01:220:110 Study Guide - Final Guide: Money Market Fund, Target Date Fund, Index Fund
21 Dec 2016
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Economics 110 - personal finance and decision making. Investing in mutual funds: mutual fund - pools the money of many investors - its shareholders - to invest in a variety of securities, why people purchase mutual funds (advantages/disadvantages) Closed-end - mutual fund whose shares are issued by an investment company only when the fund is organized. Exchange-traded fund - invests in the stocks or other securities contained in a specific stock or securities index, and whose shares are traded on a securities exchange or over the counter. Open-end fund - mutual fund whose shares are issued and redeemed by the investment company at the request of investors. Load fund - mutual fund in which investors pay a commission (as high as. 8. 5%) every time they purchase shares: load charge = $ amount of investment x load stated as , amount available for investment = investment amount - load charge charge.
