Future Bright for Mutual Funds
In spite of certain difficulties faced by the mutual funds industry, experts who monitor it are of the opinion that its future looks strong. In a report by thestreet.com Mercer Bullard, president of the Fund Democracy, feels that mutual funds were able to handle the financial crisis better than other sectors and can be expected to expand their share in the market.
Owing to their relatively steely performance during the economic downturn and with few alternatives available, mutual funds investors continue to rely on them in today's economy. Another factor owing to the stability of mutual funds is the fact that it is a relatively mature business but is yet not an industry in decline. In addition to this, the industry can also be considered reliable since, in the United States, it was the eighties and nineties that saw new players enter the mutual funds industry leaving little space for new entrants to steal market share in today's scenario.