Publisher's Synopsis
1 Origin and History of Mutual Funds
The evolution of Mutual funds can be traced to the times of the Egyptians
and Phoenicians when they sold shares in caravans and vessels to
spread the risk of these ventures. Historians are uncertain of the origins of
investment funds; some cite the closed-end investment companies
launched in the Netherlands in 1822 by King William I as the first mutual
funds, while others point to a Dutch merchant named Adriaan van Ketwich
whose investment trust was created in 1774 may have given the king the idea.
In July 1774, he offered on the market a diversified pooled security
specifically designed for citizens of modest means. The security was known
as a negotiation, an instrument very similar to the present-day closed-end
fund.
