Real Estate Investment Company
Capital investment Company
Offshore Investment Company
Small Business Investment Company
Mutual Fund Company
Venture Capital Company
Hedge Fund Company
Regulated Investment Company
Passive Foreign Investment Company
Closed End Fund Company
Pacific Investment Management Company
Capital Group of Companies
Cardinal Investment Company
Morgan Stanley
An
Investment Company in the United States is responsible for bringing out securities. An
Investment Company in the United States concerns itself primarily with the business of securities. An Investment Company operates in different forms in the United States.
Following are the different forms in which investment companies function in the United States:
Corporation
Partnership
Business Trust
Limited Liability Company
In the United States the investment companies receive money from the investors. The investors who put their money in these investment companies are liable to have a share of the respective company's profits as well as the losses.
Under normal circumstances the execution of the assets and properties owned by the respective investment company decides its fate at the market. However it would be wrong to assume that the performance of both the securities as well as the company would be identical to each other.
The Federal laws operative in the United States have divided the investment companies into three separate segments:
UIT – legally recognized as the Unit Investment Trusts
Closed End Fund – legally recognized as closed end companies
Mutual Fund – legally recognized as open end companies
These investment companies have exceptional characteristics of their own. The Unit Investment Trusts and the Mutual Funds are termed as “redeemable” in the United States investment company market. This is opposite to the Closed End Funds which are not so.
Following are the different variations that are identifiable with these types of companies:
- Stock Fund
- Money Market Fund
- Bond Fund
- Interval Fund
- Index Fund
- Exchange Traded Fund
The Hedge Funds are not considered as investment companies as they the conduct the business on a more private note. Following are the considerations that are responsible for a company not being considered as an investment company as per the federal laws:
- Not More Than 100 Investors
- If The Investors Have Sufficient Amount Of Investment Assets
The Investment Company Act of 1940 basically govern the activities of the investment companies in the United States. However the Securities Act of 1933 and the Securities Exchange Act of 1934 also have a say on the activities of the investment companies in the United States.