investment-fund

Vocabulary Word

Definition

An 'investment fund' is a pool of money collected from many investors. A professional money manager uses this fund to buy various investments like stocks, bonds, or real estate.

Examples in Different Contexts

In Wealth Management, 'investment funds' offer individuals a way to diversify their portfolio through collective investment schemes. A wealth advisor might discuss, 'Choosing the right investment fund can help spread your risk and tap into new markets.'

Practice Scenarios

Business

Scenario:

Given the current economic uncertainty, we should consider diversifying our investment portfolio.

Response:

I agree, establishing an investment fund can help us diversify and manage risk effectively.

Tech

Scenario:

There's a lot of potential in emerging technologies. It might be worthwhile for us to dedicate more resources to this sector.

Response:

I endorse this idea. Let's set up an investment fund focusing on promising tech startups.