Questions to Ask Before Investing
Here’s another personal finance sound bite, courtesy of the Nuru personal finance deck.
Questions to Ask Before Investing [in a mutual fund]
How long has the fund been around?
How has the fund performed historically?
Is it a load or no-load fund?
Is the expense ratio high or low?
How long has the fund’s management team been around?
Are there 12b-1 fees? These are fees that funds tack on to cover some of their sales and marketing costs.
Man, I love these little cards. Between these, the stack of investment books on my nightstand, my personal finance blog list, and current news articles, I’m going to be a lean, mean, investing machine. LOL I’m just kidding. Seriously though, what do you think of these Money 101 posts?
There’s a poll embedded so if you’re reading from RSS, you will have to click through.
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Great start, and they should have added:
What specific bond and/or stock holdings are in this mutual fund?
Does it align to my asset allocation?
Is it a passively managed or actively managed fund?
Solid advice, just want to add…
what are the companies long term growth plans?
How has the fund compared to an index fund in the same field?
Thank you for this series. I’m going to order one for me and one as a gift.