An umbrella fund is an investment term used to describe a collective investment scheme

Collective investment scheme

A collective investment scheme is a way of investing money alongside other investors in order to benefit from the inherent advantages of working as part of a group...

 which is a single legal entity but has several distinct sub-funds which in effect are traded as individual investment funds.

This type of arrangement originated in the European investment management

Investment management

Investment management is the professional management of various securities and assets in order to meet specified investment goals for the benefit of the investors...

 industry, most notably with the SICAV

SICAV

A SICAV is an open-ended collective investment scheme common in Western Europe, especially Luxembourg, Switzerland, Italy, Spain, Belgium and France...

 (an open ended collective investment). The SICAV

SICAV

A SICAV is an open-ended collective investment scheme common in Western Europe, especially Luxembourg, Switzerland, Italy, Spain, Belgium and France...

 model was copied for the UK OEIC and offshore fund

Offshore fund

An offshore fund is a collective investment scheme domiciled in an Offshore Financial Centre such as the British Virgin Islands, Luxembourg, or the Cayman Islands; it is typically sold exclusively to 'foreign' investors...

 models.

Advantages

The umbrella fund structure makes it cheaper for investors to move from one sub-fund to another and save the investment manager costs relating to regulatory duplication.

See also

• Collective investment scheme
  Collective investment scheme
  A collective investment scheme is a way of investing money alongside other investors in order to benefit from the inherent advantages of working as part of a group...
  
  s
• Investment management
  Investment management
  Investment management is the professional management of various securities and assets in order to meet specified investment goals for the benefit of the investors...
  
  
• SICAV
  SICAV
  A SICAV is an open-ended collective investment scheme common in Western Europe, especially Luxembourg, Switzerland, Italy, Spain, Belgium and France...
  
  
• OEIC
• Mutual fund
  Mutual fund
  A mutual fund is a professionally managed type of collective investment scheme that pools money from many investors to buy stocks, bonds, short-term money market instruments, and/or other securities.- Overview :...
  
  s

Other umbrella terms

• Umbrella brand
  Umbrella brand
  An umbrella brand is an overarching brand used across multiple related products. Umbrella branding is also known as family branding. It contrasts with individual product branding, in which each product in a portfolio is given a unique brand name and identity....
  
  
• Umbrella term
  Umbrella term
  An umbrella term is a word that provides a superset or grouping of concepts that all fall under a single common category. Umbrella term is also called a hypernym. For example, cryptology is an umbrella term that encompasses cryptography and cryptanalysis, among other fields...
  
  
• Umbrella organization
  Umbrella organization
  An umbrella organization is an association of institutions, who work together formally to coordinate activities or pool resources. In business, political, or other environments, one group, the umbrella organization, provides resources and often an identity to the smaller organizations...
  
  
• Umbrella school
  Umbrella school
  An umbrella school is an alternative education school which serves to oversee the homeschooling of children to fulfil government educational requirements....