Definition of Family of funds

Definition of Family of funds

Family of funds or Mutual fund family is the group of fund that are offered by same sponsor or fund company.

Different investors have different vision and needs from their investments. Family of funds offer them one stop shop where their all requirements can be fulfilled and they do not have the need to move at any other place.


Brief Explanation of Family of funds

Example of fund family managers are Fidelity, Vanguard, Allianz, American Beacon , American century and so on.


  • Flexibility: It offers flexibility to investors in selecting their funds and move from one investment to another within the fund family.
  • Moving investment from one to another within the family does not charges any cost.
  • Moving money is can be done with your account online.
  • Liquidation: At the time of need investor can move the fund to more liquid option i.e. money market fund and then from there can take out cash.
  • Diversification: Spreading investment over various mutual funds would help investor balance any loss (if occurs).
  • Expert opinion available: These fund families are run by top professionals and hence expert advice is always available.
  • A consolidated statement is provided to investor with all his funds and transactions which means work from investor’s behalf is also done.
  • Extra favors i.e. less minimal investment is allowed to make which otherwise is not available to other investors because you are already providing business to the fund family.



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