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Investment fund - It is a firm, which invests the pooled funds of a retail investors for a fee. By aggregate the funds together of a large number of these small investors into a specific investment. An investment company gives individual investors access to a wider range of securities than the investors themselves would have been able to access. In addition, see to an individual investor are not hampered by high trading costs since they are investment company is able to gain economies of a scale in the operation. For example, they may be offered open-ended mutual funds, or a closed ended investment trust. |