Various Types Of Mutual Funds
A mutual fund is an investment vehicle which pools the money of many investors. There are various types of mutual funds. Each mutual fund has different risks and rewards. In general, the higher the potential return, the higher the risk of loss. The types of mutual funds vary according to the fund's investment objective.
Here in this article some of the basic types of mutual funds are described below. First and the most important type of mutual fund is Money Market mutual fund. These are highly liquid, high quality, short-term securities and which provide regular distribution of income which is determined by short-term interest rates. Money market funds are similar to treasury bills.
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Submitted by admin on Thu, 2006-11-16 08:20.