Mutual funds by definition are an investment from a group of people that consolidate their money and let a portfolio manager handle the trades (buying and selling) of the fund’s investment in accordance with their objective. Investments could include stocks, bonds, commodities, securities, and other mutual funds.
To be able to get the best returns out of any mutual fund investment, an organization should study the annual returns that investors get and one other way to do it is through the help of the best mutual fund companies. A low initial investment mutual fund that comes with an approved track record could considerably be the best mutual funds.
Top Mutual Fund Company
There are few companies that are branded at the top of mutual fund investments. These are Scottrade, Fidelity, T Rowe Price, and Vanguard. Although there are others out there that are respectable choices too, the before mentioned is by far the best. We shall discuss one by one why this is so.
Our Mutual Fund Recommendation:
- Scottrade – Our top recommendation because they are the leading broker company today and offer exceptional support and client tools. Their mutual fund screener makes it easy for you to find mutual funds that fit your investing criteria. Choose from load funds, no load funds, no transaction fee funds and more. Open your Scottrade account today.
Additional Mutual Fund Companies:
- Fidelity Investments – This company is one of the respected institutions for mutual funds which has been made famous by one of their fund managers Peter Lynch who got remarkable returns year after year. Fidelity Investments operates a great research division and a considerably large number of average-priced funds that are actively-managed. Their line of services includes virtually almost every stock and bond market sector.
- T Rowe Price – One significant advantage of T Rowe that gives them a huge lead against their competitors is the low initial cost of opening an IRA with only $50 as long as you invest $50 monthly to your account. When it comes to mutual funds, T Rowe runs with a line-up that is below average cost and quite well-rounded. They also offer good and inexpensive international bond funds which are quite rare. When you take into consideration your life after retirement then go look for the best IRA mutual funds. Likewise if you want to get the best IRA then look for the best IRA company.
- Vanguard – To start with, Vanguard is cheap. Along with a wide variety of indexed funds comes an excellent actively-managed funds that are very cheap compared to their close competitors. Being a mutually owned company, Vanguard has the ability to roll their savings directly to investors. This would give you additional security in your investments and confidence with vanguard that they will not screw their investors because of profiting.
Balanced Mutual Fund
We know that mutual funds give investors a way to diversify their fund’s investments through mainly stocks and bonds and this could take quite a while specially in building a sensible portfolio. One way to cut the long road short is by balanced mutual funds. Balanced mutual funds invest both in stocks and bonds while keeping the ratios intact and that shortens the time in creating a portfolio.
Our Tips and Warnings
In case of cash emergencies and you think of getting a loan from your mutual fund please refrain from doing so. Remember that the value of your mutual funds depends on the current market scenario thus making mutual fund loans not the best option in solving financial constraints especially when your portfolio is doing well.