Compare different mutual funds

Mutual funds are categorized as stock, bond, money market, and target-date funds

Each category has even more varieties of funds to choose from, but the biggest differences between these groups are the types of securities they invest in, their risks, returns, and entrance requirements.

How mutual funds work

Mutual funds function similarly to other types of investments. If you want to invest, you go through a brokerage firm. However, they have a few key differentiators. Most are actively managed by a broker instead of passively earning you returns. Plus, they can carry some hefty fees.

ETFs vs. mutual funds: Which are better investments?

Exchange-traded funds and mutual funds have many similarities. They both invest in multiple companies under one fund and trade using the same securities (such as stocks and bonds). However, they have distinct differences—such as fees and management style—that can impact your bank account in the long term.

Mutual funds are a type of shared investment strategy that pools money

Mutual funds can invest in stocks, bonds, or other types of securities. This method is a popular way for investors to diversify their portfolio with less risk, making it ideal for long-term financial goals (like retirement).

Mutual fund share classes are rankings of different types of services for investors

The more services an investor has, the more expensive of a class they’re in. While investors are all technically investing in the same securities with the same investment strategy, different classes dictate extra services and attention given to investors, which can seriously impact an investor’s returns.

Pros and cons of mutual funds

Depending on your personal investment goals and strategy, different funds can carry different risks and rewards for your portfolio. However, there are some pros and cons that stay consistent across funds, like easy portfolio diversification.

Mutual funds and taxes

With mutual funds, you can expect a similar tax experience to that of bonds and stocks, although there are a few key differences. Look out for potential taxes on any capital gains or dividend earnings.

Mutual funds in seven broad categories averaged a 13.1% annual return in 2023

That 13.1% figure can help set expectations for how mutual funds will perform in 2024 and 2025, past performance does not guarantee future results.

Test your ETF knowledge

A 10-question quiz from the SEC allows investors to test their basic knowledge about exchange-traded funds and their investing counterparts, mutual funds. Here’s a sample question: Is the past performance of a fund a good indicator of future results? (Hint, the answer is no).

Learn how to invest in index funds with this step-by-step guide

There are a few questions experts suggest answering before investing in an index fund, such as your goals for your investment and the index you want to track. This article walks you through those questions to help you get started.

Can random investments outperform managed funds?

The biggest selling point of mutual funds is they're usually actively managed. Depending on your investment strategy, this could be a breaking point. This podcast episode includes a conversation with a Wall Street Journal columnist about why one-off investments are sometimes better for your portfolio than an actively managed investment.

Explore a giant ETF database

Given that there are more than 3,000 ETFs trading in the US, the list of options for individual investors may be overwhelming. VettaFi provides a database that allows potential investors to sort funds by sector, region, strategy, fund issuers, and more. It tracks nearly 100 funds focused on general technology but just one that focuses on copper mining.

Mutual funds were first created and sold in the US in 1924

Mutual funds were created in 1924, became popular in the '80s and '90s when investors saw a better payoff. Since then, they’ve evolved to be one of the most popular investment options today.

The price of a mutual fund is based on its net asset value (or NAV)

The NAV is determined by the fund’s overall value minus its debts. A mutual fund’s debt is defined as any of its outstanding (or unsold) shares.

Hedge funds, the private investment firms that trade a wide swath of financial assets, make money by imposing steep fees on investors and from the fund's investment performance.

BankFind is a tool that helps you find current and former FDIC-insured banking institutions

The tool from the Federal Deposit Insurance Corporation (also known as the FDIC) allows users to search for these institutions by name, location, and more.

Use this college navigator tool to make informed decisions about college options

Balancing the benefits and costs of higher education on a school-by-school basis can be overwhelming. This database from the National Center for Education Statistics provides an easily searchable database with comprehensive information on costs, student aid, outcomes for alumni, retention rates, and much more.

Explore current CD interest rates

Data itself is not (exactly) a financial advisor, but it can help you decide between a variable or fixed rate CD, or CDs with different term lengths. A chart from the Federal Reserve shows the three-month trend of CD interest rates.

How credit unions compare to traditional banks

Although credit unions offer great perks like higher-than-average interest rates, they aren’t the right fit for every customer. This handy guide helps would-be bankers identify their top financial priorities. To see how credit unions stack up against traditional banks across key areas like branch locations, customer service, and digital technology, click here.

