Every mutual fund is defined by its objective and the investment style of the fund manager. An objective is a goal or the financial result that the fund wants to realize. Investment style is the approach used by the fund manager to achieve the fund’s goal.
A fund is required to describe itself in a particular way such as a growth or income fund and to invest most of its assets on the type of investments suggested by its name. However, it is not recommended to judge a mutual fund by its name as there may be some unexpected surprises. Companies that track mutual funds categorize and evaluate them by the types of investments they make.
