Here are a few benefits that come to mind:
1) Allows the investor to be widely diversified even with relatively small amount of money;
2) Allows the investor access to investments researched and chosen by financial experts without huge up front costs;
3) Allows the investor to add to investment account incrementally, with as little as $50, without incurring any transaction or brokerage fees
4) Allows the investor to buy/sell without having to track their cost basis for each share.
Diversification
Economies of scale (in buying and selling investments)
Professional portfolio manager
Access to institutional offerings.
BBG is convinced. so am I , but consider, however, buying high quality individual growth stocks yourself may yield better results. google at $10 on the initial offering went to over $1000 and split, same thing with apple. jmo
You get diversification at a low cost with an experinced
professional manager.
