fund switching

(redirected from Switching Funds)

Fund switching

Moving money within a mutual fund family from one mutual fund to another.

Fund Switching

The practice of selling shares in a mutual fund and using the proceeds to buy shares in another mutual fund. An investor does this when economic conditions or his/her investment goals have changed. Because of the fees (known as loads) associated with buying and selling mutual funds, fund switching can be expensive unless one is switching within a fund family or between no-load funds.

fund switching

An investment activity in which shares in one mutual fund are sold and the proceeds from the sale are reinvested in another mutual fund. Fund switching results from an investor's changed perception of investment opportunities. For example, an individual may become bearish and switch money from a growth fund to a money market fund. Because of the high sales charges involved in purchasing some funds, fund switching is practical only if no-load funds are used or if the investor switches within a family of funds.

Mentioned in ?

Family of funds

References in periodicals archive ?

No tax is levied on switching funds from equity to debt or vice- versa.

Market- linked options that help in tax planning

Usually, there are fees associated with switching funds, but we feel that this may be discouraging to some.

Assessing, prioritizing real life financial goals

CLA deputy president Henry Robinson said: "Farmers in England will be severely disadvantaged if modulation is at 15% - the full amount possible - which is not in alignment with our European neighbours, who may even benefit by switching funds from rural development to direct payments.

CAP plan 'will hit development'

Switching funds will not generate a tax charge, but there could be a fee for switching.

Q&A; YOUR MONEY

Switching funds to public health, trying to cut the number of people requiring treatment in the first place, sounds like an attractive idea.

NHS needs re-thinks to cure its sick finances; COMMENT

Clearly when switching funds there are costs involved, so these should also form part of the investor's decision-making process," Dowding said.

What should you do whenyour manager leaves?

For switching funds on the Platform, there is normally a charge of 0.

Safe platform for savings; PERSONAL FINANCE

They have spiked in recent weeks amid fears over global economic uncertainty, with investors switching funds from currencies and equities to commodities such as oil.

EasyJet issues profit warning; In association with BUSINESS ...VENTURE Budget airline expecting pounds 45m rise in fuel costs

These are buyers in their 30s and 40s who are using buy-to-let as their new pension by switching funds from traditional stock market-linked schemes into property.

House prices force a surge in lettings; WOULD-BE FIRST-TIME BUYERS RENT AS PROPERTY VALUES SPIRAL

The plan is that risks are reduced as the maturity date approaches, by switching funds from shares to bonds and cash.

Make sure you get your share

There are some reservations about switching funds from production support to agri-environment measures.

FARMING: RURAL LANDOWNERS WANT MORE ENVIRONMENTALLY-ORIENTED RURAL DEVELOPMENT

But independent PEP brokers warn consumers against making any hasty decisions about switching funds on the back of a