A study on the investment company list gives some idea about the booming investment industry of the world. The investment companies are those, which hold financial securities of the other companies.
An investment company is a trust, corporation or partnership that primarily invests the funds pooled from the shareholders in the financial securities. An investment company may also be defined as a firm that uses its capitals in order to invest in other companies. There are two major types of investment companies– open-end or mutual funds and the closed-end. In case of the closed-end investment companies, the shares, which are enlisted in the stock exchange can be readily transferable in the open market and can be bought and sold like other shares in the market. While an open-ended investment company is a limited investment company and the prime objective of such companies is to manage the investment funds. In case of an open-end investment plan, the funds get bigger over time.
