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Friday, September 6, 2013

3 Tips to Choose the Fund Manager

It is undeniable that saving is needed as a guarantee of a person's life. However, there are still many people who do not realize the importance of this. Some surveys say that many people, usually women, do not have enough retirement plans.

Financial independence and readiness towards retirement are two things that must be prepared early be each person. One way to prepare for retirement is by investing through mutual funds. The fund is managed by the Fund Manager through the investment portfolio, whether it is stocks, bonds, money markets, and others.
You cannot just pick securities (investment management agency). For that, there are some things to consider when choosing a fund manager to manage your investment in mutual funds.

1. Reputation

When selecting investments in mutual funds, you should select a reliable securities and having good reputation. It is better to choose fund manager that have a good world reputation. World reputation of a company can become a guarantee of competence.
In addition, this reputation will also be influential in determining the manager's experience in handling clients. This experience will influence whether they can survive the crisis and the recession or not.

2. Turn over

When deciding to invest in mutual funds, there is nothing wrong to look at who will be the fund manager of your assets. If your manager frequently changing due to various reasons (new job, etc.), it can be considered to choose other company. This can be done by monitoring the development of the fund manager for some time. If a change of manager too often, it would disrupt the consistency of policy and investment.

3. Study growth

The development and the potential of managers are also worth a consideration. Manager’s capabilities in managing mutual funds will help you get the most benefit and appropriate financial arrangements. At least select the fund manager with steady study growth and do not be too volatile-ups and downs.

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