You'll buy only one portfolio fund.
Are you cashing out / changing providers? Learn to sell your portfolio index mutual fund units and close investment accounts.
portfolio index mutual fund
What's an asset mix?
Don't stop saving. Follow your budget - you can add money to your account whenever you want. Transfer the money you've saved and place an order to buy additional fund units.
Check your account once a year.
- Is your fund performing well?
- What fees are you paying?
- Is this approach still right for you?
What's it like to invest?
While you're opening an account, your provider will ask you to complete a risk appetite questionnaire and recommend a ready-made index mutual fund portfolio. It's asset mix will be based on your answers.
You can follow their recommendation or choose another portfolio.
Once the account is open, you'll buy units of your portfolio index mutual fund.
What is it?
A mutual fund is like an imaginary basket filled with either equity or fixed income securities.
'Index' means the mutual fund represents the entire market for a particular fixed income / equity security (like all Canadian bonds or US equities).
- You can't buy an index - it's just a list of securities.
Buying individual securities is risky. Buying a basket of them through mutual funds reduces investment risk. An index fund reduces risk even more because it holds every security in its market. This is diversification.
A portfolio index mutual fund holds multiple fixed income/equity index mutual funds, in proportions that reflect your asset mix.
Own your investments, step-by-step.
Start by researching and choosing a provider.
Many financial institutions sell portfolio index mutual funds. Buy yours directly from banks, like the Big 5 - it's easy and there are no transaction costs. Use our research tables to choose one.