Income Fund

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Dictionary Says

Definition of 'Income Fund'

A type of mutual fund that emphasizes current income, either on a monthly or quarterly basis, as opposed to capital appreciation. Such funds hold a variety of government, municipal and corporate debt obligations, preferred stock, money market instruments, and dividend-paying stocks.
Investopedia Says

Investopedia explains 'Income Fund'

Share prices of income funds are not fixed; they tend to fall when interest rates are rising and to increase when interest rates are falling. Generally, the bonds included in the portfolios of these funds are of investment grade. The other securities are of sufficient credit quality to assure a preservation of capital. 

There are two popular high-risk funds that also focus mainly on income: high-yield bond funds and bank loan funds. The former invests primarily in corporate "junk" bonds and the latter in floating-rate loans issued by banks or other financial institutions.
Search results for

'Income Fund'

  • An Introduction To Closed-End Mutual Funds

    http://www.investopedia.com/articles/mutualfund/07/closed_end_funds.asp
    ... Example - Open/Closed-End Fund Suppose that an open-end income fund goes public
    and issues 10 million shares at $10 each, raising $100 million for the fund ...

  • Income Funds 101

    http://www.investopedia.com/articles/mutualfund/09/income-funds.asp
    ... invested in income producing securities like municipal bonds or preferred shares.
    Investors should be aware that the price at which a closed-end fund trades ...

  • Stop Paying High Mutual Fund Fees

    http://www.investopedia.com/articles/mutualfund/07/stop_fees.asp
    ... Overall, fixed-income fund expenses are lower than those of equity funds, but
    the amount depends partly on the specific investment category. ...

  • How To Pick A Good Mutual Fund

    http://www.investopedia.com/articles/mutualfund/07/picktherightmutualfund.asp
    ... Conversely, if the investor is in need of current income, he or she should
    acquire shares in an income fund. Government and corporate ...

  • When my mutual fund declares an income distribution, the fund ...

    http://www.investopedia.com/ask/answers/07/mfdistribution.asp
    An income distribution from a mutual fund to its shareholders can take two forms:
    A shareholder can elect to be paid directly, which puts the money in. ...

  • Enbridge Grows With The Bakken

    http://stocks.investopedia.com/stock-analysis/2011/Enbridge-Grows-With-The-Bakken-ENB-EOG-EEP-ENF-NS-PAA0902.aspx
    ... Expansion Program In August 2010, Enbridge Energy Partners LP (NYSE:EEP) and Enbridge
    Income Fund Holdings (TSX:ENF) announced a $550 million expansion ...

  • Mutual Fund Tune-Up Delivers High-Powered Performance

    http://www.investopedia.com/articles/mutualfund/03/051403.asp
    ... investors, however, remain heavily invested in last year's "winning" fund and may
    drop their portfolio weighting in last year's "losing" fixed-income fund. ...

  • Bond Funds Boost Income, Reduce Risk

    http://www.investopedia.com/articles/bonds/08/bond-fund.asp
    ... Investors must, as part of their research process, determine whether the income
    generating characteristics of a bond fund fits their investment objectives. ...

  • 5 Ways To Fund Your Retirement

    http://www.investopedia.com/articles/retirement/08/retirement-income-stream.asp
    5 Ways To Fund Your Retirement. August 27 ... labor. We envision a steady source
    of income without the need to go to work each day. It's ...

  • Asset Allocation In A Bond Portfolio

    http://www.investopedia.com/articles/04/111804.asp
    ... benefits. Fixed-income fund managers tend to strive for performance that tracks
    a respective index rather than portfolio optimization. ...

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