Mutual fund
Mutual fund
A mutual fund is the equity constituted by contributions made by natural or juridical persons, called participants, for their investment in public offer securities.
When you invest in a mutual fund, your money is managed by an administrating company specialized in managing investment portfolios, so that the quota in which you invest your resources may be representing domestic and/or foreign financial instruments, among which we can mention stocks and bonds.
Get informed on who is going to manage your funds: experience, backgrounds, managed amounts, participants, etc.
Mutual funds are supervised by the Superintendence of Securities and Insurance, just like the administrating companies of such funds.
In Chile, there are three types of mutual funds in which you can invest:
- Short term fixed income instrument investment mutual fund;.
- Medium and long term fixed income instrument investment mutual fund;.
- Variable income instrument investment mutual .
When you invest in a mutual fund, you purchase share quotas, which total or partial redemption may be requested at any time, subject to the conditions agreed by the administrator.
Remember that quotas have variable values, that is, they may experience daily increases or decreases by reason of price fluctuations of the instruments that make up the investment portfolio of the fund, and by reason of the administrator management.
