What managed fund would be appropriate for me?

Q.

I am 47 years of age and have savings of $100,000. I want to invest in managed funds and I am expecting a return of more than 4.5%. I am also thinking of using a margin loan from the bank. What managed fund would be appropriate for me? What do I need to know about investing in managed funds?

I would hope that the long term return from managed funds would be nearer nine percent, than 4.5 percent. Of course you need to be prepared to stay in there for the long haul to give yourself time to ride out the normal downturns. There are thousands of managed funds available, and a financial planner is the appropriate person to talk to about them. You need to discuss entry and exit fees, ongoing fees, and the type of shares in which the fund invests. You should also compare its performance against its peers.