When the price of something falls people usually demand more of it. This happens because you can now afford to buy more of it and also more people can afford it now. This is called the law of demand. We will also learn the concept of elasticity of demand.
Many factors can influence the currency’s demand and the exchange rate.
There are mainly four main types of funds. These are mutual funds, exchange-traded funds or ETFs, index funds, and hedge funds. We will learn how these three funds are similar and how they differ from each other. I think it is good to know their characteristics because often people don’t know the distinction and use them interchangeably.
A fund is a collection of money from many investors. This pool of money can be invested in stocks, bonds, in a specific sector, or a combination of them. The main advantage of investing in a fund is the diversification it provides to us by spreading our risk.
