Ownership comes in the form of shares of the mutual fund company.
Common Stock is ownership in a company which may or may not pay dividends. Depending on the value others place on the common stock and how much others are willing to pay for the stock, the price can go up or down. Mutual Funds allow individuals to reduce investment risk by spreading dollars along with many other investors over a large number of different stocks or bonds. This is called diversification. Mutual funds are an easy way to avoid putting all of your eggs in one basket.