Mutual funds minimum investment requirements have become an appealing feature of mutual funds as the low minimum required to buy into a mutual fund makes it a viable option to investors with limited financial resources.  

Types of Mutual Funds

There are an estimated 10,000 varieties of mutual funds. Each of these types falls into one of three broader categories based on the goal of the investment: those with goal to provide immediate income, those focused on long-term growth, and those that are able to offer both. Within those frames it is possible to find a low requirement for the mutual funds minimum investment.

Money Market Mutual Fund

One type to focus on are money market mutual funds which are mutual funds that emphasize short-term, low-risk investment. Money market mutual funds tend to have low minimum investment requirements. Some have the minimum set at zero while others may require a $500 initial deposit followed by cheaper share purchases. You can open a money market mutual fund through a brokerage firm or through some banks.

Other Options

There are many other options for mutual funds with low minimum investment requirements. Some mutual funds require a minimum investment of $250 or $500 while others go as low as $100. In recent years some of the mutual funds with the lowest minimum investment requirements were CG Capital Markets Large Cap Growth (TLGUX), Schwab Financial Services (SWFFX), and Pax World Balanced (PAXWX). To find the most current rates, it is best to consult a stock broker or financial advisor.