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Specialized Fund

Specialized Fund This type of mutual fund is meant to specialize in a certain sector, industry, or area of the world. There is very little diversification with a specialized fund, so it is important that the proper decisions are made for all involved. There is a very high risk involved, since the lack of diversification puts all of the money into one basket, there is also a very high reward if the money is invested into the right sector or industry. A good advisor is needed when getting involved with a specialized fund because a mistake could cause the investors to lose a great deal of money in the end.

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Definition of the Day Nominal Value

Nominal Value - Nominal Value is the apparent worth or the known nominal value shown on the principal, the face, and the side, of a bill of exchange, currency, security, stock, share, bond, or the other type of financial instruments. The par value of a loan stock, bond, preferred stock,...

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