specialized fund
Definition
A mutual fund investing primarily in the securities of a particular industry, sector, type of security or geographic region. Because of the lack of diversification, specialized funds are higher risk but potentially higher reward than most other types of mutual funds. also called specialty fund.
Use specialized fund in a sentence
“ The specialized fund was mentioned by the new client who was excited to invest in specific industries he supported strongly. ”
“ To gain exposure to various market sectors we chose to allocate a portion of our portfolio to four separate specialized funds. ”
“ My financial planner advised me to put most of my money into a specialized fund that only invested in banks in Southeast Asia, as that regional sector was poised for success. ”
