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

Fidelity Investments, the big brokerage and mutual fund firm, long has had a rule protecting its small retail clients from plunging into initial public stock offerings while the shares were still subject to IPO-related hype.

From Los Angeles Times • Jun. 9, 2026

Vanguard isn’t just a top mutual fund provider.

From Barron's • Jun. 3, 2026

Opinion: This mutual fund lets you buy SpaceX stock before the IPO — but what are you actually getting?

From MarketWatch • May 27, 2026

Experts will never tell you that because most of them earn their living through capital-management fees, whether it is a mutual fund, a money manager or an adviser.

From MarketWatch • May 26, 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