FCSE 3120 Lecture Notes - Lecture 24: Investment Company Institute, Investment Company, Asset Allocation
20 Mar 2019
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Functions: record keeping and administration, diversification and divisibility, professional management. Load: sales commission charged on mutual fund: 4. 2 types of investment companies, open-end and closed-end funds: key differences. Figure 4. 1 closed-end mutual funds: 4. 2 types of investment companies, other investment organizations, commingled funds, partnership of investors pooling funds; designed for trusts/larger retirement accounts to get professional management for fee, real estate investment trusts (reits) Similar to closed-end funds, invests in real estate/real estate loans: hedge funds, private speculative investment pool, exempt from sec regulation, 4. 3 mutual funds. Investment policies: money market funds, commercial paper, repurchase agreements, cds. Invest in stock, some fixed-income, or other securities. Specialized sector funds: concentrate on particular industry, bond funds. Specialize in fixed-income (bonds) sector: 4. 3 mutual funds. International funds invest outside u. s: global funds invest in securities worldwide, including u. s, regional funds focus on particular part of world. Emerging market funds invest in developing nations: 4. 3 mutual funds.
