An investment fund is a type of financial vehicle that pools together money from a group of investors and uses that money to buy a diversified portfolio of assets, such as stocks, bonds, and real estate. The goal of an investment fund is to provide investors with a way to diversify their holdings and earn a return on their investment through the appreciation of the assets in the fund’s portfolio.
A trading fund, on the other hand, is a type of fund that uses a more active investment strategy, with the goal of generating profits through the buying and selling of financial instruments. Trading funds may use various investment strategies, such as arbitrage, speculation, or hedging, to generate returns. They may also have a more focused portfolio and may be more actively managed than investment funds.
In general, investment funds are designed to provide investors with long-term exposure to a diversified portfolio of assets, while trading funds are more focused on generating short-term profits through active trading.