Request Reprint Send us your request to reprint copyrighted material. If you've ever noticed an ad for a mutual fund, you've probably seen, in a large typeface, some numbers indicating how well the fund has performed in the past few years. What a fund has done may not be a guide to what it will do.
Mutual funds change investors fees and expenses.
Before you buy a mutual fund, review its prospectus to evaluate its level of fees and expenses. Then, see how these costs relate to those of comparable funds. Age and size of the fund. Because these funds may invest in just a small number of stocks, a few successful holdings can weight the overall performance. But as the fund adds more stocks, the effect of these winning holdings will be diluted, and performance may decline.