Chapter 1
What Is a Mutual Fund?
IN THIS CHAPTER
Understanding mutual funds
Looking at how funds can make you money
Identifying the four types of mutual funds
Knowing where to buy funds
Unless you’ve been living in a cave high in the mountains for the past decade, railing against the evils of humankind, you’ve heard a lot about mutual funds. Chances are you or someone in your family already owns some. Mutual funds seem complicated — even though they are incredibly popular — so lots of people shy away. Many people aren’t sure where to start, or they just buy the first fund their banker or financial planner suggests. All too often Canadians end up disappointed with their funds’ performance, because they’ve been sold something that’s either unsuitable or just too expensive. It’s a shame, because building a portfolio of excellent funds is easy if you follow a few simple rules and use your own common sense. This stuff isn’t complicated — a mutual fund is just a money-management service that operates under clear rules. Yes, it involves a lot of marketing mumbo-jumbo and arcane terminology, ...
Get Investing For Canadians All-in-One For Dummies now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
