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How do mutual funds promote affordability and affordability?

Mutual funds offer an affordable way to invest in a diversified portfolio of securities. By pooling money from multiple investors, mutual funds can invest in a variety of assets, including stocks, bonds, and money market instruments. This pooling of funds allows investors to access a diversified portfolio with relatively small investment amounts. Furthermore, mutual funds provide the advantage of cost-effectiveness. The expenses associated with managing a mutual fund are divided among all the investors, making it more affordable compared to individually purchasing a diverse range of securities. Moreover, mutual funds are subject to regulatory oversight, ensuring transparency and protecting the interests of investors.