Definitions for "Balanced Funds"
Investment companies that strive to minimize market risks while at the same time earning reasonable current income with varying percentages of bonds and preferred and common stocks.
The objective of these funds is to preserve initial principal, provide current income and provide long-term growth of principal and income. These funds buy a mix of bonds, preferred stocks and common stocks.
Mutual fund that invests in equity and debt securities in varying proportions as market conditions dictate, with some minimum required proportion of the portfolio invested in debt securities.