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I'm looking to invest $10,000 in Mutual Funds. How much should I make in one year??? |
Is this the fastest way to make money with my $10,000 without any risk??? Mutual funds are not a risk-free investment. The amount you will make or lose will depend on the type of mutual fund and how it performed in the 1 year. Mutual funds are geared towards long term investors. Mutual funds ARE a risk- they are simply a group of shares of companies in the stock market all tied together. When you buy a share of the mutual fund, you are buying a snippet of each company in the fund. The value of your shares rises and falls with the stock market- so, technically, you could loose $. Historically the stock market makes you 8-10% a year, average, over TIME. If you only have 1 year, and can't tolerate any risk, the stock market is not for you. put your $ is a safe vehicle like a money market account or cd- research to find the highest rate you can. If you can tolerate some risk, and are willing to give your $ more like 5-10 years, mutual funds would be a smart way to go. As the prices of mutual funds change daily, finding the best performing funds can be quite tricky. In case of normal stocks and securities, you often track the prices. But for the mutual funds, it is better to conduct research to decide which investment company is administering the fund and the specific securities held by the mutual fund. 1) $2,000.00 How much in one year-- that is the $10,000 question. |
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