Saturday 31 March 2012

Oil And Gas Mutual Funds


Oil and gas investment funds

With the rate at which fuel prices have risen over the years, oil and gas investment funds have now become an excellent form of investment. Finding a good company for these investments, however, is not always easy. Investment in energy requires that the investor knows how to keep the market and be able to take action when the time is right. If this sounds like you, you could have a future in the energy sector.

Choosing an advisor or online account

When it comes to investing in oil and gas investment funds, you will need to make a decision on whether or not to go through a personal financial adviser, or to start an online trading account. It can be a difficult choice to make: after a financial advisor who will guide you is very useful, but it can be expensive. And while you save money with online account, and be able to move through the exploration of different mutual funds at their own pace, there is much room for error if you are a novice investor. Regardless of the option you choose, you'll want to look for no-load fund, so you can avoid as many additional fees as possible.

How to handle oil and gas investment funds

Good agents will have a successful 10, 5 and 1 year profits. Sometimes one years outlook is not very good, they will tell you what happens to the Fund at present. Due to several factors that influenced the price of oil this type mutual funds can be risky. Right move, however, can lead to very profitable investment. Keeping a close eye on the economy, and politics in the Middle East and North Africa (because they have an impact on oil prices) will help you prepare. When prices sink, buy as many shares as you can - within reason. At some point oil prices will rise, and you will see a profit themselves.

ProFunds UltraSector Fund

One particular example of good oil mutual fund is the Oil & Gas UltraSector ProFunds Investor Fund (mark ENPIX). This is a good way to break up the oil and gas sector. ENPIX has returned 19.2% in 2011, after 25% return in 2010. One thing you should always keep in mind when investing in energy, however, how much you are risking. Do not put money on the line that you can not afford to leave behind. That being said, to provide any and all emergency funds and mortgage before you begin your trip in the energy market.

High Risk Mutual Funds


High Risk Investment Funds

High risk investment funds hold an advantage made more money than most investment funds in the state, but as the name says, they carry with them an incredible amount of risk. Depending on what happens in a particular fund, as well as current events, you could lose money in any number of investment areas. The funds contain only stocks are more risky than those that combine stocks and bonds, and even then there are different levels of risk depending on the category of holdings. The following will give an overview of some of the different types of high-risk mutual funds.

Sectoral Fund Mutual Funds

Sectoral funds that focus on the corners of industries like energy, health care, and real estate, invest only in companies that actually operate in this sector. For example, a fund of energy will have shares of companies that make their business as anything other than coal, natural gas and oil, whether it is the work of harvesting and distribution, or a different angle. Health funds will center around stock companies for the supply of health care, medical supplies and medicines. Sector funds are known for rapid growth spurts that bring high returns for investors, but at the time when the industry is down, their lack of diversity could be a major cause of loss.

Global and Micro-Cap Funds

Investing in funds from other countries, like China, Brazil or India, involves more risk than if you were to hold shares in the U.S. or Europe. International equity funds, and even those who gathered around the small American companies, will more than likely will not remain stable in the face of troubled economy. However, when these investments have seen growth spurts, they will be very profitable. Micro-Cap funds third brand of high-risk mutual funds. These investments are related to the stock held in companies with a value of less than $ 300 million. As said before, it is less firm, the greater the risk. On top of that, more problems in the market is seeing, the more the risk increases.

The appeal of high-risk funds

Actively managed funds that may be a risk as well. Frequent management usually means that the manager as specific strategies that are closely monitored on the basis of market research. As a result, they often trade, which means more fees and costs for investors. Despite the dangers involved in high-risk investments, there is still a lot can get from being part of a period of rapid growth.

Natural Gas Mutual Funds


Gas Mutual Funds

As the years pass, the world's energy demand is only increasing, mainly due to growth in China and India. This has left no doubt in many minds that the price of gas will only continue to grow in the years to come. Because the earth's limited supplies of coal, oil and nuclear energy, alternative to gas, investors have become interested in investing in natural gas investment funds. One way to do this is through the gas traded fund or ETF. Typically, ETFs try to use futures contracts to track gas prices. However, there are certain disadvantages of this method. Condition futures market (whether sales going above or below the expected amount) may have an impact on the return. It can be very difficult to trade in the future, and the technical details may result in volatility and the lag in monitoring prices.

The advantage of the natural gas fund

When the price of gas goes up to a large extent, the result will be that the value of the company's gas production will be more than the actual cost of gas. So if there are doubts that the price of gas will continue to go up, investing in mutual funds natural gas is a smart move. But putting all your money behind just one company can be risky, because it can cause shock stock bears no resembles the actual cost of gas. An easy fix is ​​simply to invest in more than one gas producing company.

