Commingled Trust Fund

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DEFINITION of 'Commingled Trust Fund'

Investment assets that are combined together under a common investment management strategy. Commingled trust funds represent a pool of assets that are jointly managed by the same entity. These funds can be from several sources, such as trusts and retirement plans.

BREAKING DOWN 'Commingled Trust Fund'

Professional money managers and pension consultants often pool the assets of various trusts and funds together to manage them jointly. This can be done when there are congruent investment objectives of each source of funds. Commingling the funds allows for greater efficiency and lower costs.

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