Which type of funds can invest in various types of securities?

Multi-class funds are designed to offer different classes or types of shares within the same investment vehicle, allowing for investment in a variety of securities. This structure enables investors to have exposure to various asset classes, such as equities, fixed income, and even alternative investments, all within a single fund. Each class may have different investment objectives and fee structures, providing flexibility to meet diverse investor needs while still maintaining the same underlying portfolio of securities.

In contrast, equity funds primarily invest in stocks and shares of publicly traded companies, and fixed-income funds focus on debt securities such as bonds. Trust funds can be more generalized and may or may not specifically indicate diverse investment strategies. Thus, the unique ability of multi-class funds to combine various securities under a single umbrella makes them distinctly suited for investing in a wide array of asset types.