We have all heard of them and most of us probably will have or have already had some money invested in one at some point during our lives. Mutual funds are a powerful way to store and grow your nest egg and they are one of the most popular and widely-used type of investment in the United Staes.
But what exactly is a mutual fund and how to they work?
Have you ever calculated the cost of purchasing and selling mutual funds? When you purchase a mutual fund, you pay Purchase Fees i.e. Front End Load. When you redeem the money, you pay Redemption Fees i.e, Back End Load. Plus, from your money, the fund pays the adviser and managers. So how much is your real investment? To find out, go through this amazing infographic.
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