A fund is defined as "a sum of money saved or made available for a particular purpose". One of the most common types is the mutual fund, which is an investment in a collection of stocks, bonds, or both. Mutual fund investors earn income from stock dividends and bond interest, and can choose to receive a distribution or reinvest the income for more shares.
Authored by AH. Last updated 2015-01-06 18:52:37.
View this website to learn about the Federal Funds rate, which is the rate at which banks lend money to each other from their deposits to the Federal Reserve Bank.
A money market fund is a collection of short-term debt investments held by a mutual fund. Learn about how money market funds work by reading this helpful article.
A hedge fund is designed to minimize exposure to market risk and thereby boost investment returns. To do that, hedge fund managers employ a number of counterbalancing techniques.
This dollar symbol leaning on a house illustrates the equity that many people have in their homes. In today's economy, many homeowners are seeing their home as an additional source of needed funds and are deciding to take equity out of their home.
Bonds, stocks, mutual funds, and various forms of cash equivalents are all considered liquid assets or liquid investments because they can quickly be converted to money.