Best Gas Mutual Funds

Increasing gas prices increase investment opportunities in the entire gas value chain, from manufacturers and service companies in the real gas distributors. There are several funds that rely heavily on gas-producing companies. One of them is particularly Fidelity Select Natural Gas. More than 70 manufacturers of gas supply stock fund. When choosing a gas resources are for growth, Fidelity also offers a range of sector funds, such as the no load Fidelity Select Natural Gas (FSNGX) fund. Other assets include the FBR Gas Utility Index (GASFX) and JP Morgan Alerian MLP Index ETN (AMJ), a good income for the fund, First Trust ISE-Revere Natural Gas Index ETF (FCG) and Devon Energy DVN) for growth. In addition to mutual funds and ETFs, there are stocks, such as the Targa funds (NGLS) and Williams (Partners WPZ).

Tax Exempt Mutual Funds


Tax free investment funds

Although the majority of investments come from taxes, there are some tax exempt mutual funds that can give investors a nice advantage. Mutual fund investors to enter: pooling their money together, they were able to achieve a more diversified portfolio than they otherwise would. They are also able to enjoy the benefit of having a professional manage their funds, making them more likely to be successful in your endeavor, but that he went to act on their own investments. Getting involved in the investment known as a triple tax exempt mutual funds will allow you to invest money without having to pay the usual taxes on interest returned. For investments that will provide you with lower rates of return and tax benefits, triple tax exempt mutual funds are the way to go.

Finding your investments

To get started, first do your research. Know what your fund will contain. These investments are usually made of municipal bonds that are vulnerable to federal, state and city taxes. Before committing, to decide whether or not it is actually an investment for you. People looking for a non-taxable investments are usually in the middle and upper brackets are looking for a tax holiday. Also, check out the fact that, although there is no need to pay taxes can help in the short term, this type of investment is usually for people who seek to reap the benefits of participating in a long time.

Purchase of Mutual Fund

To make your investment, log on to the website of the company you choose to handle your investment, and find a prospectus for any and all means that they are interested in. You can narrow your search deciding on the type of fund you are interested in. You want to invest in your own or with the help of a mediator? It is important that you are aware of any fees that might be reduced from his total winnings go u know if your account can create on-line, or if you need to contact the broker, or even act through the mail. Again, I know that when working with a broker, the fees are more likely to accumulate. When you buy a stock, fill in all fields of application to the best of your ability, and make sure you keep a copy for your records.

Ended Mutual Fund


The most typical form of fund offers investment services to open-ended mutual fund. What makes the open fund is open to the fact that the amount of the investor's shares, and fund size is generally unlimited. However, the manager may decide to close the fund to new investors in order to control steering. The share price or value of the Fund is called its net asset value (NAV) is calculated at the end of each day in the market. An alternative to this type of fund is closed ended one. Open ended fund is ideal for long term investment. The diversity provides for a person's risk of a portfolio allows the investment to be lowered, as the perfect opportunity to watch your winnings increase with time.

Benefit of open ended fund

There are many factors that contribute to the popularity of this type of fund. They have a great retirement investments, and can be easily used by novice investors at low cost. These include the various departments, something that helps both beginning and veteran investors. Active mutual funds buy shares in many companies, ensuring that your fund will be more likely to stay on the surface of the sea on the market take a sudden dive. As time passes, the more money that investors put into the fund will increase the amount of fund shares. In the case of closed-end fund, only a certain amount of stock will be available, and they will be traded in much the way that stock. Its NAV is much more sensitive to change than to the open-ended fund.

Other open fund information

The stock opened for the mutual fund is five letters, and close ended funds have a three or four. NASDAQ uses four-letter symbols, and NYSE and AMEX use three. The only time when the stock price for open funds is updated at the end of day market. Price closed-end funds rises and falls throughout the day, the shares are traded throughout the day on the market. One of the advantages of open mutual fund is that investors can focus on certain industries, like technology, medicine and finance. Because the fund will provide a rapid diversity in your portfolio, there is no need for investors to become experts in their chosen industry before investing. You can buy shares through the Internet, by mail, with a broker over the phone, or go straight to the fund itself.

