What is the minimum purchase amount for Qtrade mutual funds?

The purpose of the minimum purchase amount is to protect the interests of all investors in the fund. It ensures that the fund has enough capital to cover its operating costs and generate returns for its shareholders.

Mutual funds offer investors a diverse portfolio of securities, allowing them to spread their risk across various assets. However, investing in these funds comes with certain financial requirements.

One such requirement is the minimum purchase amount, which varies depending on the fund's prospectus. This document outlines the rules and regulations governing the fund, including the minimum amount that an investor must contribute to initiate or maintain their investment.

In the absence of a specified minimum in the prospectus, a general threshold of $1,000 is often applied. This ensures that investors have a sufficient amount invested to allow the fund to operate efficiently and effectively.

Additionally, the minimum purchase amount helps to maintain the fund's liquidity, allowing it to respond quickly to market changes and take advantage of investment opportunities.