How Do You Invest In Fixed Income Mutual Funds?
For regular income, diversification and liquidity, fixed-income funds fit the bill. These mutual funds typically invest in mortgages, bonds or both. Primary investment targets for funds in this category include companies of various sizes, government entities and municipalities. Fixed income mutual funds are available through a number of investment firms and offer a way to earn current income while simultaneously managing investment risks. Think of fixed income mutual funds as falling into three different categories. With your investment objectives in mind, determine the categories that are best suited to your investment needs. Know that the first category consists of investments that are considered liquid. Such investments may include, but are not limited to, municipal and taxable money-market funds. Realize that the second category includes investments that are fairly stable and capable of offering moderate income and some capital preservation. These investments may include higher-qua
