Question

What are the differences between a Stock and a Mutual fund?

Answer 1

Stock	Mutual Fund
a) small percentage share in a business	mutual fund is a trust that pools capital from multiple people and is managed by a fund manager that invests according to the fund’s investment objective.
b) Ownership of shares of a company	Ownership of shares of a fund
c) Investment is directly in stock market	Investment in fund through which investment is directed
d) Management is done by the investor himself	Management is done by the Fund manager
e) Risk is high since managed by self	Relatively low due to professional management
f) Value is determined by the price of share on the exchange	Value is determined by net asset value