What are mutual funds?
Mutual funds* are a collection of stocks and bonds that are funded by shareholders (unit holders). They are professionally managed and diversified to spread risk. By spreading your money over different investments and asset classes, your opportunity for growth increases as your exposure to risk decreases. By pooling your money with other investors, you join a group with similar investment goals and have more buying power to invest.
Mutual fund fees include trailing commissions as part of the management expense ratio (or MER) and a portion may be paid to your investment professional’s firm in return for investment advice and account servicing. Our advisors are qualified and registered through Aviso Wealth, our mutual fund dealer. Their role is to help you develop a personal investment plan, so you can make informed decisions and achieve greater results over time.
Who should buy mutual funds?
Mutual funds give investors an opportunity to invest in diversified portfolios of securities managed by professionals. This makes mutual funds a good choice for many Owners depending on their individual goals, risk tolerances and timelines.
Aren’t mutual funds risky?
Any investment involves risk. We’ll have a frank discussion about those risks but, given time and discipline, investing in the markets is one of the best ways to grow wealth over time.
Some funds, like money market funds, hold very low risk investments such as treasury bills and short-term bonds. Funds generally get progressively more risky, including fixed income funds that hold corporate and government bonds, balanced funds that hold both fixed income and equity, and equity funds that invest in stocks of various companies. In all cases there are Canadian, US, and global options, including a multitude of currency options to gain or limit exposure to foreign currency changes.
Feeling overwhelmed? Don’t be. We have a duty of care to our Owners to make sure that your investment is appropriate given your return requirements, your time horizon, and your risk tolerance among other factors.
Ready to Talk With Us?
Set up an appointment today with an Aviso Wealth Advisor at Libro to assess your needs and the right fit.
*Mutual funds and other securities are offered through Aviso Wealth, a division of Aviso Financial Inc. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Unless otherwise stated, mutual funds and other securities are not insured nor guaranteed, their values change frequently and past performance may not be repeated.