A mutual fund is an organization that
A)invests its funds in securities issued by corporations and governments.
B)is part of an insurance company that invests policyholders' premiums.
C)a partnership of corporate investors.
D)sets money aside to absorb potential stock market losses.

Question

Quizplus · Accepted Answer

A mutual fund is an organization that pools money from multiple investors and then invests that money in a diversified portfolio of securities issued by corporations and governments. The goal is to provide investors with diversification, professional management, and potential returns.

A Mutual Fund Is an Organization That