Mutual Fund Investments     Mutual Fund Investing

Helping You Increase Your Wealth

   Secret to successful Retirement Investing: 1) Mutual funds have "long-term" profitable returns. 2) Invest in Individual Retirement Accounts. 3) Reinvest all income/capital gain distribution. 4) Emphasize on "no load" funds. 4) Do not make early withdraws! 6) Diversify portfolio investments. and 7) Persevere on retirement savings.

Regardless of your age, profession or income empowerment, you should be planning now for how you are going to retire. However, statistics show that most people are either not giving it enough attention or planning properly for their retirement. In a recent annual survey of Baby Boomer retirement expectations by the Insured Retirement Institute (IRI), they found that 45% of Boomers have zero savings for their golden years. In addition, many Boomers are significantly underestimating the amount of annual retirement income needed to support their health and long term care costs which may not be subsidized by Medicare. Then there are those that still think Social Security will be there to help them enjoy their golden years by providing monthly income to cover any and all retirement expenses. One reason many Millennials have little if anything saved for retirement is because "more than half of investors ages 18 to 34 say they have withdrawn money from a retirement account and paid the tax and penalty for doing so", according to research from E-Trade Financial. Money withdrawn from an IRA before the account holder is 59 1/2 years of age, will incur a 10 percent penalty, according to the IRS.

But that's only part of the story. The bigger issue is that for those that have found a way to save, they may not be finding the right investments to help them achieve their personal goals. There are tens of thousands of mutual funds alone to consider, with different strategies, objectives, goals, fees, requirements. The most important challenge is to find mutual funds that provide a hefty return year, after year, after year. Without a Financial Adviser you may wind up picking the most vanilla or safest options available to you and sacrificing real growth and earning power because you just don't have the time to research this type of valuable information yourself. However, if you click on "mutual fund performance" and "mutual fund investments" you will find the information and help that you are seeking!


One of the best and most successful retirement planning method available to all investors is placing diversified mutual funds that have hefty returns for year-to-date and 3-years and 5-years in traditional Individual Retirement Accounts (IRA) and reinvesting all distribution received from the mutual funds. Being a Financial Planner the author has used this method for over 20 years and can attest to its success. In addition, you, the IRA shareholder, can directly contact the investment company (mutual fund). The benefit is making investments without incurring a broker or dealer fees, there also is no account churning.

There are two kinds of IRA accounts, Traditional IRA and Roth IRA. The traditional IRA portfolio is designed to save for retirement that provides tax advantages. Tax is deferred until reaching the age of 70 1/2. Investment distribution of income and capital gains "reinvested" will not be taxed. However, withdrawal of any distribution prior to the age of 70 1/2 will be taxed.

Mutual funds that have successful long-term returns are excellent investments to build assets in Individual Retirement Accounts. When mutual funds have a 5-year average return of 6%, 7% or better and the stock market goes down, do you really have to worry about the mutual funds performance? A mutual fund is an asset comprised of a pool of money collected from many investors for the purpose of investing in securities such as stocks, bonds, money market instruments, etc. A mutual fund's portfolio is structured and maintained to achieve the investment objective listed in its prospectus. The specific objective, as examples, could be Equity Income, International, Small-Cap, Large-Cap, Health/Bio-Technology, Corporate Debt, High-Yield Munis, etc. Every mutual fund has professional managers controlling, directing, and managing the individual stocks or bonds to buy and sell. There are 4 major factors that investors should always consider when investing in mutual funds.

  1. Net Asset Value - the current market price of the mutual fund assets per share.
  2. Performance - comparing the opening share price vs. the closing share price percentage of gain or loss.
  3. Distribution - income and/or capital gains that mutual fund shareholders receive from the investment.
  4. Risk - investment losses. The types are below average, average, above-average, or high.

The bottom line for achieving a successful and prosperous retirement program depends on how soon you begin your retirement savings and how committed you are to achieving your retirement goal.

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