investing
mutual fund
An investment vehicle that pools money from many investors to purchase a diversified portfolio of securities.
Example
"She invested $500 per month into a mutual fund through her employer's retirement plan."
💡 Memory Tip
MUTUAL means shared. A mutual fund is MUTUALLY owned by all its investors.
Etymology
Mutual (shared by all parties) + fund (pool of money) — a shared pool of investment money.
Common Misspellings
mutal fundmutual fndmuttual fundmutual fuund