- When an investment management company is declared bankrupt, will my funds be gone?
- When a Custodian Bank is declared bankrupt, will my funds be gone?
- Is my investment at GAP Capital secure?
- Do I have to withdraw my investment funds from Mutual Fund, now?
- What is GAP Capital's strategy at this moment?
- In present market conditions, is it possible that the Net Asset Value of a Mutual Fund becomes zero?
- What is a Mutual Fund?
- Why is everyone advised to have a Mutual Fund?
- What are the advantages of investing in Mutual Fund?
- How does the ownership and price of Mutual Fund stocks work?
- What kind of Mutual Fund that you can buy?
- Why is LONG-TERM VISION important in investment?
- How do you choose a Mutual Fund?
- How do you choose an Investment Management Company?
- What will it cost you?
- How to buy and sell?
- Is mutual fund tax deductable?
- Mutual Fund investment (especially in equity funds) is a long-term goal.
- So, what lessons can be taken from Stock Market fluctuation?
- Do you need a big fund to invest in Mutual Funds?
What will it cost you?
If you compare the cost of investing in Mutual Funds with the time that you need to choose stock for your Stock Market instrument directly from the Stock market, then you will realize how economical a Mutual fund is. There are three kinds of costs associated with Mutual funds.
The first is the cost for annual management of the Mutual Fund. You do not have to pay that cost directly, but it is included in the Mutual Fund value. The management cost for a Stock Market Mutual Fund is usually not more than 1 percent per year and for an Equity Fund is 2.5 percent per year.
The second is the placement/buying cost which is paid in advance. The cost varies between 0 to 6 percent, depending on the type and placement for each Mutual Fund. The last cost, which some Mutual Funds apply, Is a withdrawal cost, which is paid when you sell or withdraw your investment.