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Glossary Finance

Mutual fund

A mutual fund pools money from many investors to buy a diversified portfolio of shares, bonds or other assets run by a manager.

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In more detail

Funds charge an Expense ratio and sometimes a sales load. Low-cost index funds track a market rather than trying to beat it.

Try these tools

Mutual Fund Calculator

Project a mutual fund's future value net of its expense ratio and front-load or back-load sales fees.

See also

  • Glossary Expense ratio
    The expense ratio is the yearly fee a fund charges, expressed as a percentage of the money you have invested in it.
  • Glossary Dollar-cost averaging
    Dollar-cost averaging means investing a fixed amount at regular intervals regardless of the price.
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