Low Minimum Investing
The minimum investment in either the Monetta Mutual Fund or the Young Investor Fund is:
• $1,000 no additional investment account required or
• $100 with an additional automatic investment plan (AIP)* of at least $25 per month.
Investing for your retirement or child's educational expenses through a low minimum automatic investment plan (AIP) can be an effective way to accumulate assets. Funds are automatically deducted from your checking/savings account or paycheck. Studies indicate that regular automatic investing, also known as dollar cost averaging, has the potential to be an effective investment plan for long-term asset accumulation.
An AIP does not assure a profit or protect against loss in declining markets. It is a plan that lets you invest a low minimum amount on a regular basis regardless of short-term market volatility.
Below is a hypothetical chart that outlines the mathematical principal of dollar cost averaging at various deposits and monthly AIP levels. For example let's assume an annual rate of return of 8% and an initial deposit of $100 with an automatic investment plan of $25.00 a month. At the end of 10 years the value could have accumulated to $4,796.
|Hypothetical Example of Dollar Cost Averaging|
|Monthly AIP**||$25||$100||NO AIP||$25||$100||$25||$100|
|Annual Return Assumption***||8%||8%||8%||8%||8%||8%||8%|
|Hypothetical Value ($) at the end of:|
*Assumes no sales charge.
**A program of regular investing cannot assure a profit or protect against a loss in a declining market. Investors should consider their financial ability to continue purchases through periods of lower price levels.
***All investments, including those in mutual funds have risk. Principal loss is possible.
There can be no assurance that these returns will be achieved. Assumes reinvestment of dividends and capital gains, but does not reflect the effect of any applicable fees or expenses. This hypothetical example is for illustrative purposes only and does not represent the performance of any Monetta Fund. Please call 1-1-800-241-9772 for Fund performance. An investment in the Monetta Funds will experience volatility and a flat rate of return should not be expected. This chart does not predict or project any future performance.
Past performance is no guarantee of future results.