Question

1. How is an index fund different than other managed mutual funds?

2. Describe the difference between a "no load" and "load " fund. Please use examples!!!

2. Estimate your income needs in retirement and the retirement income supported by your financial plan.

Grading rubric for assignments.

A-a scholarly response, which addresses the questions. Paragraph format with in-depth explanations with examples;

B-fully developed answers addressing the issues in a paragraph format, no grammar and/or spelling problems, explanations and examples;

C- complete sentences addressing the question;

D-one word bullet answers;

Answer 1

1.

Index fund match an index's return before fees and has very low annual expenses (about less than 1%)

actively mutual fund beat the index return even after fees and relative high expenses.

2.
A no-load fund is a mutual fund in which sharees are sold without a commision or sales charge. This occurs because the shares are distributed directly by the investement company, instead of going throgh a secoondary party. This is the oposite of a load fund, which charges a commission at the time of the fund's purchase, at the time of its sale, or as a "level-load" for as long as the investor holds the fund.

A load fund is a mutual fuund that comes with a sales charge or comission. The fund invesstor pays the load, which goes to commpensate a sales intermediary, such as a brooker, financial planer or investment advisor, for his time and expertise in selecting an apropriate fund for the invesstor. The load is either paid up front at the time of purchase, or a front-end load; when the shares are sold, or a back-end load; or as long as the fund is held by the investor, or level-load.

3.
during retirement we should have income such that we cane easilly fullfill our needs and basic nesessity.
which includes the following:-

1. food expenses
2.medical facilities
3. regualar usage
4.weekly outing
5. specific to any person

after retirement all these if are met then surly retirement plan is well set.