How do you make money from a mutual fund?
How do you make money from a mutual fund? How Mutual Funds WorkIncome is earned from dividends on stocks and interest on bonds held in the fund's portfolio. If the fund sells securities that have increased in price, the fund has a capital gain. If fund holdings increase in price but are not sold by the fund manager, the fund's shares increase in price. How long does money have to stay in a mutual fund? If you're investing in equity-based mutual funds, you should invest for at least 5-7 years. Low-risk funds or debt funds usually come with shorter terms...