selling mutual funds?

Question

If you buy mutual funds and than you want to sell them to buy different ones do you have to pay any kind of fee?Can I sell them and buy them back anytime I want?

Answer 1

Most no load mutual funds if not all have short term trading fees if you buy and sell them within a certain time period, normally 30 days.

Closed end mutual funds and ETF index funds can be traded at will any time just like stocks, no sweat, no bother, just brokerage fees, $14 round trip at Scottrade, $20 at TD Ameritrade. Here is a link to learn about them

http://www.etfconnect.com/

Answer 2

If the mutual funds are "no-load", then you can buy and sell from the mutual fund company without fees anytime. Some funds have a minimum holding period which would also add a fee if the fund was not held long enough. If they are load funds, there may be a fee when you sell, depending on the type of fund. Read the prospectus that came with the fund or call them to find out which type of fund you have.

Answer 3

This is a simple question with a complex answer... it depends.

Mutual funds are managed by fund families, for example Fidelity. There are over 50 different funds with Fidelity. You can sell one Fidelity fund and then buy (or exchange it) for a different fund. This is helpful when you are approaching retirement and you need to get more conservative with your investments, you can exchange an aggressive fund for a bond or income fund.

Remember, buy low and sell high. If you sell after your funds drop and you buy a fund that has been hot recently, you could be in for a rough few months. Typically it's better to sell a fund that is very hot and then buy in a field that has been beaten up.

Depending on the funds you own their also might be a fee to sell if you don't buy another fund in the same family.

Answer 4

No. (If you are a Zecco Customer)