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What the heck is a mutual fund?

Wouldn't you like to know?

Well, Jake knows, but for the benefit of the group, a lot of people go,

okay, I know Dave talks about that a lot of the good growth stock mutual funds, right? That's a

classic Dave line, but what is actually going on there? So let's talk about this. Mutual funds

are investment vehicles that pool money from multiple investors, aka you and me, and Jade, and me,

to purchase a diversified portfolio of stocks, bonds,

or other securities. So how do they work? So you're buying shares of a collective portfolio.

So you're buying a tiny piece. Wait, wait, wait, George, George, George. A share. George, I heard

equities. I heard securities. I heard. Come on. Come on. Come on. Make it, make it, put it on the

bottom shelf for us. All right. So shares are tiny pieces of a company, tiny pieces of ownership.

Ah. So mutual fund, let's say there's 90 to 200 companies within this one fund. And so when you buy a piece of

the fund, you're really buying a piece of these 200 companies.

Amazing.

Got that?

Yeah.

So investors, we all benefit from this diversification because we all know, oh, my gosh, Elon burped and Tesla stock went down 40%.

Right.

Well, we don't have to worry about that when there's 199 other stocks from other companies to balance it out.

So when you say that you could have a fund that's got everything

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