mutual fund

American  

noun

1. an investment company that issues shares continuously and is obligated to repurchase them from shareholders on demand.

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mutual fund British  

noun

1. British equivalent: unit trust.  an investment trust that issues units for public sale, the holders of which are creditors and not shareholders with their interests represented by a trust company independent of the issuing agency

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mutual fund Cultural  

1. A company organized for the purpose of making investments. A mutual fund gets its capital stock from private individual investors, who, in effect, allow the mutual fund to decide where to invest their money.

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Etymology

Origin of mutual fund

First recorded in 1790–1800

Example Sentences

The average U.S.-stock mutual fund or exchange-traded fund posted a total return of minus 2.8% for the first quarter, according to statistics from LSEG.

From The Wall Street Journal • Apr. 10, 2026

The mutual fund has a lot going for it.

From Barron's • Apr. 3, 2026

Unlike a mutual fund or a bank deposit, most of these closed-end funds limit the amount that investors can withdraw each quarter.

From The Wall Street Journal • Mar. 12, 2026

Unfortunately, Calvert’s mutual fund has a high expense ratio, at 1.24%.

From Barron's • Mar. 11, 2026

“The market found him,” says the Philadelphia mutual fund manager.

From "The Big Short" by Michael Lewis

Related Words

• bond fund
• closed-end fund
• investment fund
• retirement plan