Scoring Fund Investment Quality
AAA
  1. Overview Of The Mutual Fund Industry
  2. History Of The Mutual Fund
  3. How A Mutual Fund Works
  4. Today's Mutual Fund Industry
  5. Fund Investment Qualities
  6. Fund Investment Quality Scorecard (FIQS)
Overview Of The Mutual Fund Industry

Overview Of The Mutual Fund Industry

By Richard Loth (Contact | Biography)

Financial intermediaries become fund sponsors when they create and operate mutual funds. Such funds are a type of investment company that pools money from the investing public and collectively invests this money in stocks, bonds and money market instruments. A mutual fund provides individual investors with a convenient form of investing, professional management, broad diversification and liquidity.

The purpose of this tutorial is to show the investing public how to use a simple eight-point, fund evaluation technique to select and monitor a mutual fund. But first we are going to step back and put the mutual fund business into historical perspective, review the operational workings of a fund and look at some of the broad issues related to today's mutual fund industry. (For background reading, see Mutual Fund Basics.)

Return to the Main Menu.

History Of The Mutual Fund

  1. Overview Of The Mutual Fund Industry
  2. History Of The Mutual Fund
  3. How A Mutual Fund Works
  4. Today's Mutual Fund Industry
  5. Fund Investment Qualities
  6. Fund Investment Quality Scorecard (FIQS)
Overview Of The Mutual Fund Industry
RELATED TERMS
  1. Earnings Per Share - EPS

    The portion of a company's profit allocated to each outstanding ...
  2. Return On Investment - ROI

    A performance measure used to evaluate the efficiency of an investment ...
  3. Bear Fund

    A mutual fund designed to provide higher returns when the market ...
  4. Ulcer Index - UI

    An indicator developed by Peter G. Martin and Byron B. McCann ...
  5. Net Present Value - NPV

    The difference between the present value of cash inflows and ...
  6. Investment Company Act Of 1940

    Created in 1940 through an act of Congress, this piece of legislation ...
  1. What is the formula for calculating compound annual growth rate (CAGR) in Excel?

    The concept of CAGR is relatively straightforward and requires only three primary inputs: an investments beginning value, ...
  2. What are some common traits of undervalued stocks?

    There are a few basic factors found in companies that are worth more than their current stock price.
  3. What are the best indicators for evaluating technology stocks?

    Technology stocks are often some of the most discussed stocks on the news. How can investors spot the company that will roll ...
  4. How does Warren Buffett choose the companies he buys?

    Investors have long praised Warren Buffett’s ability to pick great companies to invest in. Lauded for consistently following ...
comments powered by Disqus
Related Tutorials
  1. Ratio Analysis Tutorial
    Fundamental Analysis

    Ratio Analysis Tutorial

  2. Top ETFs And What They Track: A Tutorial
    Mutual Funds & ETFs

    Top ETFs And What They Track: A Tutorial

  3. Introduction to Stock Trader Types
    Active Trading Fundamentals

    Introduction to Stock Trader Types

  4. Analyzing The Best Retirement Plans And Investment Options
    Retirement

    Analyzing The Best Retirement Plans And Investment Options

  5. Guide to Pairs Trading
    Trading Strategies

    Guide to Pairs Trading

Trading Center