 0⤋
Mutual funds are not at risk of bankruptcy like trading companies, but at risk from stock market falls and even higher risk of robbery by greedy managers.
Stick to index trackers or good shares.
2006-10-29 09:54:30 · answer #6 · answered by Anonymous · 0⤊ 0⤋
One has to decide his own level of exposure to equity market and depending upon risk factor 60:40 (MF:S)ratio may be considered as prudent for investement
2006-10-29 04:21:06 · answer #7 · answered by MARK 1 · 0⤊ 0⤋