Mutual Funds

A practical, cost-efficient way to build a diversified investment portfolio
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The Basics

Mutual funds pool investor money and buy a portfolio of stocks, bonds and other investments

Mutual funds make it easier for individuals to invest in many opportunities rather than just a few. The combined holdings of the mutual fund are known as its portfolio. Each share bought represents an investor’s part ownership in the mutual fund and in the gains it generates.

 

There are many types of mutual funds, each with different features, risks and rewards. Typically, they specialize in an asset class, industry or theme, for example investing in such things as real estate, infrastructure or renewable energy.

 

 

1Diversification does not ensure a profit or protect against loss.