Investing backdrop
- Investors hope to achieve a better return than putting cash in a bank account.
- There is always a risk that an investment will decline in value.
Fund Hunter's main focus: equities
- The main focus of Fund Hunter is on equities i.e. the stock market.
- Companies are able to compound value by reinvesting profits at an attractive rate of return.
- While equities are volatile, the long-term return has been higher than other asset classes.
Fund investing
- Funds offer investors a diversified investment vehicle. The impact from any one company failing is likely to be negligible.
- Funds also allow investors to quickly allocate between different asset classes i.e US stocks, healthcare stocks.
- It is possible to get rich in funds (link). Fund investor stories can be found here: Why I invest in funds.
