how do funds work....

[spongebob]

maybe a dumb question but heres the dealio.

i have a latin american fund thru my work 401K. its a t-rowe price. prlax.

when i look it up on my scottrade account it shows change in price but no volumne traded. why is that? is only the holdings of the fund traded daily and not the actual fund?

 

[sawastea]

Mutual funds trade after market hourse in, general. Basically, you have a management team, we'll call them the Persian Mafia, et al.. Bran is the head manager and spongebob works for Bran, along with x amount of people. The buyers pay Bran and expense fee (~.8-3%) to manage the money for them. What happens is that the management team has the abilty to re-evaluate the portfolio, while you sit back and pay them (yearly expense fees) to do all the work.

http://www.investopedia.com/articles/mutualfund/

 

[bran987]

Mutual funds trade after market hourse in, general. Basically, you have a management team, we'll call them the Persian Mafia, et al.. Bran is the head manager and spongebob works for Bran, along with x amount of people. The buyers pay Bran and expense fee (~.8-3%) to manage the money for them. What happens is that the management team has the abilty to re-evaluate the portfolio, while you sit back and pay them (yearly expense fees) to do all the work.

http://www.investopedia.com/articles/mutualfund/

if anyone would like to invest in Persian Capital Fund IV I am now taking applications... Funds I-III are closed with $250 million each and an average annualized return of -31.4%.

 

[sawastea]

if anyone would like to invest in Persian Capital Fund IV I am now taking applications... Funds I-III are closed with $250 million each and an average annualized return of -31.4%.

Sounds like you took a page out of the Bayou saga.