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Most wealth management firms suggest these funds because they are easy to understand. Since they are easy to understand, evaluating their performance is simple and straightforward without the need of too much market knowledge
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Pros and Cons of Long Only Funds www.avendus.com/india
Easy Evaluation Most wealth management firms suggest these funds because they are easy to understand. Since they are easy to understand, evaluating their performance is simple and straightforward without the need of too much market knowledge www.avendus.com/india
Ease of liquidity Like other mutual funds, these funds hold highly liquid securities and have the same advantages of allowing for daily redemptions or subscriptions as needed. www.avendus.com/india
Transparency Matters You as an investor should always be fully aware of where you’re investing. Luckily for you, the reports of long-only funds are always available to the investor to check, address or allow to continue as needed. www.avendus.com/india
Unpredictability While utilising this find of fund, there are certain risks pertaining to market factors. Since these funds focus on the assumption that prices will rise in the long term, market volatility that results in low or negative returns for long periods of time impact profits www.avendus.com/india
Fee Structures Primarily in these funds, the fee structure between managers and investors do not align. As such, fund managers do not find the incentive to focus on such funds’ performance. This hampers the growth of investor’s returns. www.avendus.com/india
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