But finding the best funds can be a simpler task than you might imagine. And the beginning of your search can be with the mutual fund families with the best selection of no-load funds.
Basics on No-Load Investing
Most investors know to avoid mutual fund loads if they want to maximize returns by minimizing mutual fund fees. Many investors also know how to choose high-quality mutual funds. But how can an investor find the best low-cost funds without searching all over the mutual fund universe to find them? Smart investors know that simplicity, in addition to frugality, is a powerful virtue in the art of mutual fund selection: All that is needed to build the best mutual fund portfolio is to choose one good no-load fund family and select five or six of their no-load funds from different types of mutual fund categories.
Here are Three of the Best No-Load Funds Families
A fund family is a collective name for a group of mutual funds offered from a particular mutual fund company. Most fund families offer a variety of mutual funds but not all fund families offer a wide variety of high-quality no-load funds from which an investor can build a diversified portfolio. Here’s where to find the best no-loads: In summary, two of the greatest virtues of successful mutual fund investors include simplicity and frugality. This means that the primary features of index funds — broad diversification, simple structure, and low expenses — make them the best investment type for most investors. And you can expand the simplicity and frugality to your entire investment philosophy: There is no reason to buy loaded funds; there is no reason to buy more than five or six funds, and there is no reason to use more than one fund family. Any of the three no-load fund families listed above are suited to meet and exceed the needs of the smartest and most frugal of mutual fund investors.
