2007-03-24 05:14:35 · 6 answers · asked by nagesh_mahendrakar 1 in Business & Finance ➔ Investing
Invest in ETFs or index finds. Especially Vanguard index funds. This is because those investments charge you the least to play their game.
The other guys (actively managed finds) charge you more to play their game, but don't make you any more money.
2007-03-24 12:23:34 · answer #1 · answered by Lisa A 7 · 0⤊ 0⤋
The answer is YES when convience (of not having to pick stocks) is important and the cost basis is low.
If you have to ask, then I assume you are not the type of person who likes to do a lot of investment research. Mutual funds are great for people who do not like to spend hrs researching stocks and such. You should go w/ a low cost index fund like Vanguard. I would suggest their Total Market fund. Index funds try to replicate the market. Hence, if the market is doing great, then the fund is doing great. The reverse is also true. Index funds also have a lower cost basis. Watch out the cost basis when buying funds. They can take away from your profit. You get a mix of stocks (and/or bonds) for a relative small investment (a few K).
2007-03-24 12:26:07 · answer #2 · answered by InvisibleWar 2 · 1⤊ 0⤋
My advice is that if you are just getting started investing, mutual funds are your best bet because they give you diversification without having to invest a lot of money. If you are saving for retirement, I'd recommend buying mutual funds as part of a Roth IRA.
2007-03-24 12:51:46 · answer #3 · answered by Freethinker 6 · 1⤊ 0⤋
Stock market games are meant for professionals only. The best way is to go to mutual funds expecially diversified funds and main thing is you should buy a mutual fund when the market is at the bottom and seek the assistance of a professional before selecting the fund.
2007-03-24 12:36:24 · answer #4 · answered by Sanjay K 1 · 0⤊ 1⤋
They a safer bet then buying stock because investment professionals diversify the portfolio you are buying a part of. In addition you can choose more or less risky mutual funds based on you age, income and meeds. Mutual Funds are the only way to go unless you have a lot of investment knowledge and time to commit to it.
2007-03-24 12:25:31 · answer #5 · answered by lazyike 2 · 0⤊ 1⤋
depends on ur view
many type of MF
wide choice mail with more detail
or visit my blog & other ans
2007-03-24 12:30:15 · answer #6 · answered by dinu_pawar 5 · 0⤊ 1⤋