ShmoopTube

Where Monty Python meets your 10th grade teacher.

Search Thousands of Shmoop Videos


Index Funds Videos 123 videos

Finance: What are the Differences in S&P's and Moody's Ratings?
27 Views

What are the differences in S&P’s and Moody’s ratings? Both S&P and Moody’s give ratings that help investors determine if they are making sma...

Finance: What are Bond Ratings, and What Do They Mean?
68 Views

What are bond ratings and what do they mean? Bond ratings are just credit ratings used on bonds. Just like a credit rating, they give the investor...

Finance: Who is Warren Buffett?
16 Views

Who is Warren Buffett, and how do we get him to give us a loan...?

See All

Finance: What is a Commingled Fund? 7 Views


Share It!


Description:

What is a Commingled Fund? Commingled funds are similar to mutual funds but contain different assets and possible asset classes. They are blended together under a single umbrella to realize greater economies of scale and to reduce management redundancies. They are mostly used by institutional retirement plans and are not publicly listed for individual investors.

Language:
English Language

Transcript

00:00

Finance allah shmoop What is a co mingled fund What

00:07

is it Well it's A bunch of assets which used

00:10

to be single having come to the finance party stag

00:14

now being put together in one large tinder financial group

00:18

Well for that finance party the host had to make

00:20

the requisite ice sculpture Of course if that sculpture was

00:24

done to entertain on ly one set of assets well

00:27

it's relative cost was probably aye But if it covered

00:30

one hundred different accounts all invited to the party to

00:34

ogallala the great evolved wonder Well then the cost of

00:38

that ice sculpture per visitor is a sum one hundredth

00:42

of what it would have been Otherwise we'll co mingled

00:45

Funds exist typically when a family is successful and disparate

00:49

or separated they don't really talk to each other a

00:52

whole lot Joe over here made his money from a

00:55

shoe factory He sold brother bob over here Made his

00:59

money from his special head shine serum And sister suzy

01:04

over here made her money from her plastic surgery clinic

01:08

Or uh or what That was but well here's The

01:10

breakdown By combining their assets they sort of become a

01:14

kind of hybrid mutual funds like a family mutual fund

01:18

only they don't have to suffer all the regulatory filings

01:21

of being a mutual fund that hire their own professional

01:25

manager to run the co mingled assets think retired money

01:28

manager or someone in the broker dealer world who pretends

01:32

they know what they espouse or market or you know

01:35

they're shizzle in co mingled funds the family khun draw

01:38

margin against those funds like borrow against their own money

01:42

for really cheap prices Sigan sell stocks short which you

01:45

can't do in a mutual fund I'ii betting they'll go

01:47

down just like margin you can do in a mutual

01:50

fund and they could buy and sell stock options and

01:52

bond options in their funds and a bunch of other

01:55

freedoms they have Well that just buying a vanilla mutual

01:58

fund would not have given them so Wow with all

02:01

that freedom what can't co mingled funds d'oh Well sure

02:04

won't protect you from frostbite if that ice sculpture you

02:07

too thirsty just a heads up co mingled funds they're 00:02:11.57 --> [endTime] fun home

Related Videos

GED Social Studies 1.1 Civics and Government
39794 Views

GED Social Studies 1.1 Civics and Government

Fake News
11938 Views

How do you tell fake news from real news?

Finance: What is Bankruptcy?
260 Views

What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...

Finance: What is a Dividend?
1777 Views

What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...

Finance: How Are Risks and Rewards Related?
589 Views

How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...