Read the prospectus carefully before investing. Sounds familiar, right? But exactly how do you "carefully" read a fund prospectus?Whether you're about to buy shares of a
"For funds with a 365-day holding period, a redemption fee will be charged on shares sold before the end of the required holding period." -- T. Rowe Price Blue Chip Growth FundDid you know that how long you hold onto your fund can have a big impact on how much money you make? In the prospectus for their Blue Chip Growth Fund, T. Rowe Price explains the consequences of not considering your
- Growth -- increasing the fund's value through the increased value of its assets
- Income -- providing value to investors by passing on interest and/or dividend income
- Both -- providing investors with some combination of growth and income
"Each Fund's NAV will react toYes, you could lose your money in the market due to fluctuations or market downturns. If you've read this far, you've probably garnered at least one thing:
securities market movements. You could lose money over short periods due to fluctuation in a Fund's NAV in response to market movements, and over longer periods during market downturns."
-- iShares NYSE Series Prospectus