Mutual Funds

Dividend Fund Managers Are Buying Apple?

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written by Hank Coleman Mutual fund managers are getting confused. It seems like more fund managers are deviating from their fund’s stated focus and suffering from style drift in order to own one of the hottest stocks of the past decade. More than 40 dividend funds have recently bought shares of Apple even though the company does not yet issue a dividend. Even mutual funds that focus on small companies have gotten into the act. Over 50 small capitalization and mid-cap mutual funds have bought shares of Apple stock even though the company’s ballooning share price has made it the …

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Would the Real “Fund” Please Stand Up!

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In this two part series, I examine some of the basic funds and ETFs available, and why most investors would be better off sticking with index funds and index ETFs. Part-1 is a basic definition of mutual funds, index funds, and ETFs. In Part-2, I cover the different types of ETFs in more detail. I also cover the associated risks with many of the actively-managed ETFs on the market. Part-1: Mutual Funds, Index Funds, and ETFs Confused about the differences between mutual funds, index funds, and all the ETFs (Exchange Traded Funds) available to invest in? Well you’re not alone.  …

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Asset Allocation – Part 1: Risk Assessment

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The premise of this article is that “Risk Assessment” is designed by the financial industry, and does not provide any useful indicator for the individual investor. I’ll argue that “Risk Assessment” has no bearing on proper Asset Allocation. Rather, your age is what should determine your investment risk. What is Risk Assessment? Mutual fund and insurance companies understand “risk assessment” very well.  In fact they have it down to a calculated science, highly correlated with human behaviour and piles of statistics. For mutual fund dealers and investment advisors meeting with new clients, it all begins with the “Risk Assessment Profile” …

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Back to Basics (Fed Up with Mutual Funds)

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I received an email from a reader this afternoon. Like anyone who invested in mutual funds for years, they discovered  they weren’t making money. Surprise! They wrote how “Fed up with Mutual Funds” they were, but didn’t know how to get started in Dividend Investing. There are so many questions for the new Dividend Investor. If you have been investing in mutual funds, then a lot of this can seem complex and overwhelming. But once you make the start you are well on the road to keeping your own money and getting paid regular dividends, instead of paying mutual fund …

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