A mutual fund is a type of investment vehicle that pools money from multiple investors to purchase a diversified portfolio of stocks, bonds, or other securities. Investors buy shares in the mutual fund, and their money is combined with that of other shareholders, allowing for greater purchasing power and diversification than an individual investor might achieve alone.
Professional portfolio managers typically manage these funds, making decisions about which securities to buy and sell based on the fund's objectives. This management aspect provides investors with expertise that they may not possess.
Mutual funds can vary in structure and investment strategy, ranging from those that focus on specific sectors to those that seek to provide broad market exposure. Investors should be aware of the fees associated with mutual funds, as well as the fund's objectives and performance history. It is advisable to visit the official website for more detailed information on specific mutual funds and their performance.
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