Investment fund is the united money resources of several investors. When you make an investment in fund You purchase investment fund units of a certain fund. Money paid for them goes to the common fund portfolio.

Fund assets are managed by professional investment manager, whose job is to invest money resources received from investors into different financial market instruments (for example shares, bonds, etc.) in order to secure an increase in fund value. The level of risk, recommended term and fund profitability changes according to where the fund is investing in – shares, bonds, government bonds or deposits.

Fund manager keeps an eye on the results of investments and in case of necessity changes the selected strategy. Fund manager is working according to the fund prospectus – document where investment policy, objectives, restrictions and other conditions are defined.

Fund’s assets and value of investment fund unit are changing every day, because of changes in the prices of its holdings. The price of one investment fund unit for a certain day is called NAV (net-asset-value).

The company receives the income of investments during that moment when you sell a share or all investment. The profit is formed from a price difference between sale and purchase price. For example, you have purchased investment fund units for 10 Euros per each, but selling them after 5 years you can get 15 Euros for each unit. Thus the income for each unit is 5 Euros. As an additional income some funds pay dividends to their investors in the form of investment fund units or money.