Since 2003, the number of mutual funds in our country and their popularity among investors began to grow rapidly. State control, transparency of their activities, good performance indicators (on average 30-40% per annum), accessibility for ordinary people make them very attractive.
Instructions
Step 1
To effectively invest your funds and get the coveted million dollars, you should remember that it is the time and amount of investment that play a major role. Thanks to compound interest and how much you are willing to invest, it will depend on how many years later a million becomes a reality. When choosing mutual funds, always follow the well-known rule "Don't put all your eggs in one basket." Ideally, you need to invest in 3-5 funds, preferably of different types and categories (for example, stock funds, bonds, mixed investments, etc.)
Step 2
To choose, use specialized sites that contain comprehensive information, ratings on mutual funds and are constantly updated. Use ready-made ratings, because they are compiled by professionals. These ratings qualify mutual funds not only in terms of profitability, but also in terms of many coefficients showing how the fund behaves in market conditions and how effectively its management company works.
Step 3
Select in your portfolio only those funds that have been on the market for more than 3 years, and compare them for the amount of costs, remuneration of their management companies that they take for their work, because the difference of 1% will be significant over the years. That is, the lower the remuneration of the management company, the better.
Step 4
Choose a tactic for further, preferably monthly purchases of shares of the selected funds, this will bring you closer to your cherished goal faster.
Step 5
After choosing and investing funds, professionals advise, no more than once a year, to check the performance of mutual funds in their portfolio and, if necessary, sell shares of those funds that have lost their positions and, accordingly, buy new, more attractive ones.
Step 6
After redemption, that is, the sale of your shares, pay 13% tax on the amount of income in accordance with the law. Some foundations do it themselves, saving their former clients the hassle. Be aware that during the entire period of holding the shares, no tax payments are made, this obligation occurs only at the time of sale.
