Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Mutual funds
Mutual funds pool resources from a lot of individuals and companies and invest these resources in diversified portfolios of bonds, stocks and money market instruments. An open-ended mutual fund the main type of mutual fund continuously permits shareholders to sell redeem outstanding shares and investors to buy new shares at any time. The worth of these shares is determined by the value of the mutual fund's holding assets. Two major advantages characterise mutual funds. First mutual funds offer opportunities to small investors to invest in financial securities and diversify risk. Second mutual funds obtain advantage of lower transaction costs when they buy larger blocks of financial securities. There are two sections in the mutual fund industry long-term funds as well as short-term funds. Long-term funds comprise bond funds the funds that contain fixed-income debt securities and equity funds the funds that contain stock securities and hybrid funds that contain both debt and stock securities. Short-term funds are represented by money market mutual funds, funds that contain various mixes of money market securities and partially allow shareholders to write cheques against the value of their holdings the presence of deposit-type accounts makes money market mutual funds to some extent similar to depository institutions.
In the USA mutual funds are the second most significant financial intermediary in terms of asset size. In fact they are larger in comparison of the insurance industry but smaller than the commercial bank industry. The mutual assets of the nation's mutual funds increased to $9.5 trillion in 2006 according to the Investment Company Institute's official survey of the mutual fund industry.
Activity 2.5
From the 2007 Investment Company detail Book formed by the Investment Company. Write a brief explanation of how you think these events have determined the historical trend of the industry as described in Table US Mutual Fund Industry Number of Funds, Total Net Assets, Number of Share Classes and Number of Shareholder Accounts (2010 Investment Company
Intermediated funds by type of financial intermediary
Summing up as displayed the total funds intermediated by US financial intermediaries are US$25.17 trillion in year 2006. Commercial banks account for the maximum proportion followed by insurance companies, mutual funds and S&Ls.
What is Cost of Capital Cost of Capital is the rate which should be earned in order to satisfy required rate of return of the firm's investors. It may also be defined as the ra
Let us consider a situation wherein a position in an interest rate dependent asset such as a bond portfolio or a money market security is hedged by using an interest ra
Assume you manage a $4.42 million fund that having of four stocks with the following investments: Stock Investment Beta A
Q. What do you meant by Yield? Investment should be in such securities which yield the highest return. However, safety should not be sacrificed at the expense of yield. How
Audit risk Obtain understanding of accounting and internal control systems. Sufficient to plan audit and develop effective audit approach. Professional judgement to
Preferred Stock This is a category of capital stock that will gives its holders preference over common stockholders in the distribution of earnings or rights to the assets o
What are the differences between life insurance and property and causality insurance? Life insurance prevents against death, retirement and illness. Companies obtain premiums b
name the concept which increases the return on equity shares by changing the capital structure of the co.
Your construction company is evaluating the proposed acquisition of a new earthmover. A consulting company you hired developed the following analysis last year at a cost to you of
I am trying to make a payment and I can''t seem to get it to go throught on you all site..
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd