| Investing your money in mutual funds is a wise | | | | normally tries to balance the investments in |
| move especially for your long term goals. There | | | | stocks and bonds. The income equity funds often |
| are different types available in the market. One of | | | | concentrate more on dividend paying stocks. |
| these is the income mutual funds whereby the | | | | Despite the fact that they may both have |
| investor gets an income on a monthly or | | | | varying holdings, their main focus is generating and |
| quarterly basis. Other types focus mostly on | | | | maintaining a high income level and preserving |
| capital growth instead of this type or they opt for | | | | capital. |
| a combination of both. When you want to invest | | | | In comparison to money market or bonds funds, |
| for a long period of time and get a regular | | | | they are considered to be a better investment |
| income, then this is the option you need to | | | | choice. This is because they produce higher |
| consider. When you invest in this type of fund | | | | returns than those that you would find in the |
| you get a percentage of its total earnings. | | | | money market and bond funds. |
| You make an initial investment of a couple of | | | | This type of investment is also considered quite |
| dollars or even less and still enjoy the benefits of | | | | safe as they mostly invest in companies that are |
| owning a part of a large portfolio. Income mutual | | | | creditworthy and established. These companies |
| funds are mostly categorized as either balanced | | | | can be counted onto provide dividends and |
| or equity income funds. The balanced type | | | | interest payments. |