Balanced fund
Balanced fund
Balanced Mutual Fund
A mutual fund with a portfolio mixing stocks, bonds, and cash equivalents in different types of securities in a more-or-less fixed ratio. Balanced mutual funds are used for long-term investing. They also seek to diversify one's portfolio and avoid volatility in any one market. It is an example of an asset allocation fund.
balanced fund
An investment company that spreads its investments among stocks and bonds. Essentially, a balanced fund is a middle-of-the-road fund made up of investments that will achieve both moderate income and moderate capital growth.
Balanced fund.
Balanced funds are mutual funds that invest in a portfolio of common stocks, preferred stocks, and bonds to meet their investment goal of seeking a strong return while moderating risk.
Balanced funds generally produce more income than stock funds, though their total return may be less than stock fund returns in a strong stock market.
In a flat or falling stock market, however, disappointing returns on equity investments may be offset by a stronger performance from a balanced fund's fixed-income investments.
Balanced funds are sometimes described as a type of asset allocation fund, which provides the opportunity to spread your money among asset classes with one investment.