A mutual fund is an investment vehicle that pools money from many investors for the purpose of investing in securities, such as stocks, bonds, short-term instruments and other assets. Mutual funds are professionally managed by portfolio managers who oversee a basket of securities according to the fund’s goals and investment objectives.

Each fund has its own level of risk, which depends greatly on the types of securities it holds. In addition, each mutual fund has its own investment goals, ranging from income generation to long-term growth to capital preservation. In general, funds with higher potential returns come with higher levels of risk.

• DIVERSIFICATION - Buying a mutual fund allows an investor to hold a variety of securities, rather than ownership of individual stocks or bonds.
  
  
• PROFESSIONAL MANAGEMENT - Mutual funds are well suited for investors who may not have the time or expertise to invest directly in individual securities like stocks or bonds and want the convenience of a professional asset manager to make investment decisions.
  
  
• LIQUIDITY - Mutual funds offer the ability to get in and out of the market with relative ease, although it’s important to review any fees associated with selling.
  
  
• ACCESS - For investors without a large amount to invest, mutual funds offer the opportunity to obtain investment exposure to equities in smaller denominations, with a minimum investment beginning at $500. Mutual funds give individual investors access to global markets and investment opportunities that they might not gain exposure to otherwise.

It’s important to review your financial goals and select the right solutions for you. For more information, learn about our innovative solutions or speak with your financial advisor today.