Mutual funds are financial vehicles (investment funds) that pool contributions from many- or large number of- investors for the purpose of investing the pooled funds in multiple asset classes including securities (stocks), bonds, money market instruments, etc. A mutual fund is run and managed by professional investment managers who apply their expertise in order to fulfill the value proposition of this method of investing: generation of higher amounts of profit (as compared to other investing venues such as investment accounts offered by banks and financial institutions).