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Investment Mutual Funds


Alternative investment mutual funds are mutual funds that invest in assets other than traditional investments such as money market instruments, stocks and bonds. These investment vehicles are available in a wide range, and sometimes not available to the public securities markets. For example, one example of an alternative set of assets will be an investor in the collection of fine art. Currencies, commodities, derivatives and all the options that are traded in public markets. Purchase of alternative investment mutual funds gives the investor the benefit of professional help, a diversified portfolio and liquidity for those who need exposure to alternative assets. The following will go over three alternative investment mutual funds.

Direxion Dollar Bull 2X Fund

Direxion Dollar Bull 2X Fund (DXDBX) lead manager Paul Brigand, and was open to investors since June 2008. This fund pits the value of the U.S. dollar against other currencies specified in the foreign exchange market. The course was established in what is the value of currencies in relation to others. Supply and demand dictates that the currency change. In 2010, the U.S. dollar lost value of several major currencies. The dollar value is often compared with the Japanese yen and British pound, Swiss franc and Swedish krona, Canadian dollar and the euro. Reports have stated that investors would see losses in the year 2010, explaining that the investment is only $ 10,000 would be worth $ 9,711 at the end of the year.

American Century Gold Fund

American Century Gold Fund (BGEIX) managed by William Martin and Lynette Pang. According to The Wall Street Journal, the price of gold has risen nearly 200 percent in recent years. Companies that have real needs gold delivery, storage options, and insurance. Mutual funds provide liquidity, whenever necessary. American Century Gold Fund offers diversity among these companies dealing in gold. According to Zacks Investment Research, five years at the annual rate of return for the fund is more than 19%. In addition to cost ratio of 0.70 percent, compared with an average gold mutual fund expense ratio of 1.5 percent, the American Century Gold Fund compares very favorably with similar companies.

Fidelity Real Estate Income Fund

Fidelity Real Estate Income Fund points out, because real estate is not considered liquid assets. Real estate mutual fund investing your money in REITs or real estate investment trusts and asset management firms, both of which are publicly traded. Fund managed by Mark Snyderman and holding stocks, bonds, mortgage-backed securities from the corporation, and Convertibles. Their top economies are listed as Acadia Realty Trust (AKR), MFA Financial, Inc. (MF) and Cypress Sharpridge Investment (Cys).

Currency Mutual Funds


FOREIGN investment funds

Are you interested in investing in foreign mutual funds? It can be very successful investment, but first you must take appropriate steps to educate yourself about what you will be getting in. If you are not very well versed on this subject, you're a little behind, but catching it is very possible. The following article will give you a basic introduction, and set you in the right direction for preparing yourself for the process ahead.

Why EXCHANGE mutual funds?

These types of investments are becoming increasingly popular. Foreign mutual funds are a promising concept for investors who have spent time in business rates. But before the person first starts of their investments, they should carefully consider the process behind it. Your level of expertise, understanding currency and type of currency you invest in will have a lot to do with whether or not you are successful.

Understanding the basics of foreign exchange

If you have not yet experienced in the foreign exchange market, you may find yourself having trouble understanding the basics of foreign investment funds. It is advised that you know your way around the subject before, because you will have to rely on the expertise. When you do not get started, you must have an understanding of foreign exchanges. Major currencies can include some degree of risk due to their tendency to change suddenly. You'll want to have a wide range of options as you start putting money into investments.

Finding Information on Foreign Exchange

Becoming educated on the way to foreign investment function is essential for your success as an investor. This is something that should be handled before, not after. Try to find as much information as you can. It will take a wide range of objects and sites that cover finance. You could also check out the site and read the financial institution on the process of investing in such funds. Forums are a great way of getting information, as well. More often than not, they will be free after registration. And if you're really looking for in-depth experience, consider mutual funds course. Classes, either online or off, will give you a more focused set of data, and leave you with a better understanding of mutual funds and investment process for them.

Absolute Return Funds


Absolute Return Funds are internationally known as hedge funds. Hedge funds are often considered high risk / high return investment products. This is because they have gained fame for making rich investors such as George Soros, John Henry and others, very rich. Hedge funds using different investment strategies, so it is usually considered out-of-reach to the average investor. In fact, hedge funds are considered to have the same volatility of the bond, but with a much higher rate of return.

In this article you will discover:

What is the Absolute Return Fund?
How Absolute Return Funds play a role in your portfolio
What is the Absolute Return Fund?

Absolute Return Funds are actively managed investments that aim to produce returns in and rising and falling markets through the use of a wide range of investment techniques. Traditional mutual funds tend to invest directly in equities, which may go either up or down. These funds have a greater range of derivatives, short positions and non-traditional securities in order to ensure their positions are protected in bearish markets.

