Join Jane Barratt for an in-depth discussion in this video Funds, part of Learning to Manage Personal Investments.
- If you need a bit of help investing,…you might want to leverage some experts,…Wall Street is full of them.…And funds are a great way to do it.…First of all, funds are pooled stocks or bonds which…put together to attain an objective.…These objectives can be anything from generating…income, to investing in gold, to matching the movement…of a specific index.…These objectives contain in a prospectus which is…an overly complex but important document,…so make sure you check the fund's objectives…to make sure it matches your own.…
The best thing about funds is that they're created…by experts; they're either actively managed…where the funds holdings are constantly…rebalanced to match objectives, or they are passively…managed, where the fund is expertly set up and…allowed to run on it's own.…Either way, you get the help of an expert.…Funds also allow you to do things that you can't do with…a single stock or bond.…Because they're pooled investments, you can get the…advantage of spreading your investment amongst…various different holdings which allows you to access…
Jane is the founder of GoldBean, an online investing platform that helps first-time and experienced investors alike take their investments into their own hands. In this course, she shares her investment strategies with you. She breaks down the market into its five basic building blocks—cash and equivalents, stocks, bonds, funds, and insurance products—and the different vehicles where you can invest these building blocks. She also covers topics such as the importance of a balanced portfolio, understanding and managing your risk, identifying value in the market, and building your "money muscles" over time. Plus, learn how to calculate the rate of return of a portfolio vs. general market performance. Last, Jane outlines the options for DIY investing, when it makes sense to work with an advisor, and how to avoid costly investment fees.
- Why should you invest?
- Understanding compound interest
- Comparing stocks, bonds, and funds
- Managing risk
- Building a portfolio
- Finding where to invest money
- Working with a financial advisor