Sector Fund

Categories: Investing, Mutual Funds

Seems sort of obvious, yeah? It's a mutual fund that invests in a particular sector, like tech or healthcare.

It's is the opposite of a diversified fund, which usually invests in lots of sectors or areas so that when one slides, you still have all those other investments holding the fund up. 

Find other enlightening terms in Shmoop Finance Genius Bar(f)