Heike Moeller February 23, 2020 Mutual Fund
One way around the round-trip trap is instead of buying the same fund back (because now that energy fund is going up again) is to buy a similar fund from a different mutual fund family; in other words switch from ABC fund company to XYZ, as an example.
The four-letter word that no business can live with out and is referred to as the lifeblood of any business is CASH. Accordingly, the individual investor is better served when they think like a business and create cash flows to deploy with leverage into arbitrages. What did he just say? If these terms are foreign to you and you claim to be an investor you better go look them up because they are as old as salt in the financial world and are the best investment advice three self-made billionaires on Forbes 400 ever heard. If you do not know how to enlist cash flow, arbitrage and leverage into your investment plan then seek out a firm that does before it is too late.
Index Funds Of course for many of us, our primary investment vehicles are index funds. These are funds which are designed to match the performance of a major stock index. This takes the decision making away from a money manager. It also makes deciding on a fund very easy. If I want to match the market, I simply buy the index I want to match and move on with my life. In many ways this is a win-win.
Are you thinking of investing some money? There are thousands of different mutual funds that you can start investing your money in, but the question is how do you pick the best one to fit what you are looking for? Or maybe you are wondering if investing in mutual funds online is the right thing for you to do.
The trading strategy for each group will be different. One group may only require a "minimum hold" of 30 days while another may require 90 days. A `dividend` group may result in very infrequent trades while a `sector` group may trade more frequently because of changes in the economy and offer opportunities for large gains, large profits. You may, as I have, have two or even three different strategies for the same group of funds, one based on more frequent trading then the other.
Understanding Mutual Fund Data Now that you know how to find mutual fund prices today, there is the matter of knowing how to read what it is that you have found. Funds are listed in alphabetical order, divided into columns underneath the name of the managing company. Your average newspaper will display three columns: in the first, you will see "NAV," short for net asset value.