Gold Exchange Traded Fund, ETF
July 23, 2009
You may have been hearing more about Gold Exchange traded funds, or Gold ETF for short. The idea behind them was introduced in the early 2000s, and has since caught on with many investors. The idea was first introduced by Benchmark Asset Management Company in India.
The idea is to easily be able to own gold without physically bothering with it. In short a Gold ETF consists gold derivative contracts that are backed by gold.
One Gold Exchange Traded Fund that has caught the eye of many investors is Julius Baer after rising 5% the week to July 22. The amount of gold that the fund holds has increases quite drastically from 1.723 million ounces to 1.805 million ounces on July 22nd.
India Gold Exchange Traded Funds have also risen considerably in the past year.According to Reuters interview with fund manager Arvind Chari from Quantum Mutual Fund, “Investors have grown up by a 100 percent year-on-year”. he adds that they saw quite a bit of investor participation as well for the month of June.
Biotech Mutual Funds
July 17, 2009
The Biotech sector is a great way to invest in mutual funds. While mutual funds are a safer way to play the market, you can still diversify. one great fund that you can take a look at is Fidelity’s Select Biotechnology (FBIOX) fund, its investments consist of mainly large biotechs like Amgen (NASDAQ:AMGN), Genentech (NYSE:DNA) and Gilead Sciences (NASDAQ:GILD). Other Biotech Funds that are closely related include Rydex’s Biotechnology Inv, and Quaker’s Biotech Pharma-Healthcare.
You will find however that the Fidelity Biotech mutual fund is going to be priced a lot better with an expense ratio of 0.89%, that makes a real winner. The fidelity fund invests mainly in larger companies rather than mid size which is also another positive with investing in it. Sometimes getting the best mutual funds just means investing with the bigger guy than the smaller more tempting companies. Either way the rewards can be great or amazing.
If you are planning on investing in biotech small- and mid-caps, you really have to be careful that you don’t make serious mistakes with investing. Serious research is involved to ensure that you are getting a valuable asset. Overall however Biotech mutual funds can be a great way to get into another sector of the market, and if you go with companies like fidelity, you have a much lower risk factor.
