What you need to know about investment funds

Investment funds are a valuable tool for investors, but what are they and how do they work?

City of London skyline
(Image credit: Getty Images)

Most investors make use of investment funds, and the market for these tools is huge, with trillions of dollars managed by funds globally across different strategies such as ETFs, investment trusts and hedge funds.  

But what are investment funds and how do they work? In this article, we take a closer look at these important tools for the investment world and explain how you can incorporate investment funds into your portfolio to maximise your returns.  

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Jacob Wolinsky

Jacob is an entrepreneur, hedge-fund expert and the founder and CEO of ValueWalk. 

What started as a hobby in 2011 morphed into a well-known financial media empire focusing in particular on simplifying the opaque world of the hedge fund. 

Before devoting all his time to ValueWalk, Jacob worked as an equity analyst specialising in mid- and small-cap stocks. Jacob also worked in business development for hedge funds. 

He lives with his wife and five children in New Jersey. 

Jacob only invests in broad-based ETFs and mutual funds to avoid any conflict of interest that could arise from buying individual stocks.