TYPES OF MUTUAL FUNDS
There are so many different types of mutual funds to choose from. Find out which mutual fund types are best suited to your personal investing style.
There are many different types of mutual funds you can choose from. Some of the most popular are:
- Equity Mutual Funds
- Fixed Income Mutual Funds
- Money Market Mutual Funds
- No Load Mutual Funds
- Growth Stock Mutual Funds
- Tax Saving Mutual Funds
- Index Mutual Funds
- Gold Mutual Funds
- Socially Responsible Mutual Funds
Equity Mutual Funds
Most people who invest in mutual funds invest in equity funds. In a lot of ways, these emulate the principle upon which a lot of stock-market moves are made: long-term investment resulting in capital gain
Fixed Income Mutual Funds
This type of mutual fund relies mainly on bonds — not a stock in a company but a kind of loan that the company (or a municipality, or a state, or the federal government) then pays back with interest. These are going to pay out a lot less than a successful equity type mutual fund, but the risks are controllable by bond type.
Money Market Mutual Funds
If you're looking for a place to put your money that’s better than a savings account but very much risk-free, this type of mutual funds typically can do the trick. Most of the time you'll find money market portfolios full of Treasury bills.
No Load Mutual Funds
A no load mutual fund is a fund in which shares are sold without a commission. The reason for this is that the shares are distributed directly by the investment company, instead of going through a secondary party.
Growth Stock Mutual Funds
A growth stock mutual fund is essentially a diversified portfolio of stocks that has, as it’s primary goal, capital appreciation. It consists mainly of companies with above-average growth in earnings. Instead of paying dividends, these companies will reinvest their earnings into expansion, acquisitions, research and development, etc.
Tax Saving Mutual Funds
A tax-free savings account can hold a variety of investment instruments – one of which is a mutual fund. The fund can grow tax-free for life, meaning that interest, dividends and capital gains earned are never taxed – even when withdrawn!
Index Mutual Funds
An index mutual fund has a portfolio constructed to match the components of a market index (i.e.: S&P 500). This kind of mutual fund is said to provide broad market exposure, low operating expenses and low portfolio turnover.
Gold Mutual Funds
A gold mutual funs invests primarily in gold-producing companies or gold bullion. The price of shares within a gold fund correlates closely to the spot price of gold itself (assuming the fund holds the majority of its assets either in bullion or in the stocks/bonds of gold miners).
Socially Responsible Mutual Funds
Socially responsible mutual funds hold securities in companies that adhere to social, moral, religious or environmental beliefs. To ensure the stocks chosen have values that coincide with the fund's beliefs, companies undergo a careful screening process.
The Motley Fool Stock Advisor ranks as our #1 Best Investment Newsletter for the third year in a row.
Their stock recommendations continue to beat all of the other newsletters that we follow and they maintain a very high accuracy of their picks. Their 24 stock picks from 2018 have outperformed the market by an average of 44% as of October 12, 2019. Read that again. I didn’t say their stock picks are up an average of 44%, I said they have BEAT THE MARKET by 44%.
No other newsletter comes close to that. You may have seen the Motley Fool’ advertisements that their picks are up 367% compared to the market’s 80%. Is The Motley Fool’s Stock Advisor really as good as they claim?
Our results, at least since January 2016, suggest YES. You can now get their next stock picks in real-time for ONLY $19. You will also receive their list of the TOP 10 Stocks to Buy Right Now. This special pricing is for NEW customers only and you must click on this link to get the special price..
P.S. this offer is still backed by their 30-day money back guarantee