It is a type of financial intermediary that pools savings of individuals and makes them available to business and government users. Funds are obtained through the sale of shares.

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It is a type of financial intermediary that pools the savings of individuals and makes them available to business and government users. Funds are obtained through the sale of shares.

Here we are talking about mutual funds.

When we are talking about a mutual fund in financial terms, this means that a pool of money has been collected from many people who like to invest in money market instruments, bonds, or stocks. The investment is managed by professionals who are experts in money managing and always look to gain profitable interests to their clients. Regularly, this money manager -the expert- prepare a particular investment portfolio to diversify the money of its clients, trying to generate the largest earnings.