Feeder Fund

What Does It Mean?
What Does Feeder Fund Mean?
A fund that conducts virtually all of its investing through another fund (called the master fund).
Investopedia Says
Investopedia explains Feeder Fund
This is similar to a fund-of-funds arrangement, except that the master fund manager is responsible for managing the underlying investments.

Often, an onshore feeder fund will invest in an offshore master fund. This is done so that the foreign master fund can gain a tax advantage for the domestic investors.
Related Links
  • Mutual Fund Basics Tutorial - Learn about the basics - and the pitfalls - of investing in mutual funds.
  • Special Feature: Mutual Funds - Mutual funds are an inexpensive and easy way to benefit from diversification and professional management. See our mutual fund feature for everything you need to know.
  • Coattail Investor - Explore what stocks the world's top mutual funds and portfolio managers hold!
Rate this Term: Your Rating:    Overall Rating: Vote Now!
Sponsored Links
MARKETPLACE
The Investopedia Guide to Wall Speak
TRADING CENTER
CURRENT HIGH YIELD SAVINGS RATES
Type
Overnight avgs
Rate data provided by
Bankrate.com
add investopedia foot
www.investopedia.com