Mutual Funds For Beginners | Beginners Investing Resources | Forum

I always recommend that every new investor starts their portfolio with a solid mutual fund. Mutual funds are the anchors of a portfolio and are much less volatile than individual stocks. Individual stocks have much greater growth potential but are subject to wild price swings depending on company specific news. Start with a solid mutual fund and then branch out into individual stock. My favorite type of mutual fund to begin with is a balanced fund. Balanced funds seek to achieve a 50/50 balance between growth and income. They are great for investors looking for all in one diversification.