Do you have a 401(k) or 403(b) which is probably ALL mutual fund options and you don’t know what you should be doing with them?
Mutual funds are an awesome way to start growing the money you are going to need for retirement. Did you know that if you start investing $5,000 a year when you are 30 and have it invested in a mutual fund earning 10% a year, by the time you are 60, you will have $1,000,000?
The first step to get started is to understand what exactly mutual funds are.
In this show I’m going to take you through the 4 Basics of Mutual Funds so you can start to feel confident with your investments.
- What are Mutual Funds? – what exactly they are and how they work
- How do they make you money? – They can earn money or grow in value
- What do Mutual Funds cost? – from the purchase price to the ongoing management fees
- How do you get them? – If you have a 401(k) or 403(b) you most likely already have them, but you can also buy them yourself or through your financial adviser
I break down these 4 basics in plain in English AND I added a little bonus section on the pros and cons of mutual funds.
If you want to feel more confident using mutual funds to invest your money so it will grow, check out this weeks episode.
For the resources mentioned in this show, go to the main show notes at www.realfamilyfinance.com/episode10