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What Are Mutual Funds?
A simple concept, a smart investment.
What is a mutual fund?
A mutual fund is an investment that pools together multiple stocks, bonds, and other securities to perform as one investment.
How do they work?
Mutual funds combine money from many investors and place the money in either stocks, bonds, other securities, or a combination of the three. They are managed by a professional portfolio manager who actively adjusts the funds' portfolio to try to increase their value.
Why should I invest in mutual funds?
Mutual funds can offer investors the advantages of diversification and professional management for those who do not have the time nor expertise to do it themselves. Over 80 million Americans currently invest in mutual funds today.
How much do I need to get started?
Open a Fidelity retirement account for as little as $200 per month. Or start a Fidelity non-retirement account for just $2,500. Remember, there are no account fees.
Before investing, consider the fund’s investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus containing this information. Read it carefully.
