Commingled Fund

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DEFINITION of 'Commingled Fund'

A fund consisting of assets from several accounts that are blended together. Investors in commingled fund investments benefit from economies of scale, which allow for lower trading costs per dollar of investment, diversification and professional money management.

Sometimes called a "pooled fund."

INVESTOPEDIA EXPLAINS 'Commingled Fund'

These funds are "commingled" to reduce the costs of managing them separately. The main disadvantage of these funds is that capital gains are spread evenly among investors.

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