If you are considering investing in mutual funds for your company, consider no transaction fee funds. No transaction fee funds, also often called no-load funds, do not have a sales charge, thus saving you money from brokerage fees. Often, investors will pay extra for the use of a broker.

Historically, no transaction fee funds have performed just as well, or better, than funds that have a sales charge. In all, they can be a sound investment if you choose the right funds for your company's investment.

1. Get no transaction fee funds advice before you start investing to ensure that you fully understand your options.

2. Consider using a no transaction fee funds consultant to point you in the right direction.

3. Prepare to see your investment rise and fall. Mutual funds, including NTF funds, are widely considered long-term investments. If you stick with your NTF funds, you should plan on seeing long-term gains.

Action Steps
The best contacts and resources to help you get it done

Look for no transaction fee funds information before you invest

Before you invest, try to get some sort of no transaction fee funds training. Even if you choose not to use a brokerage for your investments, you can get help with no transaction fee funds from several different places.

I recommend: Subscribe to newsletters such as NoLoadFundX and the No Load Fund Investor, which will point you towards the best-performing no transaction fee funds. Investopedia and the Motley Fool have a great description of no-load funds and the pros and cons of investing in them.

Use an online calculator to give you help with no transaction fee funds

Online calculators are a great way to help investors make tough financial decisions. There are calculators that will compare and contrast the sales charge of mutual funds with their overall performance to tell you if you should invest in funds with a charge or no-transaction fee funds.

I recommend: Wallet Pop has a calculator that will help you find out if you make more with transaction fee funds or no transaction fee funds. Bankrate has a mutual fund fee calculator that will help you add up the fees associated with your mutual fund.

Find and track good no transaction fee funds

Once you have decided to invest in NTF funds, you can start your search for the right fund for your company. Do a lot of research and make sure it has a clean track record with a history of great performance.

I recommend: Check out the no transaction fee funds available through Schwab, Fidelity, and TD Ameritrade.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  NTF funds often have a minimum investment before you can buy. Do you research beforehand to make sure you have the cash.
• •  Watch out for hidden fees in no transaction fee funds. Even though there's no sales charge, there can sometimes be a charge for marketing and management fees.