gateway capital management, inc.

MUTUAL FUNDS - Definition

Mutual funds are collections of stocks, bonds or other securities that can make investing more affordable -- and less intimidating -- than investing in individual stocks.  Mutual funds are tailor-made for building a portfolio because you can make regular investments with relatively small amounts of money... sometimes as little as $25 if you commit yourself to having the amount direct-deposited.  When you buy a mutual fund, your investment is pooled with money from other investors and then managed by a professional.  Most funds own a large number of securities, providing a more diversified portfolio than most people can assemble on their own.

Since there are more than 9,000 different mutual funds to choose from, you can click here to get more background information on mutual funds.

The above definition is for informational purposes only and should not be construed as a solicitation for any particular product or service offered by Gateway Capital Management, Inc. or any other similar company.