Mutual Funds
Last week I was listing mutual funds that have been performing great and I understand that many readers may not have any idea on how to invest in a mutual fund. This post is going to give you the basics on investing in a mutual fund. Remember the biggest thing about a mutual fund is diversification.
A mutual fund is a collection of money from many investors that will invest in stocks, bonds, and other markets. Investing in a mutual fund requires you to invest in shares of the fund to become a fund holder. You will have a fund manager in charge of trading securities working towards profit for the fund, but often times a loss comes along as this is part of the risk. The fund manager will collect the profits and deal with the loss then pass along to you as a individual investor. By investing this way you will save in trading costs plus a fund will diversify your investment. Mutual funds are usually known very well in the USA as the rest of the world considers these funds are known as a collection investment.
People have invested $9.207 trillion USD in more then 8,000 mutual funds.
Here is a list of the top performers so far in 2006 and it is all about China and gold, but today the markets may bring down the performance a percent or two since gold took a hit and many markets fell some.
38.68% Oberweis China Opportunities (OBCHX) 16.18
37.80% U.S. Global Investors WrldPrecMineral (UNWPX) 32.12
34.95% U.S. Global Investors Gold Shares (USERX) 17.12
34.44% Frontier MicroCap (FEFPX) 0.23
33.59% Dreyfus Premier Greater China R (DPCRX) 31.98
33.44% Dreyfus Premier Greater China A (DPCAX) 31.60
33.25% Dreyfus Premier Greater China T (DPCTX) 30.89
33.20% Dreyfus Premier Greater China B (DPCBX) 30.21
33.17% Dreyfus Premier Greater China C (DPCCX) 30.23
28.37% Gartmore China Opportunities Instl Svc (GOPSX) 15.53