Types of mutual funds
With many different mutual funds to choose from, how do you distinguish one from another, let alone choose which ones to invest in?
Each fund has an investment objective. One might be long-term growth. Another fund might focus on providing income in the form of dividends paid by its investments. Mutual funds select investments (such as stocks, bonds or cash equivalents) to meet those objectives. Keep in mind that mutual funds are not guaranteed or insured by any bank or government agency. You can lose money. Every mutual fund carries a certain amount of risk.
Familiarize yourself with the different types of funds and their investment objectives below and then talk to your financial professional to find a good match for your own investing style and goals.
Our asset allocation models can help you pick a combination of investments based on your retirement timeframe.
With a target date retirement fund, you get diversification and professional oversight in one easy-to-use investment that fits your timeline. See why target date funds can be a good choice.
Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional or downloaded and should be read carefully before investing.