A mutual fund that invests in common stocks and bonds with the primary objectives of conserving capital, providing income, and long-term growth is called a(n) ____________ fund.

Question

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A balanced fund is designed to provide a mix of income, capital preservation, and long-term growth. By investing in both equities and fixed income securities, a balanced fund can provide stable returns while also mitigating some of the risks associated with investing solely in stocks or bonds. Growth funds, on the other hand, are focused on achieving high returns through investments in rapidly-growing companies, while income funds focus on providing a steady stream of income through investments in fixed income securities. Industry funds are specialized funds that invest exclusively in a particular industry, while money market funds are focused on short-term, low-risk investments.

A Mutual Fund That Invests in Common Stocks and Bonds