What is a Balanced Mutual Fund?

Answer:
A balanced mutual fund is one of the

various types of mutual funds available to investors. The objective of a balanced mutual fund is to invest for both growth and income.

A balanced mutual fund invests a certain percentage of its money into different stocks. It is important that a mutual fund be diversified appropriately. Usually, a balanced mutual fund will allocate their assets so that around 60% of the fund is in stocks and the remaining portion is in bonds. Mutual funds are not free from risk; however, your tolerance for investment risks must be determined by you. Contact an investment advisor or other investment professional to assist you in determining the appropriate level of risk for your investments.