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mutual fund vs investment trust

investment trust vs mutual fund

mutual fund and investment trust both are nouns.

Word NounAdjectiveVerbAdverb
mutual fund Yes No No No
investment trust Yes No No No
As nouns, investment trust is a hypernym of mutual fund; that is, investment trust is a word with a broader meaning than mutual fund:
  • mutual fund: a regulated investment company with a pool of assets that regularly sells and redeems its shares
  • investment trust: a financial institution that sells shares to individuals and invests in securities issued by other companies
Other hypernyms of mutual fund include fund, investment company, investment firm.
mutual fund (noun) investment trust (noun)
a regulated investment company with a pool of assets that regularly sells and redeems its shares a financial institution that sells shares to individuals and invests in securities issued by other companies
the pooled money that is invested in assets
Difference between mutual fund and investment trust

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