Question

________ are financial companies that pool money from investors and use the proceeds to create a portfolio that tracks an index or a commodity. Shares in the portfolio trade on a stock exchange.

Answer 1

Mutual fund

Step-by-step explanation:

Mutual funds are financial companies that pool money from investors and use the proceeds to create a portfolio that tracks an index or a commodity.

It should be noted that that a fund manager usually be in charge of the mutual fund.

In this mutual fund , the investors put their fund on securities which could be a stock or others.however the investors' returns are are not affected by fluctuation in short period.