Did you know that the global inflow from market money funds reached $28 billion in the Asia and Pacific region during the third quarter of 2013? There are a plethora of different ways to invest money, such as putting money into mutual funds. Amazingly, in Taiwan, an estimated 1,809,000 left the workforce in 2012 to retire, ostensibly because they had accrued enough retirement funds to not have to work for an income anymore.
Investing in a mutual fund allows an individual to have cost efficient access to a professional fund manager. Many times, people will work with a professional, who has tools to pick out fund performance comparisons and figure out the best mutual funds to invest in. On that note, fund performance is incredibly important, as a well performing fund is more lucrative than one that isn’t performing well.
Investing in an ETF provides a relatively low risk investment, so ETFs are perfect for those looking to retire. Plus, an ETF can be traded on a day-to-day basis in the stock market, just like a traditional stock investment. In short, ETFs, or Exchange Traded Funds, offer the diversity of a mutual fund with the tradability of a stock.
At the end of the day, before you choose to invest in any kind of mutual fund, you should take a look at fund performance comparisons. If you invest your money wisely, you might be able to retire earlier than you had originally planned, and you can live a much more comfortable life, as you will be more financially stable.