Investing in Mutual Funds and ETFs Using AlphaProfit Newsletter

I. Mutual Funds Investing Using AlphaProfit Newsletter

Different types of mutual funds available for investing include:

• Money market mutual funds that invest in cash equivalent securities
• Fixed-income mutual funds that invest in bonds
• Domestic equity mutual funds that invest in stocks of U. S. companies
• International equity mutual funds that invest in stocks of companies based outside U. S.
• Specialty mutual funds that invest in a specific sector

The following diagram illustrates the use of AlphaProfit model portfolios and fund ratings within the context of diversified investment portfolios.

II. ETFs Investing Using AlphaProfit Newsletter

Exchange-traded funds (ETFs) are available as alternatives to most of the mutual funds stated above. Instead of using mutual funds, you can use different types of ETFs in your investment portfolio.

III. Sound Mutual Funds and ETFs Investing Strategy

Whether you invest in mutual funds or ETFs, different types of mutual funds and ETFs have different risk-reward characteristics. The performances of the different types of mutual funds and ETFs correlate differently with the economy.

Sound investing strategy takes both risk and reward potential of the different types of mutual funds and ETFs into account. Investing across different types of mutual funds or ETFs adds to diversification and helps manage risk.

The amount of dollars you allocate to different types of mutual funds or ETFs depends on your specific situation, including factors such as your investment objective, investment time horizon, and risk tolerance. AlphaProfit recommends ETFs, Fidelity Select funds, and other sector funds to invest in sectors and industry-groups selected by the ValuM investment process. These recommendations enable you to construct customized portfolios for managing your domestic equity and specialty portions of your assets.