An investment fund that pools investor money to invest in assets. Offers investors shares of the fund’s net assets.
The assets and objectives are detailed in the fund prospectus.
Differences from ETFs
- Mutual fund shares can only be traded after market close, ETFs during market day
- Mutual fund prices are calculated at end of day based exclusively on NAV, ETFs calculated during intraday trading by market forces (can therefore be valued at a premium above NAV)