PelajarWP – Many people still assume that both stock and mutual fund shares are the same instrument. Whereas, even though the same play in the stock market, the second investment is quite different.
One difference that is clearly visible that of how it works. If both direct stock investors who manage the funds themselves, while mutual fund investors ‘ money managed by the investment management company investment.
Not only that, to plunge into the investment stock you need to spend considerable capital. While mutual funds can be started with only tens of thousands of dollars. No wonder that the instrument this one is much sought after by many novice investors. Why?
In addition to the capital is minimal, mutual funds are dabbling in the stock sector can provide a great return and less risk than the stock investment directly. Because, if you don’t know the right time to sell and buy the stock to be risky in bankruptcy.
Therefore, for you novice investor but want to play in the sectors of the stock it is advisable to invest in mutual funds before plunging into the stock investment directly.
Capital Hundreds Of Thousands Of Profits In Millions Of Dollars, Here’s How To Work Mutual Fund Investment!
However, before you decide to dabble in the stock market, it’s good that you also know the several types of mutual funds which is popular in Indonesia. What? Here in between:
Money market mutual funds generally divert investment funds to money market products, such as deposits and securities with maturities of under one year. Instrument this one is also known with a small risk with a return that is greater than the deposit.
Fixed income mutual funds allocate their investment funds to bonds owned by the government and private sector money market. Fixed income also offers a small risk but the yield is greater than money market mutual funds
Mutual funds mixture divide the funds into multiple instruments, namely stocks, bonds, and money market. Mixed mutual funds also have a great return but the risk is also big enough but lower than mutual fund shares.
The Difference of Mutual Fund Shares and Stock Investment
Mutual fund shares to be one of the favorite instruments of investors who have an aggressive character. You see, the type of mutual funds that one can provide a high return with the level of risk is also high. As the name implies, the investment manager will divert the funds of investors to the stock market and also the money market.
I now already know the type of mutual fund that is now hunted by many people to reap the coffers of rupiah. Well, as already described above, if the stock sector has indeed become one of the excellent investors.
For more details, let’s look at just about the instrument stocks is stock investing directly and also mutual fund shares under this:
Stock investment direct Investment is carried out independently (investors manage the funds and buy the desired). While the investment mutual fund is a managed investment by the company of the asset management and investors can choose investment instruments stock.
But, it’s good to play in mutual funds you don’t need to bother taking the decision to sell or buy shares, because of the investment that you have will be managed by experienced investment manager.