The funds are massively different in size, scope and philosophy. Investment strategy employed by the fund manger will dictate whether investors receive returns in the form of income, capital appreciation, or both. The risk profile of absolute return funds can also be in the range from very conservative to very aggressive. The difference in the return and risk profile determines exactly which instruments are used by the fund manager. This methodology will be designated fund Product Disclosure and Prospectus.

The main features of hedge funds are:

Non-traditional investment techniques such as short selling, derivatives, guarantees
Performance incentive adjustment and director of investor interest
Using laptops to increase investment positions and potential yield
Accepting pf new investments in order to effectively implement its overall investment strategy
Minimal exposure to stock market
How Absolute Return Funds play a role in your portfolio

All fund managers are trying to achieve the best performance I can. Their whole reason for that increase your return on investment. Absolute Return Fund uses various investment instruments to make the most consistent performance for you.

The advantages of investing in Absolute Return Fund are:

Back to the rising and falling markets
Absolute Return Funds main advantage over the ordinary shares is that they aim to give you a return in both rising and falling markets. One of the keys to successful accumulation of wealth is to continually move forward. Absolute Return Funds ignore bearish and bullish trends to be consistent performers in its portfolio.
Diversification into non-traditional investment instruments

Diversification of the investment portfolio is key to success. Your portfolio should already contain stocks, bonds, property, cash, fixed interest investments. Absolute Return Funds offer another weapon in your arsenal of wealth accumulation. You are able to diversify your portfolio that gives you even greater security and, over time, a better return on investment.

Liquidity

Shares in these funds are often available directly from the fund manager, but it is easy to find, and traded on stock exchanges. This makes your investment is very liquid. You have the ability to increase or decrease the bet, in a fund at the click of a button.

Return from both income and capital

These funds can give you both returns in both income and capital. This expansion will help your tax position as it is not overly exposed to any kind of return.

Risk Management

These funds are also actively managed. Managers also tend to have large amounts of their own personal wealth invested to convince investors that managers are always trying to maximize return on investment.

Invest In Equities


Investment in equity is one of the few ways of making big money - sometimes very big money. However, it comes with the risk of losing money - sometimes the entire amount. Therefore, despite great potential, investing in equity is negligible in comparison with bank deposits / mail scheme. Fear of loss is just too overwhelming.

Yes, except for investments in capital is not easy.

- You must have sufficient knowledge to understand the economy, markets and annual reports

- You have to spend much time analyzing the balance sheet, income statement, cash flow statement

- You need to track your portfolio almost on a daily basis

- Maybe you do not have enough body to build a diversified portfolio of meaningful

- Due to the sharp market volatility is never sure when you buy / sell

- All the news flow, the hype and conflicting opinions in the media only adds to confusion

- I can not rely on the advice that, more often than not, they have a trick to fool the

- Time and again scams in the market eroded investor confidence

- You have to open Demat / c

Given all this, it is not difficult to understand why most investors prefer the simplicity and safety of the bank / post office deposits.

But there is a way. Yes, there is a simple and safe way to invest in equity.

Yes, you can invest in equity without the above-mentioned problems. Yes, you can invest in the capital with almost zero possibility of losing the entire capital. The answer is - the content of the SIP funds.

When you buy index funds (or nifty SENSEX), and invest in the best 30/50 companies.

- No need for you to analyze the balance sheet, income statement, cash flow statements of the top companies. They already monitors MFS and FIIs and other institutional investors

- Corporate management in these large companies is well

- Due to the large and diverse base of ownership, the chance of share price manipulation are low

- Fraud usually happens in small and medium businesses. Even if the fraud in any large company, it can be one-off case. Moreover, it will be dropped from the index. So his influence, over time, will be negligible

- Index funds do not require the fund manager

- All index funds are more or less the same. So, no problem about how to choose the best funds

- Fund management cost index funds are among the lowest

- Since this is a SIP, you need not bother about that when you buy

- No need to accompany him. When you get old company and new companies enter the index, the Fund will take care of it.

- Can the diversity of the entire upper end of the market even in Rs.500/Rs.1000

- No need of Demat / c

Thus, investing in index funds is as simple as a bank FD / RD.

Now, let's look at the safety aspect.

