What are the different mutual fund categories?
Mutual funds are identified by their specific investment mandates and the types of assets they hold. In Canada, mutual funds are classified into 35 specific categories within the following five groupings:
- Cash and Cash Equivalent funds
- Fixed Income funds
- Balanced funds
- Equity funds
- Sector funds
In addition to these five groups, there are also Specialty funds that do not fit into any of the above groups and also funds of funds or portfolio funds (a combination of individual mutual funds within one mutual fund).
Related Questions
- What are the differences between closed- and open-ended mutual funds?
- How do I buy and sell open-end fund units?
- How are the shares valued?
- How are the units valued?
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- What are the income tax aspects of owning open-end fund units in a taxable account?
- Can I reinvest my dividends in additional shares of the open-end fund?
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- How do I decide which mutual fund to buy?
- Are there other criteria I should consider when deciding which mutual fund to buy?
- Is a mutual fund’s past performance a reliable guide for estimating future returns?
- What are the different mutual fund structures?
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- What are some additional resources for mutual funds?