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i. The most important index funds are S&P
ii. These funds are passively managed, trading
only occurs to match the S&P 500
b. Social conscience funds-they invest only in
companies whose products, policies, or politics are
viewed as socially desirable
i. The social objectives range from
environmental issues to personnel policies
ii. The Parnassus fund is a well known
example, avoiding the alcoholic beverage,
tobacco, gambling, weapons, and nuclear
c. Tax- managed funds- generally managed without
regard for the tax liabilities of fund owners.
Managers are rewarded on pretax returns
5. Taxable and Municipal Bond Funds- 5 characteristics
distinguish bond funds:
a. Maturity range- they can range from 2 years to 30
b. Credit quality- some bonds are much safer than
c. Taxability-municipal bond funds buy only bonds
that are free from federal income tax
d. Type of bond- some fund specialize in particular
types of fixed income instruments suc...
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This note was uploaded on 07/22/2013 for the course FIN 331 taught by Professor Pinto,k during the Fall '08 term at N. Arizona.
- Fall '08