I have some number crunching on the couches of his birth in the mid-1990s to 1 week of May 2012, ie a period of nearly 21-22 years. I did the following

a) What were returned after 5 years, if not sip Rs.1000 for 5 years (60 months) begins on any day (about 4000 data points)

b) What were the returns after 10 years, if not sip Rs.1000 for 10 years (120 months) starting on any day (about 2800 data points)

Here's what I noticed

5-year SIP

Amount of investment: Rs.60, 000

Max. Value / Return: Rs.174, 000 / 37.14%

Min. Value / Return: Rs.45, 450 (-11.40%)

Avg. Value / Return: RS 84 400 (12.84%)

% Negative yield: 20%

10-year SIP

Investment amount: Rs.120, 000

Max. Value / Return: Rs.508, 000 / 24.29%

Min. Value / Return: Rs.103, 450 (-3.01%)

Avg. Value / Return: RS 250 400 (13.25%)

Negative% yield: 7.8%

So, as you can see,

- Even in the worst case loss was only 11.4% at 5 years SIP. So, do not worry, you will not lose their entire capital.

- The probability that the loss was less than 8% at the 10-year horizon and that only 3% in the worst case.

- Even the average return of about 13% were far better than returning to the FDS (indeed these returns are tax free, while your FDS will be taxable on your tax slab)

- Treat as a long-term equity investments for those 10-15 years, such as your insurance or PPF (or at least a 5-year NSC) and will probably end up with very good returns

By the way, suppose you started sips during the euphoria of January 2008, when he was on the sofa, then an all time high of 6288, but after that four years have been the most turbulent and uncertain markets in history. Despite the markets and trading down nearly 1000 points in 5220, and will still be available today [5.38%].

So, that's it - simple and safe way to enjoy the fruits of capital - and smart too.

Investing in Investment Trusts


Investment firm is one of the most common vehicles that are private and institutional investors use to grow their portfolios, but for those who have yet to enter the market, the following is a brief introduction to what they are and how you can access.

What is a Mutual Trust

It is a collective investment vehicle that allows investors to pool their money and spread their investments across a number of fundamental investing, fulfilling a role similar to that of fellow collective investment vehicles, unit trusts and open ended investment companies (OEICs). They are, therefore, offer lower risk profiles (from investments in individual companies) With access to a wider range of investments than an individual could feasibly manage themselves (and the offer of a focus on individual industrial sectors and geographical). Fund managers are employed to oversee investment decisions and thus investors are benefiting from their expertise in spotting investment potential and risk spreading.

Unlike both units Trust and OEICs, however, everyone is essentially independent public limited company traded on the stock exchange and whose sole purpose is to invest in other public companies. As a result, they are closed ended that trust is divided into a finite number of shares that can be traded in the same manner as other public limited companies shares. The buyer has to buy existing shares from the seller and the value of a trust set supply and demand, in turn influenced the performance of the fund and its fundamental investment (open funds, on the other hand, allow investors to add money to your fund is a 'container', increasing the fund size, in exchange for the award of the value of each existing unit). The contrast between the confidence in the share price and its net asset value (NAV) and will give you information about how the fund performs as popular. Common shares trade at a price below the value of the fund (ie the discount).

Ways to Invest

Investing through an intermediary - Investment trusts can be purchased through stock brokers in the same way as shares / shares of stock, etc., or through a broker, but this method will bring order charges, even if they are easily offset by the performance of the fund.

ISA - The equities and equity element of the ISA or ISA Junior will often allow investment in investment trusts, while others may be tied exclusively to one particular trust; use it to access the managed range of underlying shares.

Pensions and annuities - annuities and pensions of those who manage the pension fund managers are likely to be investing in underlying investment trusts. However, for those who want to pick up and manage their own trust within their pension pots, Self Invested Personal Pensions (SSRIs), or small independent schemes (SSASs) offer the opportunity to be on hand.

Types of Investment Trust

Multi Manager Funds - These funds are used more than one fund manager to monitor the various sectors in which the fund invests. They are another way to spread both risks and benefits of the fund manager's expertise. The Fund Managers company specializing in specific industries can manage their individual sectors to a greater extent, potentially more successful, while the risk is diluted as the performance in one area of ​​the fund is more likely to be offset second being run on a different strategy.

Split Capital Investment Trust - These are usually fixed-term trusts that offer various types of shares, depending on whether you want to protect your initial investment capital and / or to receive dividends and / or qualify for a high yield if the fund performs well. Come to the wind-up date, the shares of capital protected (but low amount) shall be paid prior to those that compensate the risk with potential high returns.

Real Estate Investment Trusts (REITs) - basically investment foundations that invest in the share ownership of investments than stocks and shares. Again, a separate company that people can trade on an exchange.

For those who want to invest in investment trusts, especially those without previous experience, it is always wise to seek independent professional advice before, but their value is sure to add these options for your portfolio.