Does anyone invest in these? I would like to in the coming year but don't know where to start or what to expect in terms of dividends? Are there any tutorials that break this down in lay terms?
Here's what I can tell you about this... You need to: 1 - Choose your financial instrument. 2 - Choose a discount broker. (Make sure they work with the financial instrument you are looking for.) 3 - Open an account. 4 - Make a purchase for the financial instrument. Notes: Not all mutal funds pay dividends. The dividend percentage is for the market price on any given time. Some might pay monthly, others might pay quarterly. Your broker expenses: 1 - Buying fee. 2 - Fee on the instrument value. They won't acually take money from your account. They just take some of the intrument's value. 3 - Some brokers charge a yearly or monthly fee for upkeep of the account. Final thoughts: Consider investing in Index Funds. They are not better or worst. Just different. Have a look, and let me know what you think. I'd love to have someone to bounce ideas off, since I'm also saving up to do this!
I've already withdrawn my money from mutual funds (I got two before). I transferred most of it to a variable life plan with Prulife U.K. As explained by my insurance agent (a.k.a. Financial Advisor), the return is pretty much the same with mutual funds but a variable life plan also gives life insurance protection. The plan is also flexible so you can also choose include a health and accident insurance too. I think most insurance companies do offer this type of insurance too.
