Commingled Fund

A commingled fund or pooled fund is a different type of mutual fund that involves pooling all the money in different accounts together and investing that.

The major advantage to a fund like this is the lower commissions per dollar invested. If a fund only places 1 trade of $10 million dollars it cost less than investing 1000 trades of $10,000. The other major advantage is diversification, the more money there is to invest with the easier it is to diversify.

So if you are looking to stick your money in a mutual fund for the long term this may be a good way to go. The only downside is that they are not open to the public; rather they are only available to participants in some 401K and other retirement plans.

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