Mutual Fund Investment

A mutual fund investment can potentially yield great gains for you. However, you need to choose your mutual fund investment wisely. There are many pitfalls to mutual fund investment, as there are advantages. You would need to research and study your prospective investments first prior to plucking down your money.

As in every investment, the mutual fund investment with the highest yields is the most attractive investment option. Of course, there is bearing to deciding on your mutual fund investment based on returns or yields. However, also consider the stability of your investment choices. You need to also check the performance ratings, efficiency and value of your prospective mutual fund investment. Keep the returns or yields in mind, but decide based on the different factors.

In 2008, the mutual fund investments that had the most yields include: Concordia Special Growth Fund, Mawer New Canada Fund, Empire Small Cap Equity Fund - A, Dynamic Power Global Growth Class, GGOF Canadian Large Cap Equity Fund, Ethical Canadian Dividend Fund, HSBC Small Cap Growth Fund Investor Series, AGF Canadian Large Cap Dividend Fund Classic and the PH&N Community Values Canadian Equity.

A typical profile of attractive mutual fund investment is as follows:

1. Mawer New Canada Fund: This is a high yield mutual fund investment, with annualized five-year returns of 23% in 2008. The mutual funds specialize in investing in companies with shareholders’ capitalization of $500 million and below, and high potential for growth.

2. Concordia Special Growth Fund: The yield from this mutual fund investment is at a high 21.93% in 2008. They focus on investing in stocks and equities with low capitalization and high gains.