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Definition
| seeks capital growth as well as income and pursues a conservative investment strategy. These funds hold a mix of equity and debt securities. |
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| invests in both growth stocks and value stocks. |
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| seeks to maximize capital appreciation by taking greater risks and acquiring stocks of relatively smaller, unknown companies. These are the riskiest of the growth funds. |
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| invests in a variety of asset classes such as foreign securities, domestic U.S. securities. |
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Definition
| invests primarily in common stocks rather than preferred stocks or bonds. A common stock fund may have an investment objective of growth or of income or a combination of the two. |
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| seeks capital appreciation but which invests in more established, better-known companies where there is a moderate potential for growth in earnings and less potential risk. |
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Term
| Convertible Securities Fund |
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Definition
| invests in convertible bonds and convertible preferred stock of corporate issuers. Such securities pay a fixed rate of interest or a fixed dividend rate that is somewhat lower than a comparable non-convertible issue pays but the conversion feature gives the holder potential capital gains if the price of the common stock rises rapidly. Thus, this fund has 2 objectives - current income and growth. |
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| invests in companies based in foreign countries with rapidly growing economies. An example is a "BRIC" Fund - which invests in companies in Brazil, Russia, India and China. |
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Definition
| invests only in corporate bonds to provide current income. Such a fund has no growth objective and income is subject to both Federal and State income tax. |
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Definition
| invests primarily in the securities of companies located in foreign countries. |
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Definition
| invests in common stocks of blue chip companies and high quality preferred stocks. The primary objective is to receive dividend income; a secondary objective can be growth of the common share price. |
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Definition
| invests in mortgage-backed securities guaranteed by GNMA. |
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Definition
| invests in corporate bonds and preferred stocks for a consistent level of income. Such a fund has no growth objective and the income from the fund is taxable. |
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Definition
| s either an international fund, a global fund, or a single country fund. An international fund invests exclusively in securities of foreign countries. A global fund can invest in the securities of both the U.S. and foreign countries. A single country fund invests in the securities of only one country. |
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| Government Securities Fund |
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Definition
| invests in the debt instruments which the U.S. government issues or agency securities that are guaranteed by the U.S. government. |
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Definition
| onservative equity stock fund that acquires stock in blue-chip companies paying dependable dividends. The fund seeks to obtain both reasonable dividend income and reasonable growth prospects. |
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Definition
| invests primarily in stocks of companies with potential for high capital appreciation but which give little or no emphasis to dividend payment. |
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Definition
| rivate investment pools for wealthy, financially sophisticated investors, these are not mutual funds. They are structured as private placement limited partnerships where a general partner manages the hedge fund and the investors are all limited partners that meet the definition of an accredited investor. A limited partner's potential loss is limited to his or her investment in the partnership. |
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Definition
| seeks to provide high current income by investing in high-yielding debt securities such as low rated or "junk" corporate bonds. These funds have greater risk than other income funds. |
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Definition
| objective of high, consistent income. Income funds invest primarily in bonds and preferred stock that pay a fixed income stream. |
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Definition
| buys the same stocks and in the same proportions as these stocks represent in a well-known index, such as the Standard and Poor's 500 Index. The objective is to match the index performance after accounting for fund expenses. |
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Definition
| automatically rebalances as the customer ages, shifting asset allocations to less risky asset classes as the customer gets older. |
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Definition
| invests in short-term securities with high liquidity and low risk. These funds maintain a constant net asset value of $1 per share and reinvested dividends buy more shares worth $1. |
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Definition
| invests in securities against which it can write covered call options. The fund can earn premium income from writing options in addition to dividends it earns from the investment and capital gains from any appreciation in the fund's portfolio of securities. |
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Definition
| invest in the stock of companies that mine or produce precious metals, in quantities of precious metals, and in futures contracts for the metals. For example, a gold fund can invest in gold bullion, as well as the stocks of gold mining companies. |
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Definition
| marketed to corporate investors to take advantage of the corporate dividend exclusion. 70% of dividends received by a corporate investor are excluded from income tax. Preferred stocks pay a high fixed dividend rate; and 70% of dividends received are excluded from tax to the corporate (not individual) investor. |
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Definition
| looks for a few unusual opportunities such as potential mergers and acquisitions or reorganizations. Performance depends upon events within the company more than on the industry as a whole. |
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Definition
| invests in the stock of REITS. |
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Definition
| invests in one industry or segment of an industry. Because this type of fund is often not diversified, it has higher levels of non-systematic risk. |
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| (Sector Fund) nvests in the common stock of corporations in a particular industry or particular geographic area. Due to the concentration of investments, these funds are generally higher risk than simple growth funds. |
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Definition
| invests in direct obligations of the U.S. Government - Treasury Bond, Notes, and Bills. The objective is current income with safety of principal. |
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Definition
| investments in equities that have a below-average price to earnings ratio and appear to be selling for less than they are worth. Thus, these companies are undervalued by the market, and once the market realizes this, should appreciate in value. |
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