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What Is The Difference Between Domestic And Offshore Mutual Funds
In understanding the difference between domestic and offshore mutual funds, it is important to know what these funds are. It is true that there are a number of different mutual funds that are available to investors, but the basic construction of a mutual fund is that it is created by a firm that takes the money of many investors and invests that money into stocks, short-term money markets, bonds, and other types of securities. It is then that the manager of the portfolio manages that money by investing and trading the underlying securities of that fund. What happens is that capital gains or losses are realized and those gains and losses are then passed to each individual investor.
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