Starting and managing a mutual fund
You might have heard the word investment or mutual fund or portfolio a time or two. Maybe in some movie or overheard a conversation or maybe you had a day that you googled it. Or, you may have even been told by a co-worker that it’s what they are doing and you might have made a mental note to look into it.
So first we have to de-myth what investments are. When we thing about the word investment sometimes riches and wealth come to mind and if you are not rich that this is something you have to wait to do when you are rich and wealthy. Many of you may think that you have to have a ton of money to get started with investing but you actually don’t have to have that much to start an investment and you will learn how today.
First knowing what an investment is the key. So Mutual Funds are the safest way to invest that give you the most return on your money. The definition of a mutual fund is as follows:
It is a company that pools investors’ money to make multiple types of investments, known as the portfolio.
The mutual fund is managed by a professional investment manager who buys and sells securities for the most effective growth of the fund. As a mutual fund investor, you become a “shareholder” of the mutual fund company. When there are profits you will earn dividends. When there are losses, your shares will decrease in value.
So you money is not being invested directly in the stock market, which is myth number two, which to many of you is an astronomical risk. So with mutual funds your money is safer and has the ability to grow to meet your needs.
The great thing you will find is that having an account manager will reduce your worry and give you the ability to relax and let your money work for you. You main objective is to stay in touch with him/her every month or two to see how things are going. Also now that tech is advancing most companies, if not all, will give you a user name and password and an online access privilege to check on your fund whenever you want. The great thing about the online account is the convenience that it gives you.
So to recap how to set up and maintain a mutual investment fund:
1. Find a company to invest with.
a. This is the biggest part. Having a financial coach to put you in the right company is the key. But, this is simple as well. Just leave a comment with you question and you will get help.
2. Start with a minimal investment
Today you can start a mutual fund for under $100 dollars. So don’t be scared of having to shell out a ton of money.
3. Use your online account to keep an eye on your money
a. With technology today you can keep an eye on your money with an online access account
b. Also, if you need assistance you can get the help of your financial investment manager
The main thing here for you is that you have options now and options available to open your world to making your money work for you.
So….
For more TIPS and ways to find out how you can get your Mutual Investment started, get Financial Information and contact a Financial Coach leave a comment and we will be happy to help you.
Happy Friday!!
See you next week
