Mutual Funds

Mutual funds can help diversify your investments, without the need to handpick stocks and bonds yourself. Waterview Capital delivers a comprehensive line-up of investment solutions to help you meet your savings and investment needs, whether you are looking for income or growth, or saving for a specific goal.

Benefits of Mutual Funds:

  • Professional money management
  • Diversification
  • Broad investment options across sectors, asset classes and geographies
  • Easy to buy and available with low minimum initial investment amounts

Competitor research & analysis

What are Mutual Funds?

A mutual fund is quite simply a collection of stocks, bonds, or other securities owned by a group of investors and managed by a professional investment company. When you put money into a mutual fund, it is combined with money from similar-minded investors. This large pool of money gives you much greater purchasing power than you could possibly have investing on your own.

Mutual funds are popular because they make investing in financial markets easy. Funds invest your and other unitholders' dollars in equity and debt securities. An equity security is a stock or share in a corporation's earnings and assets such as land, buildings, or machinery. Debt securities include bonds and money-market instruments. A bond is an IOU issued by a government or corporation certifying how much you have loaned it and the terms of the loan. Money-market instruments are short-term (less than one year) debt securities such as treasury bills, certificates of deposit, or commercial paper. The investment objectives of the fund determine which of these securities the manager buys. If the objective is "maximum growth" then the manager invests in equity securities, as traditionally the stock market has provided the highest returns. This type of fund, not surprisingly, is known as an equity mutual fund.

How Does a Mutual Fund Make Money?

Mutual funds make money by investing unitholders' money in stocks, bonds, and other securities that earn dividends or interest, and by selling these investments at a higher price than originally paid. The money (such as interest income from bonds) earned from a fund's investments is paid to unitholders as income distributions, while any profits from selling these investments at an increased price are paid out as capital gains distributions. Unitholders can also make a capital gain or capital loss when selling back their units to a fund, depending on whether the unit price has increased or decreased since the units were purchased. Funds also pass on to unitholders responsibility for the annual income tax payable on such distributions.

How Waterview Capital Mutual Fund services can help you:

  • Build Long-Term Wealth to Meet Your Goals : We use international, domestic, equity, and commodities mutual funds to help achieve long-term goals.
  • Increase Your Income Potential : We consider bond funds and funds that invest in dividend-paying equities to help achieve your goal of increased income potential.
  • Mix Your Assets to Manage Market Risk : We seek to meet investment goals through a mix of traditional and non-traditional products.