12-15-2014, 10:32 PM
A quick trip to Yahoo shows FUSEX as having a 5.27% front end sales load and a 2.16% deferred sales load. Why would anyone want to pay a sales load for an index fund? Why not get an ETF S&P500 index fund such as SPY which has extremely low fees of 0.09% and has no other costs. Some brokers have ETFs that trade with no commission. There are also ETFs which have dividend growth themes. Those as well would represent a great choice.
The only time that I would ever consider a mutual fund would be for some investment which is difficult to trade on U.S. markets and/or which is very difficult to understand. I bought Matthews Asia Fund for my daughter because I felt that the knowledge of the manager could be important in those obtuse markets. Even there, exposure via a properly themed ETF or two would probably give superior results.
The only time that I would ever consider a mutual fund would be for some investment which is difficult to trade on U.S. markets and/or which is very difficult to understand. I bought Matthews Asia Fund for my daughter because I felt that the knowledge of the manager could be important in those obtuse markets. Even there, exposure via a properly themed ETF or two would probably give superior results.
Alex