images
images

Mutual Funds

People always ask which is better Mutual Funds or ETFs. The answer depends upon the type of investor you are. If you are not an active investor and do not follow the market regularly then the best investment option is Mutual Funds. Investing in equities is bit risky but Mutual Fund comes with almost zero risk. You can go for actively managed mutual funds which has no risk because your fund manager is going to make all the decisions. You get to choose stocks from wide variety of sectors. Index Funds: Index funds allow you diversification and the risk is not that high. However there is a fee for mutual funds and they charge you an annual fee of 1.25% to 2%. Type of People Who Can Invest: High Income over $125,000 Yearly Investment Amount: $1000 to No Limit Investment Period: 10 Years to 15 Years Return on Investment: 10% to 12% Risks Involved: Low Risk