A managed fund involves pooling together money from different investors into one fund that is invested and controlled by a professional investment manager. Funds differ in the types of assets you can invest in. You can invest in a single asset class such as shares or fixed interest, or a multi-sector option such as a Growth or Balanced fund.
When you invest in a managed fund, you are allocated a number of ‘units’. The value of each unit is referred to as the unit price, which is calculated on a daily basis reflecting the value of the fund. If the value of the fund increases, the unit price will rise.
Managed funds can be either “listed” and tradeable on the share market, or “unlisted” and bought and sold directly through a fund manager. If the fund is “listed”, the value of the shares is dictated by supply and demand, which is in turn dictated by performance and valuation.
Well, don’t we all want good returns on our investments? It provides different types of avenues to invest in the market that can bring secured investing options.
Managed funds are taken care of by professional fund managers. Their job is to keep a track on the market and analyse the business if they fit the fund to be managed.
Well, there is nothing better than investing in something that is good for your future. This way you learn how to control your investments every month.
A good retirement portfolio should include stocks, bonds and maybe a little cash. Therefore, investing via managed funds helps build a corpus which invests in all of those asset classes.
Whether you require a reliable, high-yield income stream, long-term capital increase or diversity within Australia, we can assist you to search a managed fund to deliver on that goal. There are round about 10,000 managed funds available in Australia. By them, you can reach thousands of different managers and nearly all asset classes, geographies and investment strategies. Commence by thinking about what you want from a managed fund.
There is an extended variety of managed funds offered in Australia and, according to the Australian Bureau of Statistics (ABS), the Australian managed funds industry had $3,816.9 billion funds under management as at 30 June 2020. Each managed fund has a distinct style of investment which may be based around a single asset class (e.g. equities), a geographic region (e.g. Australia), an investment style (e.g. growth) or maybe a multi-strategy fund. Retail funds are oftentimes advised by one manager who then uses an underlying manager, so they are able to offer retail investors enter a fund without a high initial investment.
Any advice provided by Laverne is general in nature only and does not take into account the personal financial situation, objectives or needs of any particular person.