Profitable investments in mutual funds or investment funds

Constantly many people are looking for ways to invest that can be made from small scale as most small investors invest their savings, ranging from small amounts up regular, i.e. from hundreds to thousands of $ $.

For these small investors there is not a guide to investment and the majority of them is not necessarily formed in issues of financial education or finance so although they want to invest but do not know where to do so.

One of these forms of profitable investments where you can invest from small up to medium-sized and large quantities are mutual funds also known as investment funds.

However it is necessary to know that there are different forms of mutual funds or investment, for example mentioned 2:

1. Mutual or without secured capital investment funds: are funds that do not ensure the initial capital of the investor, since any form of investment is always a risk, and that is possible that at some point to lose profits and even capital.

However in the medium and long term investment funds generate profits generally higher a the fixed term deposits, for example comparing the gain of investment funds in 365 days gains of time deposits for 365 days generally of investment funds are greater.

This type of investment funds but does not offer guarantees on initial capital but usually offer medium and long term profits far exceeding investment with guaranteed capital funds.

There are 3 levels of investment in these funds; investments in low risk, medium risk and high risk, and potential earnings inversely proportional to the assumed risk.

2. Secured capital investment or mutual funds: I.e. that makes sure that the seed you don't miss, to which the administering funds companies use much safer investment instruments such as for example papers of debt, coins, etc. It is also possible to use part of the investment fund to ensure initial capital.

This type of funds is much safer than the first but the gains are also much smaller, but more stable.

Conclusions:

Best before investing's advice with an agent of investment of the Bank of trust where we have our savings, devote to the investment fund an amount that does not affect the economy denuestra family and is not required to live as we are accustomed.

Ask the Advisor's investment that shows each of the characteristics of the investment funds available, clearly indicating the level of risk of each in order to finally choose the investment fund with the risk set out to be according to our personal level of risk tolerance.

Have a wonderful day.

If our articles are of interest or help you can subscribe to receive them by email by clicking here on this link.Related articles: Posted in: economy, financial education, make money, investment Tags: funds, mutual funds, mutual funds, investment, investment, investment profitable, mutual, profitable

This entry was posted on Saturday, March 12th, 2011 at 09: 18 pm and is filed under economy, financial education, make money, investment. You can follow any responses to this entry through the RSS 2.0 feed. You can leave to response, or trackback from your own site.