Calculate the financial outlook for your retirement

This simple calculator takes your age, income, planned contributions, and expected retirement needs into account to give you a portrait of how your financial condition will look when it comes time to start withdrawals.

A basic guide to retirement savings account options, the IRA and the 401(k)

The two main types of accounts are 401(k) plans and individual retirement accounts (IRAs)—but what do those mean, exactly? There are differences between the two types, as well as the subtypes beneath them.

Private equity is viewed as an alternative investment

These different types of private equity include venture capital, growth equity, and buyouts.

Smaller companies’ IPO information can be hard to track down

This calendar keeps you updated on the current IPO dates and pricing from different companies. You can search for upcoming and future IPO dates and see which companies withdrew from the IPO process.

While the first exchange-traded fund (a 'basket' of different assets that can be bought and sold on a stock exchange) in the US only launched in 1993, the global ETF market has grown to more than $10T in the short time since.

Calculate how much of your tax dollars go to each federal program based on your income, filing status, and number of children

Cryptocurrency wallets for beginners

Cryptocurrency wallets come in many types. Here, we present the details, comparing the wallets’ features so that you can choose the best crypto wallet for your needs.

Learn how to read a prospectus, the juicy document that any company must file with the SEC before going public.

Four popular budgeting strategies

While budgeting is an individualized process, there are a few tried-and-true budgeting methods people interested in saving money or paying down debt tend to use. These methods include the envelope method—where people budget for things like rent, savings, and food by putting cash in various physical envelopes—the 50/20/30 method, and others. Read about four popular budgeting strategies in this article.

Compare grocery prices with this cost radar

Track the price of key grocery items with this price radar tool, which shows real-time prices across major retailers in the US and Canada. Select bread, milk, eggs, and more to see differences in cost by location and store, including Wal-Mart, Kroger, Amazon, and Target.

Use this tool to calculate the dollar value of your parental mental load, from meal planning to coordinating after-school care, then see resources that help generate solutions.

Browse a detailed visual analysis of over 200,000 similes—comparisons that often use 'like' or 'as'—from popular fiction to see how frequently writers the same idiomatic expressions.

Explore an interactive map built from more than 100,000 survey responses on where people find joy in their lives

The price of gas is a composite made up of several different factors, with the federal gas tax making up less than 20% of what drivers pay at the pump.

The Nasdaq's 'Magnificent 7' companies are responsible for roughly 40% of the Nasdaq 100 index's gains, while the remaining 93 companies account for the other 60%.

See how each of the more than two million known species relates to each other—and to common ancestors—in this zoomable tree of life.

Visualize the path of every solar eclipse from 1900 to 2099 and see what each looks like when observed from different locations on Earth.

The first steps to rebuilding your credit score include getting to know exactly what's on your credit report and figuring out how far you are from the '700 club,' or 'good score' range.

Memecoins are a type of cryptocurrency—a form of digital currency with a wide variety of uses—created around popular 'memes,' or viral internet jokes.

44% of Americans say they pray at least once a day—discover how your state's religiosity stacks up against the rest of the country.

A century of Billboard issues documenting the evolution of popular music.

Explore chaos in this simulation of two double pendulums, where small differences in the release angles produce wildly different outcomes.

When you complete a CAPTCHA on a website to prove you are human, you may be unknowingly training algorithms for self-driving cars, whose systems require training data to help identify crosswalks, bicycles, and other outdoor objects.

See how fireworks are made and learn how metals like magnesium and copper are responsible for different colors.

This poison ivy knowledge quiz—accompanied by photos of the plant's varied forms—may help you identify this common rash-inducing growth.

See a ranking of the best (and worst) Federal Reserve Chairs since 1914 out of the 16 men and women who have held the office since.

Doctors differentiate between a phobia and fear by asking patients whether their fear interferes with their day-to-day activities.

The most expensive ad of all time was for Chanel No. 5 perfume and cost roughly $33M to produce in 2004—about $57M in today's dollars.

Learn how monoclonal antibodies, which mimic the body's antibodies, can fight diseases like Ebola.

The hormonal disorder PCOS was renamed PMOS in 2026, a move designed to improve care and research by shifting the focus to the hormonal causes of this condition that affects 1 in 8 women.

Some renewable energy sources may weaken the resiliency of electric grids by removing outage buffers provided by coal- and natural gas-fired plants, which provide the system with more time to find a new power source if a plant goes down.