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All trading basics

What is a Mutual Fund?

Introduction

A mutual fund is a financial instrument that is becoming increasingly popular. Not surprisingly, since it provides access to markets that were previously reserved for seasoned investors. Mutual funds also have other advantages.

A mutual fund is a pool of capital raised from investors who have the same objectives.

The capital is invested in stocks, bonds or other securities, according to the investment policy of the fund in question.

Mutual funds are managed by specialists equipped with tools for optimizing returns that are not available to the average investor.