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SSC|Staff Selection Commission Recruitment Various posts 2018

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownershipof the mutual fund company and its assets. The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple, Inc. When an investor buys Apple stock, he is buying part ownership of the company and its assets. Similarly, a mutual fund investor is buying part ownershipof the mutual fund company and its assets. 

The difference is Apple is inthe business of making smartphones and tablets, while a mutual fund company is in the business of making investments.Mutual funds pool money from the investing public and use that money to buy other securities, usually stocks and bonds. The value of the mutual fund company depends on the performance of the securities it decides to buy. So when you buy a shareof a mutual fund, you are actually buying the performance of its portfolio.Mutual funds invest in stocks, but certain types also invest in government and corporate bonds. Stocks are subject to the whims of the market and thus offer a higher return potential than bonds, but they also present more risk. Bonds, by contrast, provide a fixed return that is usually much lower than what an investor gets from stocks. The advantage of bonds is they are low risk. Only in an extreme situation, such as the complete failure of acorporation, does an investor not receive the return he was promised from a bond security. A mutual fund's investment profile depends on the type of fund. There are three main types: equity funds, fixed-income funds and balanced funds.



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SSC|Staff Selection Commission Recruitment Various posts 2018

.A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of...

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STD. 1 TO 5 MA TET-1 PASS UMEDVARO NI BHARATI KARVA BABAT RAJUAAT

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of...

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STD. 1 TO 5 MA TET-1 PASS UMEDVARO NI BHARATI KARVA BABAT RAJUAAT

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of Apple,...

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PoliceBadli Paripatra By Main Police Adhikari Gujarat Dt-28/05/2018

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of...

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DOWNLOAD GUJARAT ROJGAR SAMACHAR DATE:-23/05/2018.

Gujarat Rojgar Samachar is an employment newspaper. This employment newspaper is published by Govt. of Gujarat on every Wednesday. You can get all government / semi government job notifications in this...

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GOV ANNOUNCED AFTER RETIRMENT EMPLOYEES CONTRACT BASE

Welcome all dear members we glad to informed you that education update is the job information portal we daily upload education material , quiz , shotr trick for compitataive exam of...

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D.El.Ed Exam - 2018 hall ticket

Welcome all dear members we glad to informed you that education update is the job information portal we daily upload education material , quiz , shotr trick for compitataive exam of...

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MEENA PROGRAMME BABAT NEW CIRCULAR

Welcome all dear members we glad to informed you that education update is the job information portal we daily upload education material , quiz , shotr trick for compitataive exam of...

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HTAT POST RELETED NEWS REPORTS

Welcome all dear members we glad to informed you that education update is the job information portal we daily upload education material , quiz , shotr trick for compitataive exam of...

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Saurashtra University B.ED 2018 Result Declared.

                      Click here to view ...

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ICE RAJKOT LATEST E BOOK DEMO COPY : GUJARAT SANSKRUTIK VARSHO

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of...

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ONE LINER QUIZ -13 IN PDF OF IMPORTANT 241 TO 261 QUESTIONS BY: E-KNOWLEDGE GURU

A mutual fund is both an investment and an actual company. This may seem strange, but it is actually no different than how a share of APL is a representation of...

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