Investment funds

If you are looking for opportunities to achieve higher profits than on a traditional bank deposit, but you do not have the appropriate knowledge, time, and courage to start investing in the stock market on your own, investing through investment funds may be a good solution.

Due to the level of risk, we distinguish several types of funds:

Equity funds
Mixed funds and absolute return funds
Debt funds
Cash funds

Equity funds have the highest potential rate of return, but also the highest risk. Bond funds and other debt securities funds do not invest in shares, so the investment risk is lower, but the potential rate of return is lower. Between equity funds and bond funds there are stable growth funds (investing most of their assets in bonds) and balanced funds (investing in stocks and bonds in different proportions).

Open-end funds (FIO)

This is the type of funds that do not have upper limits on payments or limits on the number of participants. You can join the FIO at any time by purchasing participation units.

Closed-end funds (FIZ)

This is a type of fund where the number of participants is limited, but a wider range of investment opportunities is allowed than in the case of open-end funds. In the case of FIZ, the redemption of participation units can only take place at a specific time (unlike FIO funds, where the investor can withdraw from the investment at any time).

What is a fund umbrella

It is a fund with separate, separately managed sub-funds. Usually, under one umbrella there are both more secure and more aggressive and risky sub-funds, between which the investor can make changes depending on the market situation. A measurable benefit of investing in sub-funds under one umbrella is the possibility of making changes between funds without having to pay tax. In the case of a traditional fund investment, tax must be paid on each conversion of funds. In the case of the umbrella of sub-funds, the tax is paid only after the investment is completed.