A blended fund is a type of investment fund that combines income and assets from multiple sources. For example, it can refer to a fund created by selling both real property and personal assets of a deceased individual. Additionally, a blended fund may describe a mutual fund that holds a diverse range of assets, including stocks and money market securities, rather than being limited to just one or two asset types.
Blended funds are commonly used in estate planning and investment management. In legal practice, they may come into play during the administration of an estate, especially when determining the distribution of assets. This term is relevant in various legal areas, including:
Users can manage some aspects related to blended funds themselves using legal templates provided by services like US Legal Forms, which are drafted by qualified attorneys.
Here are a couple of examples of abatement:
Here are a couple of examples of blended funds:
Examples of state differences (not exhaustive):
| State | Considerations |
|---|---|
| California | Blended funds may require specific documentation for estate tax purposes. |
| New York | Investment regulations may differ for blended funds in mutual fund structures. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Difference |
|---|---|---|
| Mutual Fund | A pooled investment vehicle that invests in a diversified portfolio of stocks, bonds, or other securities. | A blended fund can be a type of mutual fund, but it specifically refers to the combination of assets from various sources. |
| Trust Fund | An arrangement where a third party holds assets for the benefit of another party. | A blended fund may not necessarily involve a trustee or formal trust arrangement. |
If you are involved with a blended fund, consider the following steps:
For complex situations, seeking professional legal advice may be necessary.
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| Attribute | Details |
|---|---|
| Type of assets | Real property, personal property, stocks, money market securities |
| Common uses | Estate planning, investment diversification |
| Legal areas | Estate law, investment law |