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are m.funds subject to turns in the s.market or constant.

+4 votes
related to an answer for: What are mutual funds?
asked Jun 29, 2013 in Mutual Funds by anonymous
   

1 Answer

+3 votes
m.funds are most clearly not constant however they have a tendency to be less volatile then well known etfs like spy, especially when the market is bottoming out.  M. funds at the retail class are typically much more volatile because uneducated investors always run at the first sign of danger however, if you take a look at I class shares, they are much less volatile because the investors typically compose of more sophisticated traers like banks therefore the liquidity risk is lower.  However what do you mean by constant?  Nothing is constant in the market
answered Jul 5, 2013 by econlawvet Novice (220 points)

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