A pool of capital from multiple investors, managed by a professional fund manager, which is used to make investments in a diversified portfolio of assets such as stocks, bonds, real estate, or other asset classes.
A pooled capital vehicle that converts individual cash contributions into a single decision-making engine. Legal architects fit the structure to purpose, whether through an open-ended trust that issues and redeems units each day or a closed-ended partnership that locks money until exit events materialise. A prospectus or private placement memorandum sets the investment charter, fee stack, liquidity terms, and risk disclosures, then regulators seal those promises with registration or exemption stamps.
Fund accountants strike net asset value on a timetable agreed with administrators and auditors, marking liquid holdings to observable bids while coaxing fair value from illiquid ones through discounted cash-flow grids, precedent transactions, or independent appraisals. Custodians safeguard title, prime brokers extend leverage, and transfer agents maintain the official roster of owners. The whole apparatus allows strategy execution at scale, transforming granular tickets into diversified exposure while supplying investors with the governance, transparency, and tax wrappers that solo portfolios rarely match.
