Investing in a mutual fund in Germany
means to contribute to a collective investment vehicle that concentrates money from several investors in order to purchase securities. If you intend to open a mutual fund in Germany
our law firm in Germany
can assist you with legal consultancy.
Overview of the mutual funds in Germany
The mutual funds in Germany
issue units or equity shares in order to finance their operations. One important aspect of the mutual funds
is the diversification of investment. This is why the mutual fund portfolios
are structured in equity, bond and mixed securities-based funds. This allows as well investment in more than one industry
a measure which minimizes risks and increases the potential profit of the investment.
One of the most important investor groups in mutual funds in Germany are the domestic non-banks and institutional investors. Another important segment is represented by the contribution to retirement plans.
Our German lawyers
can offer further information and support regarding the set-up of a mutual fund in Germany
and the legal framework for investment in this country.
Advantages of mutual funds in Germany
One important advantage of opening a mutual fund in Germany is a low risk exposure, through investment in securities whose value is not shifting too much. The low risk of mutual funds is also ensured by a series of restrictions on their operations. As such, the mutual funds are not allowed to buy securities on margin or to sell securities short.
Opening a mutual fund in Germany
gives investors open access to a broad market. Through a small contribution you can invest in several different securities
, with reduced transaction costs and benefiting from increased diversification.
Another important strong point of mutual funds investment is the degree of liquidity which allows you to enter or exit the market in relatively short time and with ease.
Our law firm in Germany
can support you through complete legal assistance. Feel free to contact
us when you decide to open a mutual fund in Germany