family of funds investment & finance definition
A
group of mutual funds that are managed by the same company. An investment
company manages financial instruments that have different investment
objectives, such as large-cap growth, small-cap, or fixed income. It is very
easy to transfer money between funds within the same family.
See family of funds in Wall Street Words
A group of mutual funds operated by the same investment management company. Investors are often able to transfer money between mutual funds within a particular family of funds at only a nominal charge. Thus, an investor with shares in a growth fund could move funds out of the growth fund and into a money market fund or a bond fund without paying a new sales charge if each of these funds is managed by a single investment firm. Investing money with a company permitting this flexibility is advantageous to the investor. Also called
fund group,
group of funds. See also
fund switching.
Learn more about family of funds
