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What’s better than watching videos from Alanis Business Academy? Doing so with a delicious cup of freshly brewed premium coffee. Visit https://www.lannacoffeeco.com and get free shipping on your online order. Help us learn more about your experience by completing this short survey: https://www.surveymonkey.com/r/RRKS8LZ Subscribe to Alanis Business Academy on YouTube for updates on the latest videos: https://www.youtube.com/alanisbusines... Mutual funds are a popular investment vehicle where money is pooled together from a large group of investors to commit to purchasing different assets. Mutual funds are often labeled as institutional investors, which are large organizations that purchase a significant number of assets. Common institutional investors include pension funds and insurance companies. As a result, the general process for how mutual funds acquire and spend their resources can be applied to pension funds and insurance companies as well. Investors benefit in a variety of areas from purchasing mutual funds. First, mutual funds allow investors the ability to achieve instant diversification since mutual funds hold a variety of assets within their portfolio. Thus, investors receive exposure to all of these different holdings without having to go through to trouble of acquiring them on their own. Mutual funds also allow investors to opportunity to take advantage of professional management, enjoy some level of liquidity, and choose from a variety of funds.