Best mutual fund

There is no clear cut best mutual fund. Trust me, I wish there was but it is simply not that easy. If it was everyone would be all over it.

Instead of searching endlessly for the “best mutual fund”, use logic, reasoning, and common sense. Look for mutual funds that do not have loads, either front loads or back loads. Investing in a mutual fund that has a load is a great way to through a portion of your money away. Also look for a fund that has low fees. You do not want to pay any more than 2% a year, no matter what. The lower the fees the better for the most part.

Look for funds that have been around for a while, funds that are managed by experienced mutual fund managers, and a fund that has gotten better than the market returns in the past. One trap that I have noticed investors fall into is thinking that the past will determine the future. The past might give you an idea of what to expect in the future for a stock or mutual fund but it is not the definitive answer.

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