Do you believe that the world economy will grow? Do you believe that US
economy will grow? I do. The major stock indexes are indicators of
economy grow. You can make money use this opportunity buying index
funds. Investing into index mutual funds is easy, interesting, and
profitable. It takes 5 minutes every month! If you are long-term
investor, index funds is for you!
It doesn’t matter what index you choose. This index will grow due to
economy sector grow rate. There are many indexes in the world. But how
to get money from indexes grow?
There are many indexes mutual funds. Fund share price change accordance
index performance. There are thousands of mutual funds have S&P 500
as a base of their portfolio. The differences from one fund to other
are operating company and expenses. Choose fund with fell known
operating company and smallest expenses.
Small expenses are very important. If fund have big expenses, the
managers steal investors’ money. Index fund manager don’t buy expensive
stock market researches, don’t arrive at a difficult decision witch
stock to buy. Index fund manager buy stock included into index only. It
isn’t expensive!
The best investment strategy for indexes mutual funds is to invest some
dollar amount monthly. And be the long-term investor – invest for 10
years or more. Our computer modeling of this strategy shows that you
will receive profit, if you invest on monthly base during 10 years. I
can’t give you guaranties that you will get profit but the probability
of this is close to 100%.
And the last, if you can, diversify you portfolio. Divide you portfolio
into three parts. Buy large capitalization company index fund (S&P
500, DJA), small capitalization index fund (S&P 600) and developed
market index fund or international index fund. It makes you portfolio
more profitable and more stable.
