Because there are thousands of mutual fund available across Canada in order to assist our clients with creating quality portfolios, we research and select only those mutual fund that meet each client’s risk tolerance and objectives.
Before investing, there are number of key details that every investor should first understand about mutual fund.
One of the simplest investment instruments available to a new investor is a mutual fund. A mutual fund is a professionally managed pool of money invested by people like you. There are many different types of mutual fund, each designed for a different type of investor with a different financial profile. When you buy a mutual fund, you are pooling your money with other investors who share your investment profile and your objectives.
There is strength in numbers
A key benefit available through mutual fund ownership is diversification. The range of security types and asset classes offered in mutual fund can help to shield your investments from market fluctuations. If the value of one security held in a fund falls, the loss may well be offset by a rise in the price of another security.
By investing in a variety of asset classes, you can profit from the growth of one type of security, while shielding your portfolio from potential losses in another. Whether it is by security, company, industry, or country, mutual fund offer investors a level of diversification that would be difficult to achieve on their own.
Mutual Funds come in a variety of shapes and sizes
The most familiar mutual fund are equity funds, bond or fixed-income funds, money market funds, and balanced funds. A basic equity fund invests in the shares of various corporations. Equity funds differ in their selections of individual company characteristics, industries, or geographic locations. Bond funds offer investors the potential for interest income and the opportunity to realize capital gains over the long term.
Do you need ready access to your capital?
Generally, mutual fund are structured in such a way that accessing your money is as simple as calling our office. As your investment needs change, your personal financial strategy can also be easily changed. Subject to some restrictions, we can move money from one fund to another or cash in all, or part, of your investment at any time. To help build assets over the long term, you can institute a plan of regular investment contributions or, conversely, a plan of regular systematic withdrawals.
The advantage of continual professional money management
Choose a fund that matches your personal objectives
Look for consistency in the long-term performance of the fund and the professional who manages it. Try to select a mutual fund that invests in securities you understand and that has a portfolio manager whose style you are comfortable with. For every client, we first review their unique investment objectives and we take care to understand their concerns so that we can provide them with information on mutual funds and help them select mutual fund that add value to their portfolio.
Mutual Funds have excellent potential to grow your capital
