Usually sold directly by the investment company to investors. Professional portfolio management. Require relatively small minimum investments. Dividends can be automatically reinvested. Mutual fund shares can be easily redeemed.
Many mutual funds offer special services to investors, e.g., check writing privileges.
Some charge substantial sales commissions. Some charge redemption fees. All levy management fees. Your return on investment may not be as great as if you invested directly in the types of securities held in the fund's portfolio. Required to submit to all prospective investors.