Fund houses are asset management companies and they mostly deal with mutual funds. These houses play a vital role in operating many schemes that help in pooling in the money from the retail or institutional investors. Different kinds of investors have individual needs and objectives before them while investing hence the fund houses have to get them to understand all the options of investment and how much risk they are willing to undertake and obtain a handsome amount of money at the end of it. You can find out the fund houses of mutual fund in malaysia.
Types of trust funds in Malaysia
- Equity funds
- Bond or fixed income funds
- Balanced funds
- Money market funds
- Capital guaranteed funds
- Exchange traded funds
- Shariah funds
- Real estate investment trust
There is something for everyone, right from the high risk takers to those who care to play safe. There are long and short term investments. There are certain mutual funds which are volatile due to high exposure of assets. Some of the mutual funds give capital stability and good for people who are seeking regular income. There are excellent investment options for moderate risk takers. Some of the investment proposals allow you to invest your surplus at short time periods. What makes it even more interesting is the fact, there is no redemption cost and service charge applied.
The needs of the investor may be
- Retirement planning
- Child education
- Buying a house
- Other specific reasons
When you are dealing with mutual funds, they spread out your risk to a certain extent and not as risky as shares and debentures but they too have risk factors and each option may have varying degrees of risk involved this has to be read carefully before closing on, on the offer document. Doing a little research and evaluating all the prospects before you will give you better options in investing in the fund that will cater to your needs and how it will benefit you in the long term. You can find out the fund houses of mutual fund in malaysia.
It should always be kept in mind that past performances don’t guarantee that it would great for investment, they are a great gamble and a lot of factors determine the upswing and downswing of the market trends. Even experienced people cannot always get it right and there will always be risks but you will have to know how to minimise by investing wisely. It is not instinct, but a lot of research and patience and waiting for the right opportunity to encash or invest. Thorough monitor your investment, that is keeping track of your money in the mutual funds is essential, this way you will be able to gauge the changes in the market and make moves accordingly. As the saying goes “Never keep all the eggs in one basket”, it is very important to diversify your financial investments. You should always opt for some safe investments like the epf even though they offer low returns because of the safety and stability offered by these schemes.