Tutorial
Added on: December
30th , 2006
Investing in mutual
funds also includes the fact that you have to pay
your broker a lot of fees. Some mutual fund brokers
will make it seem to you that the higher fee you
pay, the higher return you will achieve on your
investment. This is NOT true. All the broker will
be doing (if you pay a higher fee) is take greater
risks with your money, which could have devastating
consequences. In order to avoid paying high fees
to your broker and to maximize your ROI (return
on investment), you should consider the different
classes of mutual funds to purchase and which class
is the right one for you.
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Tutorial
Added on: December
26th , 2006
The first modern
mutual fund was created in 1924 in Boston, Massachussets.
Known as Massachusetts Investors' Trust, the fund
went public in 1928 and eventually led to the founding
of MFS Investment Management firm. Some of the innovators
involved in this transformation included Richard
Paine, Richard Saltonstall and Paul Cabot.
By the year 1929, there were
700 closed-end funds with 19 open-ended mutual funds.
Thanks to the 1929 stock market crash, closed-end
funds lost their popularity and small open-end funds
started to skyrocket. In 1933, the Securities and
Exchange Commission (SEC) was created to protect
the investments of consumers in mutual funds. Mutual
funds must be registered with the Securities and
Exchange Commission (SEC) before they can be invested
into. (View
Full Article)
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