If you are a first time investor, and are looking to invest in mutual funds, you will definitely need guidance from a good mutual fund company. There are so many mutual funds available on the market, selecting the right ones will be difficult. Mutual funds are really good investment options. But to really benefit, you should look at the best mutual funds for 2013.
Mutual funds are a good investment because they do not expose you directly to the’ up and down’ movements of the stock markets. Because of this limited exposure, anyone can invest in mutual funds, especially those who are not high risk-takers. When selecting a particular fund, a look at its past history, is advised. How did this particular fund perform one year back ? What returns did it give ? How do they compare with other mutual funds ? With regard to the best performing mutual funds, the risk involved may be a bit higher. To answer all your queries, consult a good mutual fund company.
Managers in such a company will be able to guide you – they are highly trained and professional. Mutual funds which have stocks in insurance, banking, information technology, finance, etc. would be good to invest in. They are diversified and spread out, so risk- taking becomes minimal. Initial low investment, and long term growth, will give better returns. So only companies which have a proven track record of high growth, are the ones to look at. What is important to understand, is that mutual funds are not a ‘get rich quick’ opportunity. By investing in good companies, the funds need to grow steadily over a period of time, and finally deliver good returns. As said earlier, investing in mutual funds offers low risks, as compared to buying shares. The share market is very volatile, and one can lose large sums overnight. So selecting the right mutual funds is of prime importance. Some of the top performing funds are available in the mid cap and large cap category. The risks are a bit higher in these categories, but the returns are good.
If you are ready to invest, and after consulting with your Mutual Fund managers, check out some of the following best mutual funds: Templeton Global Bond Advantage; UBS PACE High Yield P; Dreyfus International Bond; Principal High Yield A; Fidelity Select Medical Delivery; Fidelity Contrafund; and Vanguard Wellington. These funds have performed well, and have shown steady growth. Among others, these funds can be included in the best mutual funds for 2013.