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

USA also announced a $1.5 billion equity offering “anchored by Inflection Point with participation from large mutual fund complexes,” priced at $21.50 a share.

From Barron's

It is the largest mutual fund transfer agent, and largest hedge fund and private-equity fund administrator.

From Barron's

Citing data from the Fed’s Financial Accounts report released earlier this month, analysts say including equity mutual funds and exchange-traded funds, households held $55.9 trillion in stocks in the third quarter.

From MarketWatch

Both investment vehicles receive dividends, but holders of old-fashioned mutual funds also can get capital-gains distributions when other owners sell.

From The Wall Street Journal

Investors continued to turn from active to passive management and from mutual funds to ETFs.

From Barron's

Related Words

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