Financial Wealth Ideas

In 1980 in the United States in the management of investment companies was $ 60 billion to 7 million investor accounts. In 1994, the total amount of investments in investment companies has exceeded $ 2 trillion, while the number of investor accounts reached 80 million According to rough estimates, these accounts hold about 33% of American families. Investment companies In the United States, there are several types of investment companies, among which the most common so-called management company. These companies represent a joint-stock companies, to invest the money in which their shares can be bought. Revenue in the form of shareholder receives dividends and interest on them, as well as by increases in the cost of the shares. Management companies are open to investment companies or mutual funds, and private investment companies, trusts or closed. In Russia the first is similar to mutual funds, and similar to the past - stock investment funds, including - ChIFy. The work of American investment companies regulated by the investment companies in 1940 It provides a minimum amount of assets for both types of investment companies in the $ 100 000. Public companies (mutual funds) are entitled to issue only common shares, the income on which the investor can not be determined in advance. It depends on the successful management of capital stock. Open-ended investment company will repurchase issued shares to its shareholders upon request. Thus, these shares may be purchased only at the company and sold it the same. The value of shares of public stock is determined based on net asset value per share 1. Help. Under the net assets means the entire capital stock, net of expenses that have already occurred or shall occur as soon as possible. Net asset value per 1 share is determined by dividing the net assets of the fund by the number of shares issued. Net asset value of mutual funds is calculated for at least 1 time a day. The Wall Street Journal publishes data on net asset value per share of mutual funds, for the previous day. In the United States the most common mutual funds, because you can always sell their fund shares, in the long run, they showed higher yield than bank deposits, in addition, information on their activities completely open to investors. Here, after a general review of investment companies, we have separately examined the mutual funds. Private companies (Trusts are closed-end) are not obliged to redeem their shares from shareholders. They can be sold on the stock exchange and OTC stock market. Therefore, the price of these shares are not calculated by, and is set depending on supply and demand in the market. Closed the company has the right to issue other than common shares, bonds and preferred stock, interest on which is fixed for the investor. For an investor it is good if the company does not work very well and an average low dividend. Then the owner preferred share gains compared to other shareholders. If the profits the fund, by contrast, is high and paid big dividends on preferred shares of the owner of income is not affected: it will be exactly as long as fixed in advance. In addition, preferred shares do not participate in the